Frequently Asked Questions
- What is the new hire law?
- Who must report?
- Who must be reported?
- Is anyone exempt from this law?
- Are labor unions and hiring halls required to report?
- Why do we need new hire reporting?
- What information must I report?
- Where do I report new hires?
- How often must I report?
- How will the information be used?
- I've never reported new hires, what do I do?
- What is the purpose of the independent contractor reporting law?
- If my business contracts with a company that employs independent contractors, is it my responsibility to report those independent contractors?
- My business has used independent contractors. Who do I report as of January 1, 2010?
- How do I determine who is an independent contractor?
- Many service providers have federal employer identification numbers (FEINs) and business names. How do I determine if they are sole proprietors?
- I am an employer with employees in more than one state. What special considerations, if any, need to be made for this?
- Is there an easier way to report other than submitting a New Hire Reporting Form?
- What if I have questions about child support or income withholding?
- Do I have to report if I do not hire anyone?
- Are domestic employees (maid, nurse, gardener) required to be reported?
- I am an employer who has more than one address. Which one should I list?
- I provide employee information on my Quarterly Wage Reports. Why must I also report the employee as a new hire?
- Do temporary agencies have to report their new hires for every assignment?
- Do I need to report an employee who worked for a couple of hours or days and then quit?
- Do I have to include my FEIN on line 10 of the W-4? The instructions say to include it only if I sent it to the IRS.
- If I take over a business, do I have to report all of the employees?
- In addition to reporting new hires, do I need to report terminated employees as well?
- Can I send an outdated W-4?
- I am an employer with more than one FEIN. Which do I use for the new hire report?
- Are employers on Native American reservations and lands subject to the new hire reporting requirements?
- I am a multi-state employer with employees in more than two states. Can I report all my employees to one state outside of Minnesota, except report Minnesota employees to Minnesota?
- Do I need to report re-hired employees?
- I'm not sure if I have reported one of our new employees. How can I find out the names of employees I have already reported?
- Is it possible to submit a test file after registering to report electronically, to verify our file layout?
- If I start sending reports using one method, do I always need to file my reports the same method?
- What should I do if I make a mistake on the employee information and I've already submitted it?
- If an employee lives outside Minnesota, but works in Minnesota, to what state do I submit the New Hire report?
- How do I enter the employee's date of birth when it's a violation of the Age Discrimination in Employment Act (ADEA) to ask for their date of birth?
- What is the definition of date of hire?
- What if I still have more questions about new hire reporting?
About the Law
Basics of New Hire Reporting
Reporting Independent Contractors
Common Employer Questions
For Those New to the New Hire System
About the Law
Minnesota Statute 142A.29 and the Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) of 1996, 42 U.S.C. 653A, require that all employers report newly hired and re-hired employees to a state directory within 20 days of their hire date.
All employers and/or labor organizations in the State of Minnesota.
Employers are required to report the following employees:
- New employees: Employers must report all employees who reside or work in the State of Minnesota to whom the employer anticipates paying earnings. Employees should be reported even if they work only one day and are terminated (prior to the employer fulfilling the new hire reporting requirement).
- Re-hires or Re-called employees: Employers must report re-hires, or employees who return to work 60 days after being laid off, furloughed, separated, granted a leave without pay, or terminated from employment. Employers must also report any employee who remains on the payroll during a break in service or gap in pay, and then returns to work after 60 days. This includes teachers, seasonal workers, etc. Substitute teachers must be reported for the first day worked in each school year. Poll workers need to be reported only once.
- Temporary employees: Temporary agencies are responsible for reporting any employee who they hire to report for an assignment. Employees need to be reported only once and do not need to be re-reported each time they report to a new client. If the worker has a break in service for at least 60 consecutive days or more from your agency, then a new hire report would be necessary.
- Independent Contractors: New Hire enforcement allows for reporting independent contractors under the New Hire Act. This reporting method will help identify individuals who have taken new employment and have child support obligations.
No one is exempt from this law.
Labor unions and hiring halls must report their own employees; that is, individuals who work directly for the labor union or hiring hall. If the labor union or hiring hall only refers individuals for employment, it does not need to file new hire reports for these individuals. However, if a labor organization actually pays the individuals whom it refers, as opposed to having them paid by the person or entity to whom they have been referred, the labor organization would be considered the "employer" and therefore required to submit new hire reports according to the mandated requirements.
Basics of New Hire Reporting
New hire reporting speeds up the child support income withholding order process, expedites collection of child support from parents who change jobs frequently, and quickly locates alleged non-custodial parents to help in establishing paternity and child support orders. New hire reporting helps children receive the support they deserve. New hire reporting also saves taxpayers by preventing fraud in welfare, workers compensation, and unemployment insurance. Employers are a key partner in ensuring financial stability for many children and families and should take pride in their role.
