> ## Documentation Index
> Fetch the complete documentation index at: https://docs.pluvel.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Employee Management

> Add and manage employees for payroll.

You just hired someone. Now you need to get them into the system before their first paycheck — which means collecting a lot of information you probably don't have yet (their SSN, their W-4, their bank account). Welcome to onboarding.

The good news: once an employee is set up, payroll runs automatically. The tedious part is one-time.

## Adding an employee

<Steps>
  <Step title="Go to Payroll">
    Navigate to **Payroll → Employees** and click **Add Employee**.
  </Step>

  <Step title="Enter personal info">
    * Legal name
    * Email
    * Phone
    * Address
    * Date of birth
    * SSN
  </Step>

  <Step title="Employment details">
    * Start date
    * Job title
    * Department
    * Work location
    * Employment type (full-time, part-time)
  </Step>

  <Step title="Compensation">
    * Pay type (salary or hourly)
    * Pay rate
    * Pay schedule
  </Step>

  <Step title="Tax withholding">
    Enter W-4 information:

    * Filing status
    * Withholding allowances
    * Additional withholding
  </Step>

  <Step title="Direct deposit">
    Bank account for payments.
  </Step>
</Steps>

## Employee information

### Personal details

The basics you need for every employee:

| Field          | Why it matters                                                  |
| -------------- | --------------------------------------------------------------- |
| Legal name     | Must match their SSN card exactly — one typo breaks tax filings |
| Preferred name | What they actually go by                                        |
| Email          | Where pay stubs and tax forms go                                |
| Phone          | For urgent payroll questions                                    |
| Address        | Determines state tax withholding — wrong state = wrong taxes    |
| DOB            | Required for compliance                                         |
| SSN            | Everything ties to this. Triple-check it.                       |

### Employment details

| Field         | Why it matters                                              |
| ------------- | ----------------------------------------------------------- |
| Start date    | Triggers new hire reporting to the state                    |
| Job title     | For your records and their pay stub                         |
| Department    | Helps with cost analysis ("what's engineering costing us?") |
| Manager       | For approval workflows                                      |
| Work location | Affects tax jurisdiction if you have multiple offices       |
| Status        | Active, on leave, or terminated                             |

## Compensation

This is where money gets decided.

### Salaried employees

| Field          | What it does                                         |
| -------------- | ---------------------------------------------------- |
| Annual salary  | The number you agreed on                             |
| Per-period pay | Calculated automatically (annual ÷ pay periods)      |
| Exempt status  | Are they exempt from overtime? (FLSA classification) |

A $60,000 salary paid bi-weekly = $2,307.69 per paycheck (before deductions and taxes eat into it).

### Hourly employees

| Field         | What it does                               |
| ------------- | ------------------------------------------ |
| Hourly rate   | What they earn per hour                    |
| Overtime rate | Usually 1.5x base (some states require 2x) |
| Default hours | Pre-fills each payroll, but you can adjust |

For hourly employees, you'll enter actual hours worked each pay period.

## Tax withholding

This is where most new employers get confused. The employee's W-4 tells you how much federal tax to withhold — and getting it wrong means they'll owe a big bill (or get a big refund) at tax time.

### Federal (W-4)

| Field                  | What it controls                            |
| ---------------------- | ------------------------------------------- |
| Filing status          | Single, married, head of household          |
| Multiple jobs          | Checked if they (or spouse) have other jobs |
| Dependents             | Reduces withholding per dependent           |
| Additional withholding | "Take an extra \$50 from each check"        |

Don't worry about calculating anything. Enter what's on the W-4, and Pluvel does the math.

### State withholding

Every state is different. Some mirror the federal form, some have their own. Enter the state-specific info:

* State filing status
* State allowances
* Additional state withholding

<Info>
  Employees can update their own W-4 information through self-service. You don't need to be in the loop for every life change.
</Info>

## Direct deposit

Most employees want direct deposit. Get their bank details:

### Single account

* Bank name
* Routing number (9 digits)
* Account number
* Account type (checking or savings)

### Split deposits

Some employees want to auto-save:

* "\$500 to savings, rest to checking"
* "20% to emergency fund, 80% to checking"
* Up to 3 accounts

## Employee self-service

Let employees manage their own stuff:

* View and download pay stubs
* Update address and contact info
* Change direct deposit accounts
* Update W-4 withholding
* Download tax documents (W-2s)

Enable in **Settings → Payroll → Self-Service**. Fewer "can you send me my pay stub?" messages.

## Employee status

| Status     | What happens                            |
| ---------- | --------------------------------------- |
| Active     | Included in regular payroll runs        |
| On leave   | Temporarily excluded from payroll       |
| Terminated | Removed from payroll, history preserved |

## Terminating an employee

<Steps>
  <Step title="Open their profile">
    Find the employee in the list.
  </Step>

  <Step title="Click Terminate">
    Select **Terminate Employee**.
  </Step>

  <Step title="Enter termination details">
    * Last day of work
    * Reason (voluntary, involuntary, etc.)
    * Final pay date
  </Step>

  <Step title="Process final pay">
    Run their last paycheck. Include:

    * Wages through their last day
    * PTO payout (if your policy requires it)
    * Any owed bonuses or commissions
  </Step>
</Steps>

<Warning>
  Some states require final pay within 24-72 hours of termination. California, for example, requires immediate payment for involuntary terminations. Know your state's rules.
</Warning>

<Card title="Manage contractors" icon="user-tie" href="/features/payroll/contractors">
  Contractors work differently. Here's how to track them.
</Card>