About the Law
Basics of New Hire Reporting
- What is new hire reporting and what is done with the information?
- Why have a National Directory of New Hires?
- Isn't this information currently available through quarterly wage reporting?
- How do employers benefit from new hire reporting?
- What information must I report?
- How do I report?
- Where do I report new hires?
- How often must I report?
- How will the information be used?
- I've never reported new hires, what do I do?
Common Employer Questions
- I am an employer with employees in more than one state. What special considerations, if any, need to be made for this?
- Is there an easier way to report other than submitting a New Hire Reporting Form?
- What if I have questions about child support or income withholding?
- Do I have to report if I do not hire anyone?
- Do I still need to mail W-4's if I report my new hires via the Internet?
- Are domestic employees (maid, nurse, gardener) required to be reported?
- I am an employer who has more than one address. Which one should I list?
- I provide employee information on my Quarterly Wage Reports. Why must I also report the employee as a new hire?
- Do temporary agencies have to report their new hires for every assignment?
- Must I report employees returning from maternity, family or other leave of absence?
- Do I need to submit a new hire report for independent contractors and subcontractors performing services for me?
- Do I need to report an employee who worked for a couple of hours or days and then quit?
- Must I report part-time employees?
- Do I need to report re-hired employees?
- We do not officially hire employees until after the three month probationary period has been completed, even though they are on the payroll. When do they count as new hires?
- In addition to reporting new hires, do I need to report terminated employees as well?
- If I take over a business, do I have to report all of the employees?
- If an employee lives outside Tennessee, but works in Tennessee, to what state do I submit the New Hire report?
- Do I have to include my FEIN on line 10 of the W-4? The instructions say to include it only if I sent it to the IRS.
- Can I send an outdated W-4?
- I am an employer with more than one FEIN. Which do I use for the new hire report?
- Are employers on Native American reservations and lands subject to the new hire reporting requirements?
- I'm not sure if I have reported one of our new employees. How can I find out the names of employees I have already reported?
- Is it possible to submit a test file after registering to report electronically, to verify our file layout?
- If I start sending reports using one method, do I always need to file my reports the same method?
- What should I do if I make a mistake on the employee information and I've already submitted it?
- How do I enter the employee's date of birth when it's a violation of the Age Discrimination in Employment Act (ADEA) to ask for their date of birth?
- What is the definition of an employer?
- What is the definition of date of hire?
- I have no employees who pay child support. Why must I report them?
- What should I do if I've been in violation of this law and was not aware until now?
- Is there a fine for not reporting new hire information?
- What if I still have more questions about new hire reporting?
For Those New to the New Hire System
About the Law
Tennessee law §36-5-1101 to §36-5-1108 and the Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) of 1996, 42 U.S.C. 653a, requires all employers to report newly hired and re-hired employees to a state directory within 20 days of their hire or re-hire date.
All employers and/or labor organizations in the State of Tennessee.
Employers are required to report the following employees:
- New employees: Employers must report all employees who reside or work in the State of Tennessee to whom the employer anticipates paying earnings. Employees should be reported even if they work only one day and are terminated (prior to the employer fulfilling the new hire reporting requirement).
- Re-hires or Re-called employees: Employers must report re-hires, or employees who return to work 60 days after being laid off, furloughed, separated, granted a leave without pay, or terminated from employment. Employers must also report any employee who remains on the payroll during a break in service or gap in pay, and then returns to work after 60 days. This includes teachers, seasonal workers, etc. Substitute teachers must be reported for the first day worked in each school year. Poll workers need to be reported only once.
- Temporary employees: Temporary agencies are responsible for reporting any employee who they hire to report for an assignment. Employees need to be reported only once; they do not need to be re-reported each time they report to a new client. If the worker has a break in service of 60 consecutive days or more from your agency and a new W-4 form is required, then a new hire report would be necessary.
No one is exempt from this law.
Labor unions and hiring halls must report their own employees; that is, individuals who work directly for the labor union or hiring hall. If the labor union or hiring shall simply refers individuals for employment, it does not need to file new hire reports for these actions. If a labor organization actually pays the individuals whom it refers (as opposed to having them paid by the person or entity to whom they have been referred), the labor organization would be considered the "employer" and subject to the new hire reporting requirements.
Basics of New Hire Reporting
New hire reporting is a process by which you, a Tennessee employer, report information on your newly hired or rehired employees to the State of Tennessee New Hire Reporting program within 20 days of hire or re-hire. Tennessee's Department of Human Services (TDHS) will match your new hire reports against their child support records to locate parents, establish a child support order, or enforce an existing order. Then the TDHS transmits these new hire reports to the National Directory of New Hires (NDNH). New Hire information is also used to detect and prevent fraud within other State agencies such as employment security, worker's compensation and UI. Other state programs can also conduct matches between themselves and the new hire database to prevent public assistance fraud.
This is not just a program for Tennessee employers however, all employers in every state are required by law to report their newly hired or re-hired employees to that state's new hire directory.
