Things to consider

Hiring an employee is a big decision. To make sure you hire the right person for the job, consider these things:

  • how much work needs doing
  • when work needs to be done by
  • the difference between an employee and a contractor
  • what level of responsibility you’re willing to take on
  • what the rules are around different staff types. 

Register as an employer

No matter how long you’ve been in business for, hiring your first employee is a real milestone and an exciting step to take. 

Register as an employer with Inland Revenue (IR) if you:

  • know you’re going to hire a permanent, fixed-term or casual employee
  • have your IR number ready
  • you’ve considered offering your staff payroll donations or fringe benefits
  • know of your responsibilities in relation to KiwiSaver accounts of your employees. 

If you’re not sure of all the above, check Inland Revenue’s First-time employer’s guide. 

Read the first-time employer's guide – Inland Revenue

 

If you are ready to go ahead, either:

  • use Inland Revenue’s register as an employer online service
  • post a completed Employer registration form (IR334) to IR.

Register as an employer – Inland Revenue

Learn about how to employ someone – Inland Revenue

What paid employees need

All paid employees need the following:

  • any equipment needed to do their job, like a computer.
  • a signed employment agreement specific to their role and employee type – this includes things like hours of work, location of work, description of work, and salary.
  • a tax code declaration (IR330).
  • relevant KiwiSaver forms (for New Zealand residents or those on a long-term visa).
  • health and safety training and equipment. 

You also need to:

  • register as an employer with Inland Revenue
  • deduct PAYE from your employees’ salary and wages, which you record in your Employer monthly schedule (IR348) and Employer deductions form (IR345)
  • pay annual ACC levies.

Learn more about

Deciding to hire