New Hire Reporting in Texas: Complete Guide for Small Businesses
Texas new hire reporting: 20-day deadline, OAG portal walkthrough, independent contractor rules, $25 penalty, and step-by-step guide for small businesses.
Texas New Hire Reporting
Everything small business employers need to file correctly and on time
Every time you hire someone in Texas, you have 20 calendar days to file a new hire report with the Texas Office of the Attorney General. Miss that window and you owe $25 per employee. It is one of the most commonly skipped compliance steps for small businesses, partly because it sounds bureaucratic and unimportant, and partly because nobody explains it clearly. This guide covers everything you need to file correctly: the portal, the required fields, the independent contractor rules, and the mistakes that cost Texas employers money every year.
I built FirstHR partly to solve compliance problems like this one: the tasks that are not hard, just easy to forget without a system. New hire reporting in Texas takes five minutes if you know what to do. The penalties for not doing it are small per incident but add up fast if you are hiring regularly without a process. For the complete federal I-9 verification requirement that also applies on Day 1, the USCIS Handbook for Employers covers all verification requirements in detail.
What Is New Hire Reporting in Texas?
New hire reporting is a federal requirement under the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (PRWORA), which mandates that every state collect new hire data from employers to help locate parents who owe child support. Texas designated its Office of the Attorney General, specifically the Child Support Division, as the agency responsible for receiving these reports.
When you file a new hire report, that data flows from the Texas OAG to the National Directory of New Hires, a federal database maintained by the Department of Health and Human Services. Child support enforcement agencies across all 50 states can then cross-reference this database to issue income withholding orders to employers nationwide. The system works: according to federal data, new hire reporting has helped collect billions of dollars in child support annually since the program was implemented.
For a complete overview of new hire reporting requirements across all states and the federal framework, the new hire paperwork guide covers the national system in detail. This article focuses specifically on Texas requirements, deadlines, and the filing process. For the full onboarding checklist that includes new hire reporting alongside every other Day 1 compliance task, the employee onboarding checklist covers the complete sequence.
Who Must Report and What's the Deadline
Every employer in Texas must report new hires, regardless of company size, industry, or how many hours the employee works. There is no minimum employee count, no minimum hours threshold, and no minimum pay threshold. If you hire one person to work for pay in Texas, you must report them within 20 calendar days of their hire date.
The 20-day clock starts on the date of hire, which the OAG defines as the first day the employee works for pay. This is not the date you made the offer, not the date they signed the employment agreement, and not the date of their first paycheck. It is the first day they physically show up and work.
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See How It WorksRequired Information: 7 Data Elements
Texas requires exactly 7 data elements for new hire reporting. Unlike some states, Texas does not require the employee's date of birth or state of hire. This makes Texas one of the simpler states for new hire reporting from a data collection standpoint.
The most common data entry error is a transposed digit in the Social Security Number. If an employee does not yet have an SSN because they are waiting for their card, file the report when you have it and note the pending SSN situation. The OAG prefers a timely report with an explanation over a late report with complete data. Once the SSN is available, file an updated report.
How to File: Step-by-Step Portal Walkthrough
The fastest and most reliable way to report new hires in Texas is through the OAG Employer Portal at employer.oag.texas.gov. The portal provides immediate confirmation, allows batch reporting, and keeps a history of all your submissions. Here is the complete walkthrough:
The portal also allows you to manage income withholding orders, update your employer information, and view submission history. Set up your account the first time you hire, not the week the deadline is approaching. The setup takes about 10 minutes and saves significant time on every subsequent filing.
All Filing Methods and When to Use Each
Texas accepts new hire reports through five methods. The online portal is recommended for the vast majority of employers. The alternatives exist primarily for employers with specific technical requirements or in the rare case that the portal is unavailable.
| Method | Where / Contact | Notes | Recommendation |
|---|---|---|---|
| Online portal | employer.oag.texas.gov | Fastest; confirmation number issued immediately; recommended for most employers | Recommended |
| nhreporting@texasattorneygeneral.gov | Send completed form as attachment; confirmation not guaranteed | Use only if portal is down | |
| Fax | (800) 732-5015 | Available 24/7; keep your fax confirmation as proof of submission | Slow; not ideal |
| PO Box 149224, Austin TX 78714-9224 | Slowest; use certified mail if filing close to deadline | Not recommended | |
| Magnetic media / batch file | Contact OAG for format specs | For payroll companies reporting 25+ employees regularly | Enterprise only |
If you use fax or mail and file close to the 20-day deadline, build in buffer time. A report mailed on Day 19 that arrives after the deadline may still trigger a penalty. The OAG typically counts the date received, not the date mailed, for non-electronic submissions. For anything time-sensitive, use the online portal.