Many of the child support cases in Tennessee involve non-custodial parents who do not live in Tennessee, but their children do. By matching the new hire data with child support data at the national level, the federal Office of Child Support Enforcement (OCSE) helps state agencies in locating non-custodial parents living in other states. When new hire information is received by TDHS from the OCSE on non-custodial parents working in other states, TDHS can take the steps necessary to establish paternity, establish a child support order or enforce existing orders.
Most notably, prompt and thorough reporting of new hires will cause a reduction and prevention of fraudulent unemployment and workers' compensation payment. Timely submissions of new hire data will allow TDHS to match this data against its active unemployment claimant files and either stop payments or recover erroneous payments. Timely reporting of new hires will enable TDHS to locate non-custodial parents sooner and will decrease families' dependence on public assistance.
New hire reporting accelerates the child support income withholding order process, expedites collection of child support from parents who frequently change jobs, and promptly locates non-custodial parents to help establish paternity and child support orders. Because of this, new hire reporting is essential to helping children receive the support they deserve. Employers serve as key partners in ensuring the financial stability of many children and families and should take pride in their integral role.
Required Employer Information:
- Employer's Federal Employer Identification Number (FEIN). If you have more than one FEIN, please make certain you use the same FEIN you use to report your quarterly wage information when reporting new hires.
- Employer's Name
- Employer's Address
Required Employee Information:
- Employee's Name (First, Middle, Last)
- Employee's Mailing Address
- Employee's Social Security Number (SSN) or ITIN
- Employee's Date of Hire
Optional Employer Information:
- Employer's Payroll Address
Optional Employee Information:
- Employee's State of Hire
- Employee's Date of Birth
- Earned Income Tax Credit Available
- Employee Left Employment
- Health Insurance Available
View questions about Multistate employers.
There are a variety of ways to report new hires, including online reporting, electronic reporting and by mail or fax. Get more information on the convenient reporting options available.
Electronic Reports - Utilizing our Web site's online reporting feature is a very popular option for employers. This feature provides printable confirmation of reports received, and is conveniently available 24 hours a day, 7 days a week.
Employers can send new hire data files in a variety of ways, including transferring files through the Web site or through internet connection using File Transfer Protocol (FTP). Employers can also mail reports directly to us on diskette. Learn more about electronic reporting.
Non-Electronic Reports - Paper new hire reports may either be faxed or mailed to the Tennessee New Hire Reporting Program.
Tennessee New Hire Reporting Program
P.O. Box 438
Norwell, MA 02061
Toll-free: (877) 505-4761
Employers must report within 20 days of a new employee's hire date. Employers who submit reports magnetically or electronically shall submit the reports in two monthly transmissions not less than 12 nor more than sixteen 16 days apart. There is no need to report if there are no new hires since the last report.
Federal and State laws outline strict guidelines for the use of new hire reporting information. Tennessee's child support computer system matches new hire information against open child support cases in order to locate non-custodial parents to establish paternity and child support orders, as well as enforce existing orders. Once these matches are completed, the new hire information is sent to the National Directory of New Hires and is utilized by Child Support Agencies nationwide.
New hire information can also be used by states to help detect and prevent fraudulent payments to recipients of unemployment insurance, workers compensation, and welfare benefits.
The use of this information provides financial support for Tennessee's deserving families and works towards a reduction in welfare and unemployment insurance costs.
Begin by reporting any new employees you've hired within the last 180 days. Continue by reporting any new hires you have within 20 days of their hire date.
Common Employer Questions
New hire reporting is mandated by law in all 50 states so one of the main goals of new hire reporting legislation is to make it as easy as possible for employers to comply. For those employers who have employees in more than one state, we have two convenient options for reporting. View more details on multistate reporting.
We highly recommend reporting your new hires electronically, as there are multiple options for doing so. You can either report new hires using our convenient Web site, or you can transmit a data file created by your company's human resources or payroll software. Electronic reporting eliminates paperwork, increases the accuracy of the reports, allows faster processing, and can save on postage and other costs. Additionally, our Web site also provides printable confirmation of all new hires you report during a session. Electronic reporting can also qualify Multistate employers to report new hires directly to one state.
The New Hire Directory does not have access to specific child support information and does not have the ability to answer questions related to child support. Check out our Employer Resources page to find information on local, state, and federal child support agencies.
No. Reports are only required after an employee is hired.
No, your obligation has been met. There is no reason to mail or fax a W-4 on your new hire if you have reported that information over the Internet.
New hire reporting legislation requires all "employees" to be reported. Thus, an individual who is an employee for purposes of federal income tax withholding from wages is also an employee for new hire reporting purposes. If you need to determine if you should be paying federal income tax for your employees, please contact the Internal Revenue Service at (800) 829-1040 or visit them at www.irs.gov.
You should list the address where you want income withholding orders sent. A street address is preferred, as long as mail can be sent there.
New hire information from the Quarterly Wage Reports becomes available two to six months after the date of hire. When you report new hires immediately, there is a much better chance of locating the individual while still employed, and the required child support action can be taken at once. Furthermore, fraudulent unemployment insurance, workers compensation, and welfare benefit payments can be detected quickly.
