Industry-Standard Employer of Record Services for the IT Industry
Scaling a dev team for your next big launch? Expanding your cloud ops across borders? We make it seamless. At HR Options, we help IT companies skip the paperwork and scale smarter. Our team delivers specialized Employer of Record (EOR) services to meet the fast-paced demands of the tech world, from scrappy startups to global SaaS organizations.
Backed by years of experience and expertise, we can handle everything from onboarding and payroll to benefits administration and regulatory compliance. Whether you’re hiring remote software engineers, scaling your IT support operation, or managing a global team of developers, we ensure you’re fully compliant with local, federal, and cross-border employment laws.
Our platform gives you real-time visibility across your workforce, whether you’ve got a fully remote crew, hybrid teams, or in-house engineers. Manage schedules, track payroll, and stay audit-proof without missing anything.
Simplify Manufacturing Workforce Management with Expert HR Support
Hiring and managing top tech talent shouldn’t slow down your innovation. At HR Options, we take the complexity out of employment so you can focus on building products, scaling infrastructure, and driving growth. Our employer of record services for the IT industry support the dynamic needs of tech companies. Whether you’re hiring full-time developers, expanding remote teams, or onboarding international contractors, we support IT businesses of all sizes with end-to-end HR solutions, including:
- Employee onboarding
- Seamless offboarding
- Accurate payroll processing
- Tax compliance and filings
- Timesheet and attendance tracking
- Full-spectrum HR support
- Managing employee relations
- Support for every stage of the employment cycle
Valuable Benefits That Support Your IT Workforce
A strong benefits offering plays a vital role in boosting retention, engagement, and productivity across your tech teams. At HR Options, we help IT organizations create and manage benefits packages that align with their company culture and the needs of a modern tech workforce.
Whether you’re building a team of in-house engineers or managing a distributed network of developers and analysts, we’ll help craft a benefits plan that enhances satisfaction and supports scalability. Depending on your workforce and objectives, your benefits package may include:
- Life Insurance
- Medical Insurance
- Vision Insurance
- Dental Insurance
- Long-Term Disability Insurance (LTD)
- Health Savings Accounts (HSA)
- Flexible Spending Accounts (FSA)
- Pension or Retirement Plans
Essential Employment Information for the IT Industry
Looking for reliable employer-of-record services for the information technology industry? Here’s some essential employment information we think you should know:
What is the Minimum Wage Rate for IT Employees?
Minimum wage rates for IT employees can vary based on factors such as job classification, geographic location, and employment type. While many IT roles pay well above minimum wage, employers must understand wage compliance.
In the United States, the federal minimum wage is $7.25 per hour, but several states and cities enforce higher minimums. However, in Canada, the federal minimum wage is $17.75 per hour, though each province may have its own standards.
For example, the federal minimum wage in the United States is $7.25 per hour, though many states and cities have set higher rates. The federal minimum wage in Canada currently stands at $17.75 per hour, with variations across provinces.
For example, the federal minimum wage in the United States is $7.25 per hour, though many states and cities have set higher rates. The federal minimum wage in Canada currently stands at $17.75 per hour, with variations across provinces.
What is Considered Full-Time Employment in the IT Industry?
In the IT industry, full-time employment typically means working between 35 and 40 hours per week, though this can vary slightly depending on the employer and the nature of the role. Unlike hourly or part-time positions, full-time IT roles typically come with structured schedules, long-term contracts, and eligibility for company benefits such as health insurance and paid time off.
Manufacturing employees should check their company’s policies to understand how full-time status affects their schedule, benefits, and pay structure. Knowing these details helps workers plan their time and understand their rights on the job.
What Is Considered Part-Time Employment in the IT Industry?
In the IT industry, part-time employment typically refers to roles requiring fewer than 30 hours of work per week. The exact threshold may vary by company policy, employment contracts, or regional labor regulations. Part-time positions are often used to support short-term projects or offer greater flexibility for both employer and employee. These roles include junior developer and QA support to a part-time IT helpdesk or system administration.
Many part-time manufacturing employees may not receive full benefits like health insurance or retirement plans. However, some employers offer flexible hours, shift preferences, or pro-rated benefits to attract skilled workers.
Manufacturing employees should check their company’s policies to understand how full-time status affects their schedule, benefits, and pay structure. Knowing these details helps workers plan their time and understand their rights on the job.
What Are Overtime Pay Rules for IT Employees?
Employers in the United States IT industry follow the Fair Labor Standards Act (FLSA) and local labor laws when paying overtime. If an IT employee works more than 40 hours a week and holds a non-exempt position, the employer must pay 1.5 times the regular hourly rate for every extra hour. However, some employees, such as software engineers, systems architects, or senior IT managers, hold exempt positions and don’t qualify for overtime.
Depending on job duties and classification, some manufacturing positions, such as certain supervisory or administrative roles, may not qualify for overtime pay. Employees should review their job status and company policies to understand their overtime eligibility.
