Running a business comes with a lot of paperwork, and it’s not always clear which form you need or when. These are the forms small business owners ask me about most. Each one has a plain-English explanation and a link to the official, always-current version, so you never have to wonder whether you’re using an outdated copy.
The I-9 confirms that a new employee is authorized to work in the U.S. The employee completes their section by their first day of work, and you complete yours within three business days of their start date. Keep each I-9 for three years after the hire date or one year after employment ends, whichever is later, and store them separately from personnel files. Do not send them to the government.
Each new employee fills out a W-4 so you know how much federal income tax to withhold from their paychecks. You keep it on file and don’t send it to the IRS. Employees can submit a new one any time their situation changes. South Dakota doesn’t have a state individual income tax, but if you have employees who live or work in another state, that state may have its own withholding form.
Ask every new contractor or vendor to complete a W-9 before you pay them. It gives you their legal name, address, and tax ID, which you’ll need if you have to issue a 1099 at year-end. You keep it in your records. You don’t send it to the IRS. Collecting it up front saves a scramble every January.