Required Employer Information:
- Employer's Federal Employer Identification Number (FEIN). If you have more than one FEIN, please make certain you use the same FEIN you use to report your quarterly wage information when reporting new hires.
- Employer's Name
- Employer's Address
Required Employee/Contractor Information:
- Employee's Name (First, Middle, Last)
- Employee's Mailing Address
- Employee's Social Security Number (SSN)
- Employee's Date of Hire or Re-Hire
Optional Employer Information:
- Employer Phone Number
- Employer Fax Number
- Employer E-mail Address
- Employer Contact Name
Optional Employee/Contractor Information:
- Employee's State of Hire
- Employee's Date of Birth
Additional information may be required if reporting electronically. Please click here for electronic reporting specifications.
View questions about Multistate employers.
Please Note: The Claims Resolution Act (CRA) of 2010 requires employers to report the date an employee first performed services for pay to the State New Hire Directory. CRA became effective June 8, 2011. This is an anti-fraud measure designed to reduce the number of overpayments to individuals receiving unemployment insurance benefits. Minnesota's new hire statute has included this requirement since 1997.
There are a variety of ways to report new hires, including online reporting, electronic reporting and by mail or fax.
Electronic Reports - Utilizing our website's online reporting feature is a very popular option for employers. This feature provides printable confirmation of reports received, and is conveniently available 24 hours a day, 7 days a week.
Employers can send new hire data files in a variety of ways, including transferring files through the website or through internet connection using Secure File Transfer Protocol (SFTP). Learn more about electronic reporting by clicking, here.
Non-Electronic Reports - Paper new hire reports may either be faxed or mailed to the Minnesota New Hire Reporting Center.
Minnesota New Hire Reporting Center
PO Box 467
Norwell, MA 02061
Toll-free: (800) 692-4473
Employers must report within 20 days of a new employee's hire or re-hire date. Employers who submit reports magnetically or electronically shall submit the reports by two monthly transmissions if necessary, which are not less than 12 days or more than 16 days apart.
Federal and State laws contain strict guidelines for the use of new hire reporting information. Minnesota's child support computer system matches new hire information against open child support cases to locate alleged fathers/non-custodial parents to establish paternity and child support orders, and enforce existing orders. Once these matches are done, the new hire information is sent to the National Directory of New Hires and is utilized by Child Support Agencies nationwide.
New hire information can also be used by states to help detect and prevent fraudulent payments to recipients of unemployment insurance, workers compensation, and welfare benefits.
The use of this information provides financial support for Minnesota's deserving families and works towards a reduction in welfare and unemployment insurance costs.
Begin by reporting any new employees you've hired within the last 180 days. Continue by reporting any new hires you have within 20 days of their hire date.
Reporting Independent Contractors
The new hire information you provide for independent contractors will increase child support collections by helping to locate parents who are delinquent in their child support obligations.
If my business contracts with a company that employs independent contractors, is it my responsibility to report those independent contractors?
No, the company that employs independent contractors has the responsibility to report them to Minnesota New Hire as a new hire.
Report only independent contractors that you contract with, on or after January 1, 2010. Minnesota law requires that all new hires and re-hires be reported within 20 days after the date of hire or re-hire.
Per IRS, the general rule is that an individual is an independent contractor if you, the person for whom the services are performed, have the right to control or direct only the result of the work and not the means and methods of accomplishing the result.
Many service providers have federal employer identification numbers (FEINs) and business names. How do I determine if they are sole proprietors?
You are required to obtain a first name, last name, and SSN of any service providers that are sole proprietors. The federal Form W-9 has been revised and now requires sole proprietors to list their first and last names. You may want to ask the service provider to complete the new Form W-9. If the SSN is still not known after reviewing the W-9, ask the service provider for the SSN.
Common Employer Questions
I am an employer with employees in more than one state. What special considerations, if any, need to be made for this?
New hire reporting is mandated by law in all 50 states. One of the main goals of new hire reporting legislation is to make it as easy as possible for employers to comply. For those employers who have employees in more than one state, we have two convenient options for reporting. To view more details on multistate reporting click, here.
We highly recommend reporting your new hires electronically. You can either report new hires using our convenient webite, or you can transmit a data file created by your company's human resources or payroll software. Electronic reporting eliminates paperwork, increases the accuracy of the reports, allows faster processing, and can save on postage and other costs. Additionally, our website also provides printable confirmation of all new hires you report during a session. Electronic reporting can also qualify Multistate employers to report new hires directly to one state.
The New Hire Reporting Center does not have access to specific child support information and does not have the ability to answer questions related to child support. Check out our Employer Resources page to find information on local, state, and federal child support agencies.
No. Reports are only required after an employee is hired.
