When starting a business in Colorado, there are many different categories of laws that you need to know. It can be a lot of handle on top of all the other things you have to do to get your business off the ground. However, if you make a misstep when it comes to employment law, you can end up paying for it.
All Business explains that when you choose to employ workers in your business, you take on some legal liability for them. You have to make sure that you follow all the employment laws at the state and federal level. Here is a rundown on four laws that you need to know about.
You will always pay taxes. That is the golden rule of life. There are specific taxes associated with employees. You need to be sure that you pay all taxes due when they are due or you could face penalties and fees.
- Employees vs. independent contractors
How you categorize your workers is important. It determines many legal aspects. If you wrongly categorize an employee as an independent contractor, you should expect to face some serious consequences. So, make sure you get it right from the start.
- Hour laws
Hour laws refer to how many hours an employee can work each day and each week. With adult employees, hour laws are not as strict as they are with minors. If you employ minors, be especially careful with hour law regulations.
- Wage laws
There are direct laws about how much you have to pay your employees. The state and federal government set minimal standards that you must meet. There are some exceptions, though, so make sure that you know how much you have to pay.
Having a handle on employment law when you start a small business will help you out in the long run. Do not let a violation trip up your business.