When a Sole Proprietor (FOP) decides to expand their business and hire employees, the question arises: how to arrange everything correctly? Hiring staff is not just about a labor contract. It also involves responsibility, obligations, and a clear system for maintaining documentation. We help set up employee record-keeping without chaos – in compliance with current legislation and considering all the details.
What is included in employee record-keeping for FOP
- Hiring a worker in compliance with legal requirements
- Preparation of personnel documentation (orders, contracts, applications)
- Registration of the employee with the tax office (notification)
- Drafting an employment contract or civil law contract (CLC)
- Maintaining timekeeping records
- Maintaining the staffing schedule
- Calculation of taxes for team members
- Consultation on choosing the model: CLC or employment contract
What happens if employees are not properly registered?
From the moment of the first hire, the FOP takes on obligations as an employer. It is important not only to pay wages but also to correctly document everything related to labor relations. Otherwise, there may be fines, reporting errors, or even a business shutdown following an inspection.
- Failure to notify the tax office — a fine of 6,710 UAH for each unregistered employee
- Errors in reporting (incorrect Form 4DF or late submission) — 1,020 UAH
- Improper maintenance of personnel records — grounds for imposing administrative responsibility or an order from the State Labor Service
- Failure to notify the tax office about staff hiring
- Mistakes in Form 4DF
- Lack of employee record-keeping for FOP
- Use of template contracts without adjustment to real conditions
- “Verbal employment” without official documents
Also, most fines occur due to negligence, which is why we work proactively — to ensure such mistakes simply do not happen.