Many part-time manufacturing employees may not receive full benefits like health insurance or retirement plans. However, some employers offer flexible hours, shift preferences, or pro-rated benefits to attract skilled workers.
How Long Does Onboarding Take in the IT Industry?
In most IT companies, onboarding usually takes two to five business days after submitting all required employee information. For non-citizens or employees needing work eligibility verification, this process may take three more days. Our EOR service providers focus on making onboarding fast and efficient so your new employees can start working without delay.
Depending on job duties and classification, some manufacturing positions, such as certain supervisory or administrative roles, may not qualify for overtime pay. Employees should review their job status and company policies to understand their overtime eligibility.
What is the Payroll Cycle in the IT Industry?
In the IT industry, most employers follow a semi-monthly or bi-weekly payroll cycle to ensure consistent and timely employee payments. These payroll structures support both in-house and remote teams, whether they work on salaried contracts or hourly assignments. Many IT companies issue payments on the 15th and last day of each month.
Most biotech companies pay employees semi-monthly or bi-weekly to keep things consistent and timely. Salaried staff are usually paid twice a month, while hourly or contract roles follow bi-weekly schedules. These pay cycles may also include bonuses or reimbursements. Hr Options handles the details to help your team focus on research and innovation.
Details of New Hire Paperwork
Requirements for the IT Industry
Hiring in the IT industry requires specific documentation to comply with labor laws and support a smooth, professional onboarding experience. Here are the essential forms and documents every IT employer should collect when bringing on a new team member in the United States:
Form W-4
Every new employee must complete and sign the IRS Form W-4 before their first day. This form determines the correct amount of federal income tax to withhold from their paycheck.
State Withholding Form
Employers must collect the appropriate state income tax withholding form based on the employee’s location. This form ensures accurate payroll deductions and compliance with local tax laws.
Form I-9
New employees must complete Form I-9 to confirm their identity and legal authorization to work in the U.S. Employers must review and retain the supporting documents as part of the verification process.
Workers’ Compensation Notice
Employers should provide a written notice explaining the employee’s rights under workers’ compensation laws. This notice includes instructions on reporting a workplace injury and what coverage and benefits are available.
Healthcare Licenses and Certifications
New hires must submit valid medical licenses and certifications relevant to their role before starting work.
Local Requirements
Follow additional paperwork requirements for new hires in Flagstaff.
Additional Recommended Documents
Employee Handbook
Share a detailed guide covering your IT company’s policies, security protocols, code of conduct, remote work guidelines, and benefits overview.
List of Contacts
This form collects banking information such as the employee’s bank name, account number, and routing number to streamline payroll through direct deposit.
Direct Deposit Authorization Form
This form collects banking information such as the employee’s bank name, account number, and routing number to streamline payroll through direct deposit.
Emergency Contact Form
Request the contact details of someone to contact in case of emergencies involving the employee while on the job.
Confidentiality and Non-Disclosure Agreements
Protect proprietary code, customer data, infrastructure details, and trade secrets by requiring employees to sign an NDA before they access internal systems.
Job Offer Letter
To confirm employment terms, provide a formal offer letter stating the position title, start date, pay rate, work schedule, and applicable benefits.
Employment Taxes in the IT Industry
Employment taxes and statutory fees affect employees’ overall payroll. Here’s a clear breakdown of known taxes in the United States for the IT industry:
Employer Taxes
| Employment Tax | Tax Percentage |
|---|---|
| FICA (Medicare) | 1.45% |
| FICA (Social Security | 6.2% |
| State unemployment insurance tax (SUTA) | Varies by state |
| Federal unemployment insurance tax (FUTA) (charged on the first $7,000 earnings per year of an employee) | 6% |
Employee Taxes
| Tax Type | Tax Percentage |
|---|---|
| FICA (Medicare) | 1.45% |
| FICA (Social Security | 6.2% |
| State income tax | Varies by state |
| Federal income tax | 10% to 37% |
Important Leave Policies in the IT Industry
| Leaves Title | Law |
|---|---|
| Sick Leave | IT companies usually offer paid sick leave to promote employee well-being and prevent the spread of workplace illness. |
| Bereavement Leave | In the United States, IT employers grant 3–5 days of paid leave to employees dealing with the loss of an immediate family member. |
| Blood/Organ/Bone Marrow Donation Leave | Many tech employers provide paid or unpaid time off to support employees donating blood, marrow, or organs. |
| Crime Victims' Leave | Employers offer leave options for employees handling legal matters related to personal crimes or needing emotional recovery. |
| Court Attendance/Witness Leave | Companies allow unpaid leave for employees subpoenaed as witnesses or required to attend court hearings. |
| Domestic/Sexual Violence Victims' Leave | Many IT employers include leave provisions for employees facing domestic violence or abuse-related circumstances. |
| Election Officials' Leave | Some companies grant time off for employees volunteering as election officials or poll workers. |
| Family and Medical Leave | Businesses with 50+ employees provide up to 12 weeks of unpaid, job-protected leave for serious health issues, childbirth, or caregiving responsibilities. |
| Family Military Leave | Employers support families of deployed military members by offering unpaid leave for related needs. |
| Jury Duty Leave | Information technology companies let employees serve on juries without penalizing them. Some even pay for the time served. |
| Legislative/Political Leave | Companies allow unpaid leave for employees engaging in legislative duties or participating in political campaigns. |
| Military Service/Veterans' Leave | Employers comply with USERRA and offer unpaid leave for active duty or training while guaranteeing job reinstatement. |
| School Activities/Visitation Leave | Tech companies offer flexible scheduling or leave to support parents attending school events or meetings. |
| Volunteer Emergency Responder Leave | Employers grant unpaid leave to employees who serve as volunteer firefighters or emergency responders. |
| Voting Leave | Employers grant unpaid leave to employees who serve as volunteer firefighters or emergency responders. |
Comprehensive Employment Termination Details
Probation Period
Manufacturing companies usually set a probation period of 3 to 6 months for new hires. During this time, supervisors assess job performance, productivity, safety awareness, and adaptability to shift-based work environments.
