Employer of Record in United States

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Compensation and Benefit

Wages：The national (federal) minimum wage is USD 7.25 per hour or USD 1,160 per month. There is additional state-by-state minimum wage laws.

Working Hours

Standard working hours are 8 hours per day, 40 hours per week. The standard work week is from Monday to Friday.

Public Holidays

Holiday Names and Duration：

9 national public holidays in the United States

New Year’s Day: January 1

Martin Luther King Jr. Day: Third Monday in January

President’s Day: Third Monday in February

Memorial Day: Last Monday in May

Independence Day: July 4

Labor Day: First Monday in September

Veteran’s Day: November 11

Thanksgiving Day: Fourth Thursday in November

Christmas Day: December 25

Annual Leave：

there is no federal requirement to pay employees for time off such as vacations and holidays

Sick Leave：

In the US, sick leave is covered under the Family and Medical Leave Act (FMLA) and only applies to serious illnesses. The FMLA provides up to 12 weeks of unpaid leave for an employee.

Employees are eligible for FMLA leave if:

They have worked for their employer for at least 12 months

Have worked for their employee at least 1,250 hours over the past 12 months

Work at a location where the employer employs 50 or more employees within 75 miles

To qualify as serious illness, either the employee or a member of the employee's immediate family must have an illness, injury, impairment, or physical or mental condition that involves either:

Inpatient care in a hospital, hospice, or residential medical care facility

Continuing treatment by a health care provider.

Maternity Leave：

In the US, pregnancy is a specific qualifying criteria for protected unpaid leave under Federal law with the Family and Medical Leave Act (FMLA). Under the FMLA, pregnant employees are entitled to 12 weeks of unpaid leave. This leave must be contiguous unless otherwise granted by an employer.

Employees are eligible for FMLA leave if:

They have worked for their employer for at least 12 months

Have worked for their employee at least 1,250 hours over the past 12 months

Work at a location where the employer employs 50 or more employees within 75 miles

Paternity Leave：

In the US, there are no specific Federal paternity regulations outside of the parental leave granted in the Family and Medical Leave Act (FMLA).

Family Leave：

In the US, Federal law allows for parental leave under the Family and Medical Leave Act (FMLA). Either or both parents can go on family leave within the first year after the adoption or birth of a child. Employees are entitled to 12 weeks of unpaid leave. This leave must be contiguous unless otherwise granted by an employer.

Employees are eligible for FMLA leave if:

They have worked for their employer for at least 12 months

Have worked for their employee at least 1,250 hours over the past 12 months

Work at a location where the employer employs 50 or more employees within 75 miles

Healthcare

Medicare - 1.45%

Social Security

The employer cost is generally estimated at 11.2% of the employee salary.

Social Security: 6.2%

Medicare: 1.45%

Federal Unemployment: 0.60%

State Unemployment: 2.7%

Workers' Compensation: 0.25%

Tax

Employer Rate：

Individual Income Tax：The individual income tax ranges from10% to 37%. Income tax is calculated according to progressive rates. Multiple additional factors may impact overall rates, such as marital status and the level of income.

VAT rate：Maine has a minimum flat Sales Tax Rate of 5.50 USD.

retire

Average retirement age：66.33

Policy of Termination & Severance

Every Federal, State, and City ordinance must be followed by employers while dismissing a worker. Termination cost might include Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA), which is a federal law that allows employees to continue with their health insurance while unemployed.

Notice Period：Employment at will means that both parties can terminate the contract at any time. However, the common practice in the USA is to give 2 weeks' notice.

Severance for Employees：There are no statutory severance provisions in the USA.

Main Types of VISAs

Foreign nationals without permanent resident status or a work visa are not permitted to work in the United States. An employer seeking to hire a foreign national may file a petition with the United States Department of Homeland Security/ United States Citizenship and Immigration Services (“USCIS”) for an employment visa on behalf of the prospective employee. If the petition is approved, the prospective employee must obtain a “visa stamp” from a United States embassy or consulate (Canadian citizens are exempt from this requirement). To get a temporary U.S. work visa, an employer must file a petition with U.S. Citizenship and Immigration Services (USCIS). An approved petition must be part of the visa request; the types of visas include:

H-1B – for applicants with a college degree hired to do specialised work. The visa is valid for three years and can be extended for an additional three years. The visa is connected to the employer that filed the petition. If there is a change of employer, the new employer must repeat the process. There are 65,000 H-1B visas available each year.

H-1B1 – for applicants with a college degree from Chile and Singapore. The US government grants up to 1,400 visas to Chilean citizens and 5,400 from Singapore each year.

H-2A – for temporary or seasonal agriculture work. It is limited to citizens of qualified countries. Usually valid for up to 1 year and can be extended to a maximum of 3 years.

H-2B – for temporary non-agricultural work. These visas are limited to citizens of qualified countries. Usually valid for up to 1 year and can be extended to a maximum of 3 years.

L – for intercompany transfers (people transferred from a foreign company to a US branch of the company.) The applicant must have been employed at the company for a year before the transfer and work in a managerial level position or higher with specialised knowledge.

0 – for people with extraordinary ability in science, arts, education, business, or athletics.

The standard procedure is to obtain a short-term work visa and then apply for an immigrant visa after the employee has started working in the United States.

For those seeking employment-based immigrant visas:

E-1 – Highest priority employment for those with extraordinary ability in science, arts, education, business, and athletics.

E-2 – for those with advanced degrees or exceptional ability.

E-3 – for skilled workers and professionals, as well as unskilled workers.

E-4 – Members of certain immigrant groups.

E-5 – Immigrant investors in US companies (substantial investment)

Alternatively, an employer may sponsor a potential employee’s application for permanent resident status, referred to as a “green card,” if the employee can establish that the potential employee is a multinational executive/manager transferee, has unique skills, or has been offered a job in the United States. The employer must have been unable to recruit a U.S. worker who meets the position’s minimum requirements.

All employers are obligated to verify that all individuals they employ are authorised to work in the United States.