For businesses
Employer of Record (EOR) payroll services.
An Employer of Record (EOR) is the legal employer of a worker you choose. You find the person, and ETS Workforce Solutions puts them on our payroll and handles the taxes, insurance and paperwork. There is no recruiting fee.
Ask us to run an Employer of Record quote
Your hire, our payroll
What you get with Employer of Record.
Employer of Record (EOR) payroll services are for the people you sourced yourself. That could be a referral, an intern you want to keep, or a contractor you would rather have on a payroll. We become their legal employer so you do not have to.
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We are the legal employer
Your employee joins the ETS payroll. We handle the tax filings, the workers compensation policy and the unemployment insurance.
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Required employer costs are included
Social Security and Medicare, unemployment insurance, workers compensation and paid sick time are all inside the markup. There is no separate line item and no year-end surprise.
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No recruiting fee
You found the person, so you are not paying us to find them. That is why this markup is roughly half of what contract to hire costs.
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Weekly pay and benefits
Your employee gets weekly direct deposit, on-demand earned wages, health insurance and 401(k) eligibility, the same as anyone else on our payroll.
How it works
How Employer of Record works with ETS.
Most Employer of Record placements are up and running within two days.
Tell us who you are hiring
Give us the name, the role, the pay rate and the start date. We do not need to recruit, so this is a short conversation.
We onboard your new hire
We run the paperwork, the I-9, the tax forms, the benefits enrollment and the workers compensation setup, usually within a day or two.
Payroll starts
They are paid every week by direct deposit. You approve the hours, and we handle everything after that.
You just manage the work
You direct the work day to day. We handle the employment, the filings and anything that comes up on the compliance side.
What it costs
What Employer of Record costs.
One markup, about 25% over the pay rate. All required employer costs are included.
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About 25% over pay rate
The standard Employer of Record markup is about 25% over the base pay rate. For an employee paid $20 an hour, that is a bill rate near $25 an hour.
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What the markup covers
Workers compensation insurance, Social Security and Medicare, federal and state unemployment, paid sick time, disability where it applies, and the payroll administration itself.
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No separate onboarding charge
Setting up your employee, running payroll, filing the taxes and handling the compliance paperwork is all included in the markup.
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Move them to your payroll anytime
When you are ready to bring them onto your own payroll, tell us and we make the switch. Employer of Record has no conversion fee attached to it.
Questions
Employer of Record questions, answered.
The questions we hear most about Employer of Record. Call us at (518) 562-4673 for anything else.
What is an Employer of Record?
An Employer of Record is the company that legally employs a worker on your behalf. ETS runs the payroll, files the taxes, carries the workers’ compensation and unemployment insurance, and handles the compliance, while you direct the work day-to-day.
How much does Employer of Record cost?
The markup is about 25% over the base pay rate. For an employee paid $20 an hour, that is roughly $25 an hour billed. Workers compensation, Social Security and Medicare, unemployment insurance and paid sick time are all inside that number.
Why is it cheaper than contract to hire?
It costs less because you found the person yourself. The higher markup on contract to hire largely covers the cost of recruiting, and Employer of Record does not include that cost.
Who is liable if the worker is injured?
The worker is covered by the ETS workers’ compensation policy. You are still responsible for a safe workplace.
Can I move the worker onto my payroll later?
Yes, whenever you want. Employer of Record placements have no conversion fee, so you can bring them onto your own payroll at any point.
How quickly can you onboard someone?
Usually within one to two business days from the moment you send us the name, the pay rate and the start date.
Is Employer of Record the same as a PEO?
No. With a PEO, you and the PEO share the employer role, and you usually move your whole staff over. With Employer of Record, ETS is the only legal employer, and only for the workers you choose.
Is Employer of Record the same as payrolling?
Yes. Payrolling is another name for the same service. You pick the worker, and ETS employs and pays them.
Who uses Employer of Record?
Companies use it to keep an intern, hire a referral, or move a contractor onto a payroll without adding headcount of their own.
My employer is moving me to the ETS payroll. What does that mean for me?
You do the same job at the same workplace. ETS becomes your legal employer, pays you every week by direct deposit, and gives you access to health insurance and a 401(k).
Have someone you want to hire?
Send us the name and the pay rate and we will come back with a bill rate the same day.