Termination Process
Employers in the manufacturing sector follow a structured termination process. They document performance or conduct issues, provide written warnings or improvement plans, and ensure all actions comply with labor laws. At HR Options, our manufacturing EOR specialists help maintain fairness and reduce legal risks.
Notice Period
Manufacturing employees often give two weeks' notice when resigning, although no federal law requires it. Employers may also set notice requirements in offer letters or employee handbooks to support smooth handovers and production planning.
Severance and Final Pay
Severance pay is generally provided only if specified in employment contracts or company policies. Employers must pay out unused vacation or paid time off (PTO) when an employee leaves the company to comply with labor regulations.
New Hire Reporting
Employers must report all new hires and rehires to the New York Department of Taxation & Finance within 20 days of the employee's start date. This report should include the employee’s full legal name, date of birth, address, start date, and social security number.
Local Requirements
Follow additional paperwork requirements for new hires in Flagstaff.
Which Laws Apply to Your IT Company?
In the United States, each state has its own labor laws alongside federal employment regulations. IT companies must stay compliant to protect their workforce and avoid legal risk. At HR Options, our EOR experts help IT employers understand and apply the specific laws that govern tech-based work environments. Below is a summary of key employment laws that affect IT businesses:
| Law | Applies To | Description |
|---|---|---|
| Human Rights Act | Employers with 12+ employees | This law prohibits discrimination in hiring, promotion, and termination based on race, religion, age, disability, gender, and other protected statuses. |
| Equal Pay Act | All employers | Employers must pay men and women equally for performing substantially similar work, with exceptions for seniority, merit, or performance systems. |
| Minimum Wage Law | All employers | It sets the minimum wage rates that IT employers must pay, including rules for tipped employees. Rates vary based on employer size and applicable federal standards. |
| Overtime Pay Law | All employers | IT companies must pay non-exempt employees 1.5 times their regular rate for hours worked over 40 a week. Exempt status depends on job duties. |
| Wage Payment Law | All employers | Employers must pay wages on time and include bonuses, commissions, and PTO payouts in final checks, as state law requires. |
| Final Paychecks | All employers | Employers must issue the final paycheck by the next regular payday or earlier, depending on state law and the reason for separation. |
| Voting Leave Law | All employers | Employers must offer paid or unpaid time off to vote if an employee’s work schedule doesn’t allow voting during polling hours. |
| Workers' Compensation Law | Employers with 1+ employees | Provides benefits such as medical care and wage replacement for employees injured or ill due to work-related causes. |
| Meal Breaks Law | Employers with non-exempt employees | IT employers must provide meal breaks (usually at least 20 minutes) for employees working 6 or more hours. |
| Family Medical Leave Act (FMLA) | Employers with 50+ employees | Employers must provide up to 12 weeks of unpaid, job-protected leave for qualified medical and family events such as serious illness or childbirth. |
| Occupational Safety and Health Act (OSHA) | All employers | Employers must maintain a safe workplace, including ergonomics for desk jobs and protocols for remote work safety. |
| Clean Indoor Air Act | All employers | This act prohibits smoking in enclosed workplaces and public spaces to promote a healthier work environment. |
| Paid Time Off (PTO) / Vacation Leave | Employers (by company policy) | Employers decide PTO policies and must communicate accrual, rollover, and usage rules to all employees. |
| Termination Law | All employers | Employers must follow lawful termination procedures, document reasons, and avoid discriminatory or retaliatory practices. |
| Whistleblower Protection Law | All employers | This law protects employees who report misconduct, violations, or unethical behavior from retaliation or disciplinary action. |
| Background Check Law | Employers in regulated sectors | Employers must follow the Fair Credit Reporting Act (FCRA) and notify candidates before conducting or acting on background checks. |
| Social Media Law | All employers | Employers must respect employees' digital privacy and cannot require access to personal social media accounts. |
| Remote Work/Telecommuting Compliance | All employers offering remote work | Employers must track work hours for non-exempt remote workers, comply with multi-state tax laws, and provide proper tools and data security. |
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