Industry Standard Employer-of-Record Services in Massachusetts
Are you looking to expand your business operations and build a high-performing team in Massachusetts? HR Options has dedicated HR professionals who offer the most dependable employer of record services to streamline your payroll management, legal compliance, and administrative processes. By handling all tasks, we help you focus on driving your core business forward.
From sourcing top talent to efficient onboarding, we manage the entire employment process with precision and care. Easily manage your team with our user-friendly platform, offering real-time updates and transparent reports. Our team ensures full compliance with local employment laws and helps reduce the risk of legal disputes or penalties.
Contact us today for efficient HR solutions for your business needs and pave your way for long-term success in Massachusetts!
Simplify Workforce Management with Massachusetts' Most Trusted HR Services
Navigating the complexities of hiring and employment logistics can be tough, but HR Options makes it simple. Our Employer of Record services in Massachusetts support businesses of all sizes by managing the complete recruitment process. Whether you want to hire project-based professionals or build a long-term team, we handle every challenge to help you focus on your business growth. Our comprehensive services include:
- On-boarding
- Off-boarding
- Payroll Processing
- Tax compliance
- Timesheet collection
- Handling W-2 and 1099 forms
- Employee relations management
Valuable Benefits for Employees in Massachusetts
At HR Options, we create perfect benefits packages to attract and retain top talent. These plans keep your workforce engaged and motivated. Our comprehensive plans also help employees feel valued and supported, which improves loyalty and productivity. We work closely with your business to create a custom package that aligns with your goals and policies. Depending on your organization’s needs, our employee benefits packages 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 401(K) Retirement Plans
Essential Employment Information for Massachusetts
Looking for Reliable Employer of Record Services in Massachusetts? Here’s some essential employment information we think you should know:
What is the Minimum Wage Rate in Massachusetts?
Currently, the minimum wage in Massachusetts is $15.00 per hour for most employees. This rate is among the highest in the U.S. and reflects the state’s commitment to fair wages. While this wage applies to most workers, exceptions exist for tipped workers, minors, and certain industries. Employers must stay updated on wage laws to ensure compliance with state regulations.
What is Considered Full-Time Employment in Massachusetts?
In Massachusetts, employees working between 30 and 40 hours per week are generally considered full-time. However, there is no legal definition, and employers may set full-time roles according to their policies. Employees should review the company’s policies regarding full-time status, benefits eligibility, and overtime to avoid misunderstandings about workplace perks.
How Do Employees Get Paid Overtime in Massachusetts?
Massachusetts follows federal overtime laws that require employers to pay 1.5 times an employee’s regular hourly rate for any hours worked beyond 40 hours per week. Some positions may be exempt from overtime, depending on job type or industry. Employees must check their employers’ overtime policies to ensure they receive proper compensation for additional hours worked.
How Much Time Does Onboarding Take in Massachusetts?
Our experienced EOR professionals in Massachusetts typically complete the onboarding process within 2 business days after gathering all necessary information. Additional work eligibility checks may extend the process by up to 3 days for non-US citizens. We aim to reduce onboarding time to ensure a smooth and efficient hiring process.
What is the Payroll Cycle in Massachusetts?
Massachusetts has no state law determining the payroll frequency, but most businesses follow a bi-weekly or semi-monthly pay schedule. Employees typically receive payments on the 15th and last day of the month. Bonuses, commissions, and reimbursements, if applicable, are generally included in the final paycheck of the month.
Are Employers Required to Offer 401(k) in Massachusetts?
Massachusetts does not require employers to provide a 401(k) or similar retirement plan. However, many businesses offer these benefits as a competitive compensation package to attract and retain top talent while helping employees plan for their future.
Are Employers Required to Provide Health Insurance in Massachusetts?
Under the Affordable Care Act, employers with 50 or more full-time employees must offer health insurance. Many businesses also provide supplemental health insurance to ensure employees can access routine care and emergency coverage. Being a trusted Employer of Record service provider, we also include the same potential benefits for all employees to maintain fair hiring practices.
