1. Set up equipment
If things are already set up for employees before they start, they will be able to start work faster – saving you time, money and effort.
To help with setting up before your new employee starts, here’s a list of common things most workplaces should consider.
Employee equipment
Caroline, a sales representative for the North Island, was hired to sell new products to retail outlets. However, because a company car wasn’t available on her start date, she spent a week off the road. This cost the company more than $1,000 and gave her a poor first impression.
2. Get your digital systems ready
Setting up new employees with usernames, passwords and other digital systems before they start working, will get them settled in faster when they arrive.
Own Your Online’s easy-to-use set of guides can help you decide the best steps to take, to protect your business from cyber security risks. Another great resource for online security advice is the non-profit organisation Netsafe.
It’s also good practice to set up employee specific email addresses and add them to a company-wide group list.
3. Notify your insurance company
To protect yourself, tell your insurance provider that you’ve taken on a new employee and that you want to add them to your policies.
Adding more employees into your policies will likely cost you more. Compare your plan against other providers or contact an insurance broker for advice.
4. Create an employee file
As an employer, by law you must keep an employee file with specific information.
You need to keep an electronic or paper copy of employee files for at least seven years.
5. Prepare for employee payroll
Before setting up your new employee’s payroll, determine:
- their KiwiSaver information
- their tax code
- how they want to be paid (bank account details).
Before starting work, all new employees must fill out a Tax code declaration (IR330) and return it to you.
If you haven’t got it already, ask your employee to bring their bank account details on their first day.
KiwiSaver
It’s your responsibility to check who might be exempt. Those who have been automatically enrolled but don’t want to be KiwiSaver members can complete Inland Revenue's opt-out request form (KS10).
People on temporary, visitor or student permits can’t join KiwiSaver.
Get set for payday
Set up payroll with the information you've received from your new employee.
You need to be registered as an employer with Inland Revenue to do this.
If you haven't already registered for one, get a myIR account for your business. This will make your transactions with Inland Revenue smoother and save you time in the long run.
For help with setting up payroll, contact an accountant or consider getting payroll software.
Remember that if an employee's working arrangements change, this will affect their payroll, so make sure you update your system.
7. Provide access to your workplace, tools and resources
Employees will feel trusted and more independent if you’ve given them access to items like vehicle keys, swipe cards and hardware.
Having a sign-in and sign-out sheet can be a great way to know who has got what. It also means that if you're looking for an item, you know who to ask.
8. Set up holiday and leave arrangements
Having internal systems for staff holidays and leave will allow you to plan workloads, budgets and allocate resources.
Employees can ask to cash-up part of their holiday leave, up to a week each year, if they'd like money instead of time off. If you don't want to do this, put in place a ‘no cash up’ policy and make sure everyone knows about it.
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