North Dakota New Employer Information
Federal and State Tax Accounts
Federal Tax Accounts:
- The EIN (Employer Identification Number), or FEIN, is a unique nine digit number assigned by the IRS to identify your business. To learn more, read, “What Is an FEIN?”
- If you don’t already have an EIN, (aka FEIN), you can easily apply for an EIN with the IRS online. There is no cost to apply for an EIN.
- To read more about applying for an EIN, read our help article, “How to Apply for EIN.”
State of North Dakota Tax Accounts:
- North Dakota new employers can register their business online with the North Dakota Office of the State Commissioner to obtain a tax ID number for state income tax withholding (SIT).
- You may also want to sign up for e-File. An application to register for e-File is necessary for making payments or viewing any transactions Patriot has made on your behalf.
- You will need to register with the North Dakota Department of Job Services for a state unemployment insurance (SUI) account.
- North Dakota new employers need to complete Form SFN41216 Report to determine liability within 20 days of first hiring workers. This is an online form. If you have problems loading the form, please call the North Dakota Department of Job Services at 701-328-2814 and they will email a form to you.
- You may want to sign up for UI easy. Using this online account will allow you to make state unemployment insurance (SUI) or view any transactions made on your behalf by Patriot Software.
- The North Dakota new employer SUTA rate is 1.02% for a positive balance and 6.09% for a negative balance in non-construction industries in 2021. New construction employers use 9.69% for a positive balance and 9.69% for a negative balance. You will need to know this when you are setting up your payroll tax settings.
- Employers in North Dakota will receive a new State Unemployment Tax Assessment (SUTA) rate every year.
- To learn more about SUTA please read our article, “What Is SUTA Tax?”
Setting Up Your New Employee:
- Fill out the required Form I-9 for employee verification for working in the USA.
- This is a two part form. The first section is filled out the by the employee and the second part is to be filled out by the employer. Learn more about Form I-9.
- You must retain each employee’s completed Form I-9 as long as the individual works for you. For more information, please read “What Should Be in an Employee File?”
- Employees need to fill out Form W-4, Employee’s Withholding Certificate for both federal and North Dakota income taxes.
- For more information, read our help article, “Updates to the Income Tax Withholding Tables and What You Need to Know.”
- If your employees need assistance in determining their W-4 allowances, please refer them to our help article, “What Employers Need to Know About Employee Personal Allowances.”
- Employers need to report new hires online within 20 days of hire or rehire to the North Dakota Department of Human Service Child Support Division.
- North Dakota follows the federal minimum wage of $7.25 per hour.
- By law, you are required to post the minimum wage poster for your employees.
Once you have all the necessary information, you will be able to set up your payroll for your business.
You will want to keep all payroll records for at least three years. For more information please read our help article, “What Employers Should Know About Employee Payroll Records.”
Let us know if you have any questions. We are here to help!