Details of New Hire
Paperwork Requirements in Massachusetts
When hiring employees in Massachusetts, employers must collect several essential documents to ensure legal compliance and a smooth onboarding process. Following are some documents that employers and employees should be aware of:
Employment Eligibility Verification (Form I-9)
Massachusetts employers must complete Form I-9. The U.S. Citizenship and Immigration Services (USCIS) mandates this form to verify new hires' identity and employment eligibility.
Employee’s Withholding Certificates (Form W-4)
Federal Form W-4 determines the amount of federal income tax withheld from an employee’s paycheck. Massachusetts requires state income tax withholding in addition to federal withholding.
Massachusetts Withholding Exemption Certificate (Form M-4)
Employees must complete Form M-4 when starting a new job or updating their tax status. This form determines the correct state tax withholding based on exemptions and additional tax liabilities.
New Hire Reporting
Employers must report all new hires and rehires to the Massachusetts Department of Revenue within 14 days. The report includes the employee’s name, address, social security number, and the employer’s name, address, and federal ID number.
Notice of Wage Payments
Employers must provide employees with written notice at the time of hiring regarding their payment details, including the payday, payment method, and pay rate.
Local Requirements
Follow additional paperwork requirements for new hires in Flagstaff.
Employment Taxes in Massachusetts
Employment taxes and statutory fees impact Massachusetts employees’ overall payroll and paychecks. Here’s a clear breakdown of known taxes in this state:
Employer Taxes
| Employment Tax | Tax Percentage |
|---|---|
| FICA (Medicare) | 1.45% |
| FICA (Social Security | 6.2% |
| State unemployment insurance tax (SUTA) | 0.56% to 8.62% |
| 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 | 5% |
| Federal income tax | 10% to 37% |
Important Leave Laws in Massachusetts
| Leaves Title | Law |
|---|---|
| Bereavement Leave | Under the sick leave law, all employers must provide leave for health needs related to a reproductive loss event. |
| Sick Leave | Employers with 11 or more employees must provide paid sick leave. However, employers with fewer than 11 employees may provide unpaid sick leave. |
| Blood/Organ/Bone Marrow Donation Leave | No specific law mandates leave for organ or blood donation activities. Employers may offer leave based on their policies. |
| Election Officials' Leave | Massachusetts has no law that mandates leave for election officials. Based on company policies, employers may offer leave or paid time off (PTO). |
| Court Attendance/Witness Leave | Massachusetts law requires all employers to provide leave for employees involved in criminal proceedings. |
| Crime Victims' Leave | All employers must allow employees to take leave to attend legal proceedings related to being a crime victim. This leave is unpaid and has complete job protection. |
| Domestic/Sexual Violence Victims' Leave | Employers with 50 or more employees must provide leave under the domestic violence leave law. Employees can also get leave under the sick leave law. |
| Legislative/Political Leave | No state law in Massachusetts requires employers to grant leave for legislative or political activities. Employers can provide leave for such activities based on company policies. |
| Family and Medical Leave | Employers with six or more employees must provide parental leave. Moreover, employers with 50 or more employees must provide leave for a child's or elderly relative's routine medical/dental appointments. Under the Paid Family and Medical Leave Act (PFML), eligible employees can also take up to 26 weeks of job-protected leave for their own or family member's health. |
| Family Military Leave | Massachusetts has no law that mandates leave for family military activities. |
| Jury Duty Leave | Under this law, all employers must allow employees to serve on jury duty. They cannot penalize or terminate employees for fulfilling their civic duty. |
| Military Service/Veterans' Leave | All employers must provide leave for military service according to federal requirements. They must also grant veterans leave to celebrate Veterans Day and participate in Memorial Day activities. |
| School Activities/Visitation Leave | Employers with 50 or more employees must provide leave for school-related activities. |
| Volunteer Emergency Responder Leave | Under the relevant law, all employers must grant leave for volunteer emergency responders, such as firefighters or medical technicians. |
| Voting Leave | Employers in mechanical, mercantile, and manufacturing establishments must provide time off for employees to vote in elections. |
Comprehensive Employment Termination Details
Probation Period
Massachusetts has no specific law, but many employers use probation periods to evaluate new hires' performance. These periods generally range from 3 to 6 months and include formal assessments to determine long-term employment suitability.
