Alex Can I work remotely in a different state?
Most people are domiciled and reside in only one state, but working remotely in another state may change things. A worker may have tax obligations in any state where they reside and possibly the state where their employer’s worksite is located.
Can a remote employee be considered an employee in another state?
Your remote worker will be considered an employee in his or her state of residence, not the state where your company is based. Work being performed remotely counts as time worked. Compensate remote nonexempt employees for all hours worked, including work performed at home or another remote location, under the FLSA.
Is it more common to hire remote employees?
Remote work or work from home jobs have become increasingly more common, especially in the digital and tech industries. And managing a team that works remotely can save money and increase productivity — if you manage your remote team effectively. But staying compliant can be especially tough when hiring remote employees in other states.
Can a state waive the remote worker nexus rules?
If your employees are working out-of-state temporarily due to COVID-19, the state may waive the remote worker nexus rules. It is best to talk to your tax adviser to find out for sure.
Do you need workers’comp policy for remote employees?
Employers should also be familiar with any state laws governing electronic signatures where the remote employee resides, or where the employer operates, that may apply. Do you need a workers’ comp policy that covers remote workers? The short answer is yes.
Your remote worker will be considered an employee in his or her state of residence, not the state where your company is based. Work being performed remotely counts as time worked. Compensate remote nonexempt employees for all hours worked, including work performed at home or another remote location, under the FLSA.
Remote work or work from home jobs have become increasingly more common, especially in the digital and tech industries. And managing a team that works remotely can save money and increase productivity — if you manage your remote team effectively. But staying compliant can be especially tough when hiring remote employees in other states.
What happens if an employee lives in a different state?
If you have any employees residing in a state different from the state where your company is located, you will need to set up state withholding for at least one of the states, possibly both. Any employee residing in a different state from your business should give you a certificate of non-residence for the state where your business is located.
Employers should also be familiar with any state laws governing electronic signatures where the remote employee resides, or where the employer operates, that may apply. Do you need a workers’ comp policy that covers remote workers? The short answer is yes.