Hiring your first employee: Legal & Payroll consideration startups need to know.
So you are ready to be an employer? In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about considerations that you should have before you should hire your 1st employee. Hiring an employee is an exciting thing but before you go out and do so you should be aware of various legal requirement that you need to comply to. Some of the things that you need to worry about beyond just hiring great talents are:
1. Getting right licenses including TAN, Professional Tax, ESI, PF, S&E
2. Creating an appointment letter which is legally binding as well as provides complete information
3. Coming up with various organizational policy
4. NDA and/or IP invention & assignments
5. Structuring the salary so your employee keeps the most amount of money in his/her pocket (Part of payroll management)
7. Payroll management & Paying salary
It can seem overwhelming but with the right partner & best practices, it can be achieved easily.