• Administrative Support Services
    • Brief List of Recurring Admin Services
    • Social Media Marketing Services
    • Bookkeeping Services
    • Account Receivable and Payable Services
    • Procedure Evaluations and Refinement Services
    • Virtual Admin Consults
    • Website Help and Maintenance Service
    • Testimonials
  • Solutions For
    • Administrative Support
    • Bookkeeping Tips
      • Payroll
      • QuickBooks Online Tips
    • Business Success
    • Business Gift Ideas
    • Inspiration
    • Management and Leadership
    • Marketing
      • Blogging Tips
      • Social Media Marketing
      • Website
    • Organizing
      • Computer Organization
        • Digital File Organization
      • Office Organization
      • Office supplies
      • Office Zones
      • Paper Management
    • Procedures
    • Productivity
      • Time Management
    • Protecting Privacy
  • Advertising
    • Disclosure Policy
    • Small Business Resources
  • Home Organizing Blog
  • About Me
  • Contact Me

Sabrina's Admin Services

Marketing ~ Bookkeeping ~ Organizing

You are here: Home / Business / How To Organize Employee Records

How To Organize Employee Records

October 19, 2016 By Sabrina Quairoli THIS POST MAY CONTAIN AFFILIATE LINKS. PLEASE READ MY DISCLOSURE POLICY IN THE MAIN MENU FOR MORE INFO.

How To Organize Employee Records

How do you keep your employee’s paperwork? Do you have one folder for each employee? Or, are they all in one folder?  Do you know where all your employee paperwork is? Do you have subcontractors? Where are all the sensitive W-9 and W-2 paperwork? Are they in a secure place? Every small business needs to keep employee records. I have found that several small businesses do not know where all their paperwork is.  And, if this information falls into the wrong hands, you could be creating undue stress on your employee or subcontractor. To eliminate confusion with which tip relates to which type of personnel, I  marked an “E” or “S” at the beginning of each tip to help you organize your personnel files more effectively.

How To Keep Personnel Records Organized

  1. E or S: Have an area for basic personnel files. This would include resume, W-4 form, copy of job description, benefits records (health and retirement), contracts (salary letters), and any discipline issues paperwork.

  2. E: Store confidential medical records separately from where the basic personnel files are kept.  This will keep you in compliance with the various privacy laws.

  3. E: Keep employee injury paperwork in separate folders. For any injuries, you should have a separate folder with the paperwork related to the employee’s injuries. This will keep it easily accessible if you ever need to refer to this paperwork.

  4. E: Have your payroll paperwork in a separately organized payroll binder. A binder is great because you can hole punch everything and divide it up by tax agency and add a section for employees pay stubs. Add a section in the binder for the I-9 employee form for your employees. And, at the end of the year, you can file the whole binder away for safe keeping. My clients really appreciate their payroll binder. Remember, you are an employee so don’t forget to fill out the paperwork for yourself and store it in the binders as well.

  5. S: Keep Subcontractor invoices in their own folder per year and contracts/agreements in another more permanent folder some where else. Keeping them separated will minimize the likelihood that an important paper would be missing.

  6. E or S: Create custom forms for personnel. If you have forms specific to your industry for your personnel to complete, keep blank copies in a  few “New personnel” packets. Also, include the federal and state forms that need to be filled out as well.  When you have a new employee, all the paperwork is in one place.

  7. E or S: All personnel files are to be secure.  There should only be a small amount of people who know where this paperwork is.  Filing in a locked cabinet like these below work nicely.


  8. E or S: Protect your files that are digital with passwords. If you have it digital, make sure it is password protected.  Make your passwords as strong as possible using capital letters, symbols, numbers and lower case letter. Make it unique.

  9. E or S: Create a personnel policy. This would include where all the different folders are, who can access them and when they can access them.

Unfortunately, the IRS does not give you much direction on how to keep this information so hopefully, this does.  They only list the following for business employment tax records. Visit IRS.gov to get more information.

  • Your employer identification number.

  • Amounts of tips reported.

  • Amounts and dates of all wage, annuity, and pension payments.

  • Employees Names, addresses, social security numbers, and occupations

  • Employee copies of Form W-2 that were returned to you as undeliverable.

  • Sickness or injury dates and how much was paid to employees

  • Employment dates.

  • Forms W-4, W-4P, W-4S, and W-4V copies

  • Tax deposit dates and amounts

  • Returns file copies.

