Employer of Record Service

An Employer of Record handles every legal and administrative part of employment. At Foothold America, that covers employment contracts, onboarding, right-to-work checks, payroll, tax withholding, health insurance, 401(k), workers’ compensation, unemployment insurance, leave tracking and state-mandated training. We do this compliantly in whichever US state your employee lives. You keep control of their role, goals and day-to-day work.

The EOR does. As the legal employer, Foothold America withholds and files federal, state and local payroll taxes, including FICA and state unemployment insurance. We also register in each state where your employees work. You pay one monthly invoice covering salary, employer taxes, benefits and our fee. You don’t need a US tax ID or state payroll registrations.

Foothold America charges a flat monthly fee per employee, never a percentage of salary. On top of the fee, you pay the employee’s salary, benefits and employer payroll taxes. Employer payroll taxes usually add around 8% to 10% of salary. See our full breakdown of US employer of record costs, including setup fees and hidden costs to check.

It depends on whether you have a US entity. An EOR becomes the legal employer, so you need no entity. A PEO shares employer duties with you, but you must already have one. Foothold America offers both, and PEO+ Cross-Border Support™ adds international support. Already using an EOR? Here are the signs you have outgrown it.

An EOR gives you a permanent, compliant employee without a US entity. Contractors are flexible but carry misclassification risk if you control how they work. Staffing agencies mostly fill temporary roles, and the worker stays tied to the agency. An EOR suits companies that want their own long-term US team. Compare the options in EOR vs PEO vs GEO.

A US Employer of Record suits non-US companies that want to hire in the US before, or instead of, setting up a US entity. It works well for a first US hire, a small sales team, or for using an EOR to test the US market. It also limits legal risk while you prove demand.

There is no limit. You can hire one employee or a full team across several US states through an EOR. For a small team, an EOR is usually the most cost-effective option. As headcount grows, setting up your own entity can become cheaper. Our guide to EOR vs your own US entity explains the breakeven point.

With Foothold America, a new employee can start in as little as one week after signing their offer. We issue the offer, check the right to work, run background checks and set up payroll. We then guide the employee through benefits enrolment. Need help finding the right person? Our Exclusive Talent Acquisition Service recruits US talent for you.

You do. Foothold America is the legal employer, but you lead the employee’s day-to-day work, goals and professional development. We handle state-mandated training, such as harassment prevention, and make sure your employee completes it on time. We also advise on keeping remote US employees engaged when their manager is based in the UK or Europe.

At-will employment means either the employer or the employee can end the job at any time, without notice. The termination must not be discriminatory or for another illegal reason. Most US states follow at-will rules, but exceptions apply. We support you through any termination. Read our guide on how to terminate a US employee without a lawsuit.

Choose an EOR that specialises in the US, acts as the full legal employer and shows its pricing clearly. Check its experience with companies like yours and how it handles multi-state compliance. Read the contract closely before you sign. Our guides cover choosing the best Employer of Record and EOR contracts: green and red flags.

Yes. You can move your US employees from one EOR to another without ending their employment. Most switches take four to six weeks. The new EOR transfers contracts, payroll and benefits across. Check your current contract’s notice period and exit fees first. Our guide to switching EOR providers walks through each step.

One month. To stop using our Employer of Record Service, you give one month’s notice. There is no long-term lock-in. During that month, we make sure your US employee’s employment ends compliantly, including final pay, benefits notices and state requirements. If you are moving to your own US entity, we can help with that transition too.