New hire reporting legislation requires all "employees" to be reported. Thus, an individual who is an employee for purposes of federal income tax withholding from wages is also an employee for new hire reporting purposes. If you need to determine if you should be paying federal income tax for your employees, please contact the Internal Revenue Service at (800) 829-1040 or visit them at www.irs.gov.
You should list the address where you want income withholding orders sent. A street address is preferred, as long as mail can be sent there.
I provide employee information on my Quarterly Wage Reports. Why must I also report the employee as a new hire?
New hire information from the Quarterly Wage Reports becomes available two to six months after the date of hire. When you report new hires immediately, there is a much better chance of locating the individual while still employed, and the required child support action can be taken at once. Furthermore, fraudulent unemployment insurance, workers compensation, and welfare benefit payments can be detected quickly.
Temporary agencies are mandated to report their workers who sign a W-4 form and report to an assignment. Workers only need to be reported once, and they do not need to be reported each time they are placed with a new client. If the worker has a break in service of 60 consecutive days or more from your agency and a new W-4 form is required, then a new hire report would be necessary.
As long as an employee filled out a W-4 form, even if they only worked for a few hours, that employee must be reported. Although that employee is no longer with your company, useful information such as home address and work history can be obtained from their new hire report.
Do I have to include my FEIN on line 10 of the W-4? The instructions say to include it only if I sent it to the IRS.
Yes, if you are sending in your report by W-4 form, you must include the employer name, address, and Federal Employer Identification Number (FEIN) in the Employers Only sections of the W-4 form. When reporting new hires, if you have more than one FEIN, please make sure you use the same FEIN used to report your quarterly wage information.
Not if these employees have previously been reported and if you as the new employer will continue to honor any Income Withholding Notices that are in effect. If you will not honor the previous withholding notices you must report all employees as new hires. Employers must report any newly hired employee who is hired after that date. If you are unsure if employees have been previously reported, we recommend reporting any employee hired within the last 180 days.
Employers can send new hire data files in a variety of ways, including transferring files through the website or through internet connection using Secure File Transfer Protocol (SFTP). To learn more about electronic reporting click, here.
No. Only new hires and re-hires are required to be reported to the New Hire Reporting Center. However, if the terminated employee had an Income Withholding Order for child support, the termination should be reported to the agency that issued the order.
Yes, but if you need new W-4 forms, please visit our Forms page.
Use the same FEIN under which the employee's wages are reported.
Are employers on Native American reservations and lands subject to the new hire reporting requirements?
No, unless the tribe has accepted the jurisdiction of the state for this purpose. There are several ways this can be accomplished. For example, a tribe can enter into an agreement with the state for the cooperative delivery of child support enforcement services, including reporting new hires to the New Hire Reporting Center. Under PRWORA, a tribe can operate its own IV-D system pursuant to section 455(f) of the Act.
I am a multi-state employer with employees in more than two states. Can I report all my employees to one state outside of Minnesota, except report Minnesota employees to Minnesota?
You must either report all employees to one state as long as you are registered as a multistate employer, or report employees to the state in which they work.
Yes, if the employees have gone 60 or more consecutive days without pay and return to work, they must be reported as a new hire. This includes teachers, seasonal workers, etc. Substitute teachers must be reported for the first day worked in each school year. Poll workers need to be reported only once.
I'm not sure if I have reported one of our new employees. How can I find out the names of employees I have already reported?
If you report your new hires online, you may review your records using our 'view new hires' feature. Or you can contact our customer service team at (800) 672-4473.
Is it possible to submit a test file after registering to report electronically, to verify our file layout?
No, we ask that you only send production files to the New Hire Reporting Center. Please contact the Minnesota New Hire Reporting Center at (800) 672-4473 or submit a Technical Support form for more information or assistance in verifying your file layout.
No, you may choose the reporting method that works best for you. If you want to report a large volume of new hires, we do suggest you do so electronically. For a smaller volume of new hire reports we recommend reporting via the internet.
You should contact our customer service team immediately at (800) 672-4473. Due to the sensitivity of information being provided, we do not suggest sending an email.
If an employee lives outside Minnesota, but works in Minnesota, to what state do I submit the New Hire report?
New Hire reports are submitted to the state in which the employee works. In this example, the New Hire report would go to Minnesota. However, employers with employees working in more than one state have other reporting options. For more information please refer to our Multistate Employer Information page.
How do I enter the employee's date of birth when it's a violation of the Age Discrimination in Employment Act (ADEA) to ask for their date of birth?
It is only a violation to discriminate against employees based on age and therefore would be unacceptable to ask for Date of Birth as part of the selection process. However, once you have hired the employee, it is appropriate to gather this information for reporting purposes.
The date of hire is defined as the first day an employee performs services for pay.
Do not hesitate to call the Minnesota New Hire Reporting Center toll-free at (800) 672-4473 with any questions regarding the new hire reporting process. Our help desk staff is available Monday through Friday, 8:00AM to 5:00PM Central Time.
