How to hire employees
Hiring help can improve your business, and your lifestyle. But it’s a big process. Here are the main things to keep in mind.
Download the guide to hiring employees
Learn how to hire employees and how to handle the admin that goes with it. Fill out the form to receive this guide as a PDF.
What’s involved in hiring employees
Check out these tips for hiring, onboarding and paying an employee, while keeping everyone happy.
- Know your employer responsibilities
You have a duty of care to your employees. Get familiar with your employer responsibilities before you start the hiring.
- Register as an employer
You’ve considered the position you want to fill and your own responsibilities. It’s time to register as an employer.
- Write a job description
You want the perfect employee. They want the perfect employer. Find out how to write a job description that stands out.
- The recruitment process
Now the applicants are lining up. So how do you sort through them all and select the best fit for your business?
- Employee onboarding
Employee onboarding is more than orientation. It’s setting expectations, building relationships, and providing support.
- Run payroll for your employees
Paying your employees right is essential. It’s also a legal requirement. Let’s take a look at the payroll process.
- Manage employee evaluations
Your employees need support too. They need to know if they’re on the right track. Employee evaluations help with that.
- Tools and guides for your business
Now that you’re an employer, you want to strengthen your business. Xero’s got resources and solutions to help.
Why Xero knows how to hire employees
Xero is home to millions of small businesses, who use our software to run their finances, accounting (and sometimes payroll). About 250,000 accountants and bookkeepers use us too. We asked some of those owners and experts how to hire employees, then put their answers
What’s it like being an employer?
Ever wondered how hiring an employee will change things? Here’s what small businesses say:
- 40% of employers have invested their own money to pay employees (Xero, Australia, 2019)
- 82% of very small business owners do payroll themselves (Xero, UK, 2019)
- 32% of employers have made a payroll mistake at least once (SurePayroll, US, 2019)
Sales continue to decline and late payments rise*
Read the full report for Xero's small business insights focusing on several core performance metrics, including sales growth, time to be paid, and late payments.
US late payments: 9.5 days*
Late payment times deteriorated in the June quarter. Published: 31 October 2024.
US time to be paid: 29.6 days*
Small businesses waited an average of 29.6 days to be paid in the June quarter. Published: 31 October 2024.
Handy resources for hiring businesses
Since you’re hiring employees, you might find these resources helpful.
Pay stub template
Create an easy-to-follow record of pay and deductions for your employees.
Cash flow projection template
Fill in this template to see if you’ll have enough cash for payroll.
Payroll with Xero
Learn how Xero can help with your payroll requirements
Start using Xero for free
Access Xero features for 30 days, then decide which plan best suits your business.