Fiscal Sponsor Organizations

Hi Sarah! We hire out of state all the time. We use Gusto as our payroll provider and you can hire them to register as an employer in each state needed for a fee or you can DIY using their guides. We DIY to save $$. We also recommend declining reimbursable SUI for the FSO/FSPs we hire for so that if they let someone go we are not on the hook for unemployment. Happy to connect offline for more details. Hope this helps

Honestly, that’s part of why we switched to a PEO. Even having one, it has been a giant pain for us as a small/medium sized fiscal sponsor to have out of state employees. Chicago, for instance, has requirements for employees that are a mile long, and Illinois State has additional requirements. Our PEO keeps track of these and also has a set of trainings they offer that meet the requirements of each state. They are also helping us customize our employee handbook to have state-specific sections. I would say you want to hire outside help for this unless you have an HR expert on your team.

The ease of this will depend on your payroll processor and if they register in those states on your behalf or they require you to do it directly. Lisa’s on point that handbooks needs to customized not only for the state but also city and county employment requirements. Don’t forget workers compensation policies for out of state and keep in mind when employees separate each state has different payout timeline requirements. MN is 24 hours or you get penalized.

Thank you Amanda, Lisa, and Jennifer! OK, we will check with our payroll processor to see what they offer in terms of services or resources. I (or someone on our team) may reach out. Much appreciated!

Hi folks, one more request on this topic. We reached out to our payroll processor, but they weren’t very helpful. I also did some internet searches, but didn’t find appropriate info. Would anyone be willing to help me further - pointing to helpful websites, DIY docs, or even companies who do this? Thanks,

Sarah