Tax & Compliance
Startup Payroll Setup & Compliance
Collated by Aparna Devalla, CPA
Curated by Rubric Financial
1 / 5
Getting Started: EIN and State Registrations
- Obtain a federal Employer Identification Number (EIN) from the IRS before hiring — this is required for all payroll tax filings and can be obtained online immediately.
- Register with your state's department of revenue for income tax withholding and with the state employment agency for unemployment insurance (SUI) in every state where you have employees.
- Some states and localities require additional registrations for disability insurance, paid family leave, transit taxes, or local income tax withholding.
- Keep track of all registration numbers and filing frequencies, as each state has different deadlines, rates, and electronic filing requirements.
Related Resources
Tax & Compliance
R&D Tax Credits for Startups
Discover how your startup can claim R&D tax credits to offset payroll taxes or reduce income tax liability by up to $500K per year.
Tax & ComplianceBusiness Entity Selection: C-Corp vs LLC vs S-Corp
How to choose the right entity structure for your startup based on funding plans, tax implications, and operational needs.
Tax & ComplianceSection 754 Election: Step-Up Basis for Partnerships (and Why S-Corps Can't)
The §754 election is the mechanism that lets partnerships and LLCs step up the inside basis of their assets when a partner dies, transfers their interest, or takes a distribution. S-corps have no equivalent — a real cost founders often discover too late.