  • Tips Records

  • Fringe benefits Records

Employment Records to Keep

The IRS recommends employment records be kept for 4 years from when the employee is terminated or leaves the company. So, for 2016 tax year, you should keep these records until January 2020. For more information on tips on how long you should keep your business records, please visit my recent post.

I hope this information gives you some guidance on how to organize your employee records.

(Visited 1,462 times, 1 visits today)

Filed Under: Business, Management and Leadership, Office Organization, Organizing, Paper Management, Payroll, Procedures, Small Business, Time Management Tagged With: Desk, Employees, Employment, Filing Systems, human resources, IRS, Paper, personnel files, subcontractor files, Tax paperwork, Tips

Comments

  1. Tandy Elisala says

    October 22, 2016 at 6:21 pm

    Hi Sabrina, Coming to you from the Virtual Brainstorming FB group. I absolutely LOVE this article. I’m glad I found you. I’m shifting my business to focus on women entrepreneurs who want to build their leadership skills and create world-class support systems. Your tips here about employment records is SO critical! I know who I’ll refer people too:-)

    • Sabrina says

      October 23, 2016 at 8:01 am

      Thank you for saying that, Tandy. I’m glad you are finding my site helpful.

  2. Reba Linker says

    October 21, 2016 at 4:44 pm

    Sabrina, You are so organized, and so right about your organization of personnel files. I hope to never have to do it again! Lol!

  3. Joan Harrington says

    October 20, 2016 at 8:04 pm

    Hi Sabrina,

    Awesome list of how to keep records organized and easily accessible especially if you are a small business….less stress.

    Thanks for sharing 🙂

  4. Joyce Hansen says

    October 20, 2016 at 9:48 am

    This is a great information, Sabrina. By having guidelines from the beginning, your business certainly saves a lot of heartache in the future.

  5. Alene Geed says

    October 20, 2016 at 9:32 am

    I have to admit that I have one large folder with all the payroll stubs. Periodically I pull out the old ones and do an archive. Since I now only have one employee plus myself. It is not as bad as it sounds. That being said…I will now separate the two and keep them organized

  6. Carol Rundle says

    October 19, 2016 at 7:22 pm

    Your website is a treasure trove of valuable information, Sabrina. Thank you.

  7. Tamuria says

    October 19, 2016 at 3:50 pm

    Being organised and careful with other people’s personal records is important and a huge responsibility. Your tips for what to keep and how to save records are so helpful, Sabrina.

  8. Susan Mary Malone says

    October 19, 2016 at 12:15 pm

    I no longer have employees, Sabrina, but sure with I had this when I did! Great tips.


Follow

Want to receive the Admin Newsletter?

Subscribe to our mailing list

* indicates required
Small Business Owners

Amazon Disclosure

Sabrina’s Admin Services blog is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to Amazon.com.

Looking for tips on a particular topic? Write the keyword here.

Administrative Popular Posts

  • Tips to Organize Office Files – So Anyone Can… (16,279)
  • How To Make Your Budget More Effective (5,755)
  • Simple Tips to Organize Your Invoice Process (5,124)
  • Microsoft OneNote Notebooks Tips (5,084)
  • 6 Tips for Keeping Effective Filing Systems in the Office (4,286)

Or Search by Categories

Customized Google Search from Sabrina’s Admin Services and other experts

Want to get notified of new Blog posts?

Subscribe to our blog only

* indicates required

Organize Your Office



Privacy Statement and Opt-Out Option

To better serve our visitors, our site collects visitors' activities on our site. We only use this data for making our content better and more relevant to our visitors. If you wish to opt-out of us collecting your information, please click the link above.

Membership

Official PayPal Seal


Welcome! Thanks for stopping by my blog.

I love to help small business owners make their work and home life more organized and effective to speed up actions and minimize costs. I own and write for Sabrina's Admin Services and Sabrina's Organizing Blogs. Feel free to read more about me...

Copyright © 2011 - © 2018 Sabrina's Admin Services Blog and website content by Sabrina Morresi-Quairoli is licensed under a Creative Commons Attribution-NoDerivs 3.0 Unported License. Based on a work at Sabrina’s Admin Services blog, website, and newsletters. Permissions beyond the scope of this license may be available at contact page. Site Map Connect With Us On Facebook