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Find out how Remote can guide you through the complexities of managing cross-border hiring, payroll, taxes, and compliance.

Employing in United States

American labour regulations are spelled out across several federal and state statutes, designed to safeguard workers’ rights and stave off unfair employment practices.

These include:

  • Title VII (of the Civil Rights Act)
  • The Americans with Disabilities Act
  • The Age Discrimination in Employment Act
  • The Equal Pay Act
  • The Fair Labour Standards Act
  • The Family and Medical Leave Act, and
  • The National Labour Relations Act, etc.

To a great degree, American employees enjoy protection from discrimination based on age, religion, sexual orientation, gender expression, and race.

Common questions that could come up during the hiring process include the minimum wage, overtime rates, and guaranteed paid time off. Remote can help you offer a complete, competitive, and compliant benefits package to your American employees.

Minimum wage

Minimum wage rates in the United States are set by U.S labour law and a number of states and local laws. The federal minimum wage is fixed at $7.25 per hour, while minimum wages vary per state.

Beginning July 1, 2024, the minimum wage will increase from $17.00 per hour to $17.50 per hour for all D.C. workers, regardless of the employer's size.

Additionally, beginning July 1, 2024, the base minimum wage for tipped employees will increase from $8.00 per hour to $10.00 per hour. However, if an employee's hourly tip earnings—averaged weekly—added to the base minimum wage does not equal D.C.'s full minimum wage, employers must pay the difference.

Payroll cycle

There’s no mandatory payroll cycle in the United States, although private employers usually pay salaries twice a month. For customers of Remote, all employee payments will be made in equal bi-monthly instalments, payable in arrears.

Onboarding time

We can help you get a new employee started in the United States quickly. The minimum onboarding time we need is only 2 working days.

Our team ensures your employees are onboarded and paid as quickly as possible while keeping your business compliant with all local employment legislation. The minimum onboarding time begins after the employee submits all required information onto the Remote platform. The onboarding timeline is also dependent upon registration with local authorities.

For all non-nationals of the country of employment, the Right to Work assessment (if applicable) will add three extra days to the total time to onboard. There may be extra time required if we need to follow-up on the right to work assessment.

Please note, payroll cut-off dates can impact the actual first day of employment. Remote has a payroll cut-off date of the 10th of the month unless otherwise specified.

United States holidays

The Fair Labour Standards Act (FLSA) states that employers are not obliged to offer payment for public holidays, however Remote strongly advocates for employers to do so.

These benefits are generally agreed in employment contracts in the US. The following four US holidays are commonly offered to US employees. Note that observing these holidays is not a statutory requirement, so employees can work if they would like to unless otherwise a more specific arrangement is agreed.

The following four holidays are observed across the United States as well as the seven public holidays displayed in the calendar below:

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11 Public holidays

Competitive benefits package in United States

health_insurance
Health Insurance
dental_insurance
Dental Insurance
vision_insurance
Vision Insurance
mental_health_support
Mental health support
pension_or_401(k)
Pension or 401(K)
life_and_disability_insurance
Life and Disability Insurance

Local market insights

  • In the US, the majority of employers offer supplemental health insurance to their workforce.
  • The country does not have a public health system, and as such, private health insurance is a hugely important benefit that allows employees to access routine care and pay for care in the event of an emergency without going into debt. The United States is a unique environment for benefits compared to the rest of the world and can be one of the most expensive countries to employ in due to the high costs of benefits (particularly healthcare).
  • This link leads to the machine-readable files that are made available in response to the federal Transparency in Coverage Rule and includes negotiated service rates and out-of-network allowed amounts between health plans and healthcare providers. The machine readable files are formatted to allow researchers, regulators, and application developers to more easily access and analyze data.
  • Our core benefits (which often include things like healthcare) are required in most countries where we hire. Because Remote is the employer of record, it’s important for us to offer the same core benefits to all employees in a country to ensure fair equity and non-discriminatory hiring practices, which protects your business and ours. Note that we do not add a markup on any benefits premiums or administration costs.

    If you'd like specific information about our benefits packages in the US, start onboarding your first employee with Remote today.

    For more insight into fair equity and benefits best practices, download our Global Benefits Guide and share with the rest of your hiring team.

    Facts & Stats

    The United States of America needs little introduction. The nation’s economy is bolstered by world-leading exports and innovation in technology, sports, arts, culture, media, and music.

    Home to Hollywood, Silicon Valley, and iconic brands like Apple, Google, Ford and Nike, the United States present’s one of the world’s most attractive recruitment pipelines. The country’s population is highly educated, driven to succeed, and open to remote work.

    The trend toward flexible, hybrid, and remote work continues in the US, with The Great Resignation taking hold. Smart employers on the lookout for experienced international talent should be considering taking advantage of this labour movement. For employers outside the US, offering a competitive benefits package can give you a genuine edge over local competitors.

    Statutory provisions for annual leave, sick leave,social security, and healthcare are comparatively low in the US. That means employers who can provide these benefits as part of an employee-focused will find great success when attracting and retaining top quality US candidates.

    Capital City
    Washington, D.C.
    Currency
    United States Dollar
    Languages
    English
    Population size
    328,239,523
    Ease of doing business
    Very easy
    Payroll frequency
    Biweekly or Monthly
    VAT - standard rate
    Different for every state

    Grow your team in United States with Remote

    Want to employ workers in United States? Companies hiring in United States are typically required to either own a local legal entity or work with a global employment platform like Remote that can legally provide employment services in the country.

    Remote can employ team members in United States and keep you compliant. Remote can hire, onboard, and pay your United States team so you don't have to set up local HR services in the region. Remote also makes it easy to pay contractors in United States. Sign up now to get started or talk to an expert for more details.

    Risks of misclassification

    United States, like many other countries, treats self-employed individuals or contractors and full-time employees differently. Misclassification of contractors in United States may lead to fines and penalties for the offending company.

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    Transparent Pricing in United States

    Payroll

    29

    per employee/month
    Book a demo
    • Powerful, transparent international payroll
    • Simple self-service platform
    • Personalised support from dedicated specialists
    • Adhere to local payroll regulations in every country
    • Integrated payroll, expense management, and HRIS solution
    Contractor Management

    29

    per contractor/month
    Book a demo
    • Only pay for contractors you actively work with
    • Work with international contractors
    • Create, edit, and sign tailored, localised contracts
    • Approve contractor invoices with one click or auto-pay
    • Transparent payments with complete visibility
    Employer of Record

    699 599

    per employee/month
    Book a demo
    • Hire without opening a local entity
    • Guided onboarding
    • Local payroll paid on time, every time
    • Built-in security and compliance
    • Flexible, localised benefits
    • Offer equity incentives with tax assistance
    • Dedicated experts for local support