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Kentucky New Employer Information

Congratulations on your decision to become a new employer in Kentucky! You will need a few things in place before you run your first payroll. For help registering your business in Kentucky, check out our partner, CorpNet.

Federal and State Tax Accounts

Federal Tax Accounts:

Apply for an EIN View Details

If you don’t already have one, you will need to apply for an Employer Identification number (also known as an EIN or FEIN). The simplest way is to apply for an EIN is with the IRS online. There is no cost to apply for an EIN.
To read more about applying for EINs, read our help article, “Your Step-by-step Guide on How to Apply for EIN”

Enroll in EFTPS View Details

Although it is not mandatory, we recommend you enroll in EFTPS (Electronic Federal Tax Payment System). You can easily register online. You will need to have this account to make tax payments online or view whatever tax filings have been made on your behalf by Patriot.
To find out more about the EFTPS, read our article, “What Is EFTPS?”

State of Kentucky Tax Accounts:

Register With Kentucky Department of Revenue View Details

Register your business with the Kentucky Department of Revenue to receive an employer’s withholding tax account number.
Businesses with existing tax accounts that need to register for additional accounts must use Form 10A104, Update or Cancellation of Kentucky Tax Account(s). You can fax the form to 502-564-0796, email it to DOR.WEBResponseDataIntegrity@ky.gov, or mail it to:
- Kentucky Department of Revenue
  501 High Street, Station 20A
  Frankfort, KY 40601

Register With Kentucky Office of Employment Services View Details

You will also need to register with the Kentucky Office of Employment and Training for a state unemployment tax account number. You can open a Kentucky Unemployment Tax account by applying online.

Get Your SUTA Rate View Details

Kentucky new employer SUTA tax rate is 2.7% for 2024. New construction employers use 9.0%.
You will be issued a Notice of Contribution Rate annually, indicating your new rate and containing the information used in calculating it. These notices are normally issued during the middle of December.
For more information on state unemployment tax, check out our article, “What Is SUTA Tax?“

Register Your Business for Any Local Taxes View Details

You will need to register your business with any local tax agencies where you do business. You can find information about tax agencies on your county or city’s website.

State-mandated Insurance:

Sign up for Workers’ Comp Insurance View Details

You must have workers’ comp insurance if you have at least 1 employee in Kentucky. You can sign up for workers’ comp insurance through a private provider or state-operated fund. Learn more about workers’ comp requirements in Kentucky here.
Patriot’s online payroll offers free pay as you go (PAYG) workers’ comp integration with our partner, NEXT Insurance. You can get a free quote with NEXT here.

Setting Up Your New Employee:

Fill Out Form I-9 View Details

Fill out Form I-9 for employee work verification in the USA. For more information, read, “Form I-9 In a Nutshell.”
Note: You must keep each employee’s completed Form I-9 as long as the individual works for you. For more information, read “What Should Be in an Employee File?”

Have Employee Fill Out Federal Form W-4 View Details

Have your new employee fill out Form W-4, Employee’s Withholding Certificate for federal income taxes (FIT).
For more information, read our help article, “What Is a W-4 Form, and What Is it Used for?”

Have Employee Fill Out State Form K-4 View Details

Have your new employee fill out Form K-4 for Kentucky payroll withholding exemptions.

Report New Hire View Details

Report all new hires within 20 days from the date of hire or rehire. You can report online with the Kentucky New Hire Reporting Center.
By law, you will need to report each new employee you hire. For more information, read, “What Is New Hire Reporting?”

Meet Minimum Wage Requirements View Details

Be sure you have met the minimum wage requirements. Kentucky employers must follow the federal minimum wage rate of $7.25 per hour.
You need to display the minimum wage poster where your employees can read it.

Obtain Labor Law Posters View Details

Get annual posters and all federal, state, county, and city labor law updates with Patriot’s labor law poster store, powered by PosterElite!

Once you have all the necessary information, you will be able to set up your payroll for your business.

Please note, as an employer you will be required to keep employee payroll records for at least three years. For more information, read our help article, “What Employers Should Know About Employee Payroll Records”

Let us know if you have any questions. We are here to help!

This is not an all-inclusive list for new employers. Please check with your state and federal government for full compliance.

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