When your business or venture remains on the relatively small or new side, it often makes great sense to hire your first employees as part-time. The US government defines a part-time worker as an employee who works under 30 hours per week. If you have tasks that need to be done but don't take a full work week to complete, a part-time employee will get the job done without costing as much as a full-time hire.
When working with part-time employees, here are ways to make sure they receive fair employee compensation:
When working with part-time employees, here are ways to make sure they receive fair employee compensation:
Clearly define hours in the employment agreement. Part-time employees often have more commitments outside of work than those who work full-time. They may have small children at home, be starting their own business venture, or work an additional job. Be clear upfront about the number of hours you'd like them to work, particularly if the hours and days of the week vary.
Provide fair compensation. When determining the salary or hourly wage of your part-time hire, start with the amount of money you'd pay workers to do this position full-time. For example, if your part-time worker will work 20 hours per week, offer them 50% of the hypothetical full-time worker's salary. Don't shortchange workers financially just because they work fewer hours per week.
Offer similar benefits as full-time workers. If you offer health insurance, an educational stipend, or a retirement benefit, to full-time workers, it's generous to offer this to part-time workers as well, even though it's not required by law. If you choose to offer these benefits, it's okay for part-time workers to pay more to use them. It's okay to have a part-time worker, for example, pay a higher out-of-pocket cost to be on the company's health plan.
Making part-time employees feel valuable is important to keeping them on the payroll. No one should feel as though they are being mistreated. If you need help with running payroll, contact us today!
Provide fair compensation. When determining the salary or hourly wage of your part-time hire, start with the amount of money you'd pay workers to do this position full-time. For example, if your part-time worker will work 20 hours per week, offer them 50% of the hypothetical full-time worker's salary. Don't shortchange workers financially just because they work fewer hours per week.
Offer similar benefits as full-time workers. If you offer health insurance, an educational stipend, or a retirement benefit, to full-time workers, it's generous to offer this to part-time workers as well, even though it's not required by law. If you choose to offer these benefits, it's okay for part-time workers to pay more to use them. It's okay to have a part-time worker, for example, pay a higher out-of-pocket cost to be on the company's health plan.
Making part-time employees feel valuable is important to keeping them on the payroll. No one should feel as though they are being mistreated. If you need help with running payroll, contact us today!
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