Temporary agencies are mandated to report their workers who sign a W-4 form and report to an assignment. Workers only need to be reported once, and they do not need to be reported each time they are placed with a new client. If the worker has a break in service of 60 consecutive days or more from your agency and a new W-4 form is required, then a new hire report would be necessary.
An easy rule of thumb to help you remember when to report a new hire: If the employee returning to work is required to complete a new W-4 form, than you as an employer must report the individual as a new hire. If, however, the returning employee had not been formally terminated or removed from the payroll records, there is no need to report that individual as a new hire.
You must first determine whether or not there is an existing employer/employee relationship. If the work being performed is based on a contract rather than an employer/employee relationship, under Federal law you are not required to report. In such circumstances, the contractor is responsible for reporting his/her employees.
As long as an employee filled out a W-4 form, even if they only worked for a few hours, that employee must be reported. Although that employee is no longer with your company, useful information such as home address and work history can be obtained from their new hire report.
Yes. Federal and State law require that any employee hired that must fill out a W-4 form upon hiring, must be reported. This is regardless of whether the employee is a Full-time or Part-time employee.
Yes, if the employees have gone 60 or more consecutive days without pay and return to work, they must be reported as a new hire. This includes teachers, seasonal workers, etc. Substitute teachers must be reported for the first day worked in each school year. Poll workers need to be reported only once.
The employee should be reported within 20 days of their first day of work, regardless of any probationary period.
No. Only new hires and re-hires are required to be reported to the New Hire Directory. However, if the terminated employee had an Income Withholding Order for child support, the termination should be reported to the agency that issued the order.
Not if these employees have previously been reported and if you as the new employer will continue to honor any Income Withholding Notices that are in effect. If you will not honor the previous withholding notices you must report all employees as new hires. Employers must report any newly hired employee who is hired after that date. If you are unsure if employees have been previously reported, we recommend reporting any employee hired within the last 180 days.
Employers can send new hire data files in a variety of ways, including transferring files through the Web site or through internet connection using File Transfer Protocol (FTP). Employers can also mail reports directly to our New Hire Directory on a diskette. Learn more about electronic reporting.
Non-Electronic Reports - Paper new hire reports may either be faxed or mailed to our New Hire Directory.
New Hire reports are submitted to the state in which the employee works. In this example, the New Hire report would go to Tennessee. However, employers with employees working in more than one state have other reporting options. For more information please refer to our Multistate Employer Information page.
Yes, if you are sending in your report by W-4, you must include the employer name, address, and Federal Employer Identification Number (FEIN) in blocks 8 and 10 of the W-4 form. When reporting new hires, if you have more than one FEIN, please make sure you use the same FEIN used to report your quarterly wage information. The W-4 form must also include the employee's date of birth and date of hire.
Yes, but if you need new W-4 forms, please contact the Internal Revenue Service.
Use the same FEIN under which the employee's wages are reported.
No, unless the tribe has accepted the jurisdiction of the state for this purpose. There are several ways this can be accomplished. For example, a tribe can enter into an agreement with the state for the cooperative delivery of child support enforcement services, including reporting new hires to the State Directory of New Hires (SDNH). Under PRWORA, a tribe can operate its own IV-D system pursuant to section 455(f) of the Act.
If you report your new hires online, you may review your records using our 'view new hires' feature. Or you can contact our customer service team at (888) 715-2280.
No, we ask that you only send production files to the New Hire Directory. Please contact the New Hire Directory at (888) 715-2280 or Tennessee New Hire Reporting Program <firstname.lastname@example.org> for more information or assistance in verifying your file layout.
No, you may choose the reporting method that works best for you. If you want to report a large volume of new hires, we do suggest you do so electronically. For a smaller volume of new hire reports we recommend reporting via the internet.
You should contact our customer service team immediately at (888) 715-2280. Due to the sensitivity of information being provided, we do not suggest sending an email.
It is only a violation to discriminate against employees based on age and therefore would be unacceptable to ask for Date of Birth as part of the selection process. However, once you have hired the employee, it is appropriate to gather this information for reporting purposes.
Federal legislation states that an "employer" for New Hire reporting purposes is the same as for federal income tax purposes (as defined by Section 3401(d) of the Internal Revenue Code of 1986) and includes any governmental entity or labor organization. At a minimum, in any case where an employer is required to give an individual a W-2 form showing the amount of taxes withheld, the employer must meet the New Hire reporting requirements.
The date of hire is defined as the first day an employee performs services for pay.
Federal and State law require employers to report all newly hired or re-hired employees to the designated New Hire Reporting program, whether or not the employer believes that a given employee owes child support. We compare this information against the names of child support obligors and recipients of public benefits, to improve child support collections and detect fraud and abuse in public benefits programs.
Begin reporting your new hires immediately.
In Tennessee, failure to comply with the New Hire law could result in a $20.00 fine per incident for failure to report or up to a $400.00 fine if conspiracy to avoid reporting is determined.
Do not hesitate to call the Tennessee New Hire Reporting Program toll-free at (888) 715-2280 with any questions regarding the new hire reporting process. Our help desk staff is available Monday through Friday, 8:00AM to 4:30PM CST.