Termination Process
Like most states, Massachusetts operates under an at-will employment system, where employers and employees can terminate their working relationship at any time. At HR Options, our HR service experts provide expert legal advice for businesses handling employee terminations to ensure compliance and reduce the risk of legal disputes.
Notice Period
According to law, employers or employees don’t need to give notice before ending employment unless specified in a contract. However, it’s common practice for employees to offer a two-week notice period when resigning.
Severance and Final Pay
Massachusetts law does not require severance pay unless outlined in the employment contract or company policy. Employers must only pay unused vacation or holiday time if specified in the employment agreement.
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 Organization?
In Massachusetts, businesses must comply with state and federal employment laws to ensure legal adherence and avoid penalties. Below is a summary of key regulations that would apply to your organization:
| Law | Applies To | Description |
|---|---|---|
| Massachusetts Anti-Discrimination Law | Employers with 6+ employees | This law prohibits discrimination based on race, gender, religion, age, national origin, disability, and sexual orientation. |
| Equal Pay Act | All employers | Mandates equal pay for men and women performing similar work. Exceptions are allowed for seniority or merit systems. |
| Access to Personnel Files | All employers | Grants employees the right to review and obtain copies of their personnel records upon request twice per calendar year. |
| Criminal Offender Record Information (CORI) | All employers | It regulates background checks and prohibits employers from asking about criminal history on initial job applications. |
| Overtime Pay Law | All employers | Nonexempt employees will get overtime pay (1.5x the regular rate) for working over 40 hours per week. |
| Massachusetts Minimum Wage Law | All employers | This law sets the minimum wage at $15.00 per hour (as of 2025), higher than the federal rate. |
| Workers' Compensation Law | All employers | Requires employers to offer coverage for employees who suffer work-related injuries or illnesses. |
| Child Labor Law | All employers | Restricts the employment of minors under 16 in hazardous occupations and limits work hours. |
| Domestic Violence and Sexual Assault Leave Law | Employers with 50+ employees | Provides up to 15 days of unpaid leave for victims of domestic violence or sexual assault. |
| Drug-Free Workplace Act | All employers | Encourages drug-free environments and permits drug testing under defined conditions. |
| Employment Termination Law | All employers | Requires timely final paycheck issuance (last day for involuntary terminations; next pay cycle for resignations). |
| Fair Labor Standards Act (FLSA) | All employers | This act governs minimum wage, overtime, and youth employment regulations. |
| Health Care Continuation Law (Mini-COBRA) | Employers with 2–19 employees | Under Mini-COBRA law, an organization requires continuing healthcare benefits for up to 18 months. |
| Jury Duty Leave Law | All employers | Requires employers to provide unpaid leave for jury duty without retaliation. |
| Payment of Wages Law | All employers | This law ensures employees receive timely payment of wages, with weekly or biweekly payment schedules. |
| Safe Driving Practices | All employers | It prohibits using a wireless communication device for texting while driving but permits voice-operated devices. |
| Clean Indoor Air Act | All employers | Prohibits smoking in enclosed workplaces to maintain a healthy work environment. |
| Voting Leave Law | All employers | Encourages employers to provide employees time off to vote in elections. |
| Weapons in the Workplace Law | Employers with 5+ employees | Allows employees to store lawfully owned weapons in private vehicles or an employer-owned parking lot. |
| Wage Theft Prevention Act | All employers | This act protects employees from wage theft by ensuring accurate and timely payment of wages. |
| Wage Deductions Law | All employers | It limits permissible payroll deductions to legally approved reasons, such as taxes, benefits, or wage garnishments. |
Want to Make Your Hiring Process Easy and Quick?
Let our HR specialists handle your Employer of Record services and ensure compliance to grow your business.