Adding seasonal employees to your small business payroll is probably something your operation does to keep your busy season manageable. While hiring temporary workers is helpful, there are things you should consider before adding employees to your small business payroll to prevent legal issues.
- How Long to Hire—Most seasonal workers know that their role is only temporary and they will be terminated at the end of your business’ busy season. Make sure your business is extremely clear with these expectations and put their contract in writing so there is never any question about when the employment agreement will end.
- Overtime Exemptions—Just like your full-time staff, your seasonal workers may also be eligible for overtime pay if they end up working more than 40 hours in a week. At the same time, exemptions may apply if your business usually hires seasonal employees on an annual basis. Ask us about overtime laws and exemptions that impact your specific type of business before adding workers to your small business payroll.
- Benefit Requirements—Your business does not have to offer the same benefits you provide to your full-time staff. However, there may be exceptions to this policy. Review your business’ benefits policies and make sure you are following all regulations before you start hiring for your busy season.
If you have questions about how seasonal workers will affect your small business payroll, ask us. At Goodson & Taylor CPAs, we’re here to help with all of your small business’ bookkeeping, payroll, and accounting needs.