Maine Child Support: Division of Support Enforcement & Recovery (DSER)
Employers Page - New Hire FAQ's
Q. What is New Hire reporting?
A. New Hire reporting is a process by which you, as an employer, report information on newly-hired or rehired employees to us within 7 days of the date of hire.
Q. What is the definition of "employer" for New Hire reporting purposes?
A. Maine law and federal legislation states that an "employer" for New Hire reporting purposes is the same as for Federal income tax purposes (as defined by Section 3401(d) of the Internal Revenue Code of 1986) and includes any governmental entity or labor organization.
Q. Who should be reported?
A. Any individual who receives a W-2 form and any independent contractor when reimbursement for such services is anticipated to equal or exceed $2,500 in a year.
Q. What will be done with the New Hire information?
A. DSER will match New Hire reports against our child support records to locate parents, establish an order, or enforce an existing order. Once these matches are done, we will transmit the New Hire reports to the National Directory of New Hires (NDNH), the Department of Labor, Workers' Compensation Board and Maine Revenue Services.
Q. What are the advantages for employers?
A. A direct benefit to employers is the prevention of fraudulent unemployment and workers' compensation payments. It reduces the number of requests from other agencies to verify hires, rehires, terminations, income and medical availability. The Division of Support Enforcement provides flexible reporting methods with minimal costs, and creates one central reporting location.
Q. What is the penalty for failure to meet New Hire Reporting requirements?
A. Employers who fail to meet the reporting requirements are subject to a civil penalty up to $200.00 per month for each violation.
Q. What must be reported on each New Hire report?
A. Each New Hire report should contain the following data elements:
- Employee name
- Date of birth
- Date of hire or rehire (the first day services are performed for wages by an individual)
- Social Security number
- Employer name
- Phone number
- Maine Department of Labor Number
- Federal Employer Identification Number
Q. If I take over a business, do I have to report all the employees?
A. No, not if these employees have previously been reported, but employers must report new hires for the new business.
Q. If I layoff and then re-hire an employee, or an employee returns after a leave of absence, do I need to send in another New Hire report?
A. If the employee returning to work is required to complete a new W-4 form, or has been separated for at least 60 consecutive days, the employer must report the individual as a New Hire to DSER.
Q. Do I need to do a New Hire report on a newly-hired or rehired individual who quits before the New Hire report is due?
A. Yes. The employer/employee relationship existed and wages were earned, so a New Hire report must be submitted.
Q. Are labor unions and hiring halls required to report?
A. Labor unions and hiring halls must report their own employees, that is, individuals who work directly for the labor union or hiring hall. If the labor union or hiring hall simply refers individuals for employment, a new hire report does not need to be filed.
Q. As a multi-state employer; do I have to report to each State in which I have employees?
A. If you are a multi-state employer, you may report newly-hired or rehired employees to the State in which they are working or you may select one State to which to report all of your new hires. Contact the State you wish to report to for the data specifications and file layout for reporting electronically or by magnetic tape.
Q. How soon must I submit a report after hiring or rehiring someone?
A. Maine and federal law mandate that New Hires be reported within 7 days of the date of hire or rehire.
Q. What form do I use to send in my New Hire reports?
A. Employers may report New Hire information on the DSER New Hire Portal, setting up electronic reporting through FTP, by fax, or phone. See New Hire Report By.... .
Q. How will States in which I have employees working know that I have selected another State to receive my new hire reports?
A. The National Directory of New Hires will maintain a list of multi-state employers and their designated reporting locations. This data will be made available to all States.