WoodWorkCalc

U.S. federal overview · confirm state and local employment rules

Prepare the shop before hiring your first employee

Define the role, budget the full cost and check the paperwork before the first shift.

About 6 min reading · Updated

What you will leave withWrite a role brief and a pre-start checklist to review with your advisers.

Hire for a specific recurring need

Write the work you need done, the skills it requires, the hours you can support and who will supervise. Separate machine operation from packing, preparation and administrative work so the training needs are clear.

Budget wages plus applicable employer taxes, insurance, benefits, equipment, training and supervision. Check whether work will remain available after the current rush. The cheapest hourly option is not necessarily the lowest cost per correctly finished job.

Check worker status before choosing paperwork

Calling someone a contractor does not determine their legal status. The IRS considers the actual relationship, including control over the work, financial arrangements and the relationship between the parties. A contract or invoice alone does not settle the question.

Federal tax classification is only one check. Confirm the applicable wage-and-hour and state rules with qualified advice. Do not use this guide or a job title to make a classification decision.

Set up pay and employment records

Before the start date, confirm employer registrations, payroll arrangements, required new-hire reporting, work-eligibility procedures and applicable insurance. Establish a written pay schedule and explain the role, hours and policies.

Check minimum wage, overtime, breaks, leave, youth-work restrictions and required notices for the actual location and role. For covered nonexempt employees, keep accurate hours and wage records. A salary or 'manager' title does not by itself resolve overtime obligations. Use a payroll professional to check your setup.

Plan a supervised first week

Assign a trainer and explain how to stop work and report a concern. Demonstrate the relevant equipment safeguards and task procedure before supervised practice. Authorize only the work the person has been trained to perform.

Start with a small, inspectable task. Review the first example together and explain what an acceptable result looks like. Keep payroll and identity records in an appropriately restricted system, separate from general job notes.

Illustrative shop example

The extra pair of hands needs support

If a new helper saves three hours of packing but needs two hours of instruction, the first week's capacity gain is not three hours per session. Allow for training now and measure improvement over time rather than expecting immediate full output.

Try this in your shop

  1. Write responsibilities, expected hours and supervision.
  2. Budget more than base wages.
  3. Confirm classification and local requirements.
  4. Set up payroll, records and required onboarding.
  5. Document task-specific training and first-work checks.
A useful habitCreate a one-page role brief before advertising. It helps you decide whether you need a recurring hire, a narrower service or a better process.

Sources & next steps

Government and university references support the topics discussed. Suggested workflows, examples and checklists are WoodWorkCalc editorial guidance. References reviewed October 19, 2026; confirm current rules before making tax or employment decisions.