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See It in ActionTexas New Hire Reporting Deadlines
The standard deadline is 20 calendar days from the date of hire. Electronic batch filers have a more complex schedule derived from the federal PRWORA e-filer rule.
| Filing Method / Type | Deadline | Notes |
|---|---|---|
| Paper / mail / fax / email | Within 20 calendar days of hire date | Day of hire counts as Day 1 |
| Online portal (single employee) | Within 20 calendar days of hire date | Same deadline; portal just makes it faster |
| Electronic batch filers (25+ reports/quarter) | Twice per month, no more than 16 days apart, no fewer than 12 days apart | This is the federal e-filer rule; Texas applies it the same way |
| Independent contractors | Within 20 calendar days of contract signing or first service date | Same deadline as employees since 2017 (1 TAC § 55.302) |
The e-filer schedule applies to payroll companies and large employers who submit reports in batch format. For most small businesses filing individual reports through the OAG portal, the 20-day rule applies cleanly. The simplest approach: set a calendar reminder for Day 15 after every new hire to give yourself a 5-day buffer for any issues.
Texas New Hire Reporting Form: What to Use
Texas does not require a specific state form for new hire reporting. This distinguishes Texas from states like Ohio, which requires the JFS 07048 form. In Texas, any document that contains the 7 required data elements is acceptable. That includes:
| Acceptable Form | Where to Get It | Notes |
|---|---|---|
| Federal W-4 (with employer fields added) | IRS.gov or your payroll system | Most common method; employee already completes this on Day 1 |
| OAG Texas New Hire Reporting Form | employer.oag.texas.gov/forms | Optional downloadable form; not required but useful if you prefer paper |
| Any document with all 7 fields | Your own format | Must include all 7 data elements; employer creates their own form |
| Online portal submission | employer.oag.texas.gov | No paper form needed; data entered directly into the system |
Because Texas has no state income tax, there is no state equivalent of a W-4 for tax withholding purposes. Employees in Texas complete only the federal W-4. This simplifies your Day 1 paperwork significantly compared to states like California, New York, or Ohio, which require both a federal and state withholding form. Texas employers are still subject to all federal wage and hour laws under the Fair Labor Standards Act. For a complete list of federal and state tax forms required at hire, the tax forms for new employees guide covers all the required documentation.
Independent Contractor Reporting in Texas
Texas requires new hire reporting for independent contractors. This requirement was added in 2017 under 1 TAC Section 55.302 and is frequently misunderstood. Many online resources incorrectly state that ICs are exempt from new hire reporting in Texas. They are not.
For the IC reporting requirement, "date of hire" is interpreted as the date the contract is signed or the date the contractor first performs services, whichever is earlier. If you sign a contract on March 1 but the contractor does not start work until March 15, your 20-day window starts March 1.
The 7 required data elements for IC reporting are identical to employee reporting. For the "employer name, address, and FEIN" fields, use your own business information. For the "date of hire," use the contract date or first service date. For the full framework on managing independent contractors in your onboarding process, see the new hire paperwork guide.
Texas Has No State Income Tax: What This Means for Onboarding
Texas is one of nine states with no state income tax. For employers, this meaningfully simplifies the onboarding paperwork stack compared to most other states.
| Requirement | Texas | Ohio |
|---|---|---|
| Reporting agency | OAG Child Support Division | Ohio Department of Job & Family Services (ODJFS) |
| Portal URL | employer.oag.texas.gov | oh-newhire.com |
| Deadline | 20 calendar days | 20 days (7 days recommended) |
| State income tax | None (no state withholding registration required) | Yes (IT 4 form required) |
| Mandatory state form | No (W-4 or any doc with 7 fields accepted) | Yes (JFS 07048 required) |
| Date of birth required | No | Yes |
| State of hire field required | No | Yes |
| IC reporting required | Yes (since 2017) | Yes |
| Penalty per unreported employee | $25 | $25 |
| Conspiracy to not report penalty | $500 | $500 |
What this means practically for a Texas employer onboarding a new employee: you collect the federal W-4 and use it for both federal withholding and new hire reporting. You do not need to register for state income tax withholding. You do not need a separate state withholding account number. You do not need to complete any state-specific tax forms with your new hire.
The one Texas-specific registration that is still required: Texas Workforce Commission unemployment insurance tax. All Texas employers who pay wages must register with the TWC and pay state unemployment insurance (SUTA) tax. This is separate from new hire reporting and goes to the TWC, not the OAG. Before your first hire, you also need a Federal Employer Identification Number (FEIN) if you do not already have one. The IRS hiring guide covers the federal EIN and tax obligations every employer must satisfy before their first hire. For a comparison of how Ohio handles state-specific onboarding requirements, the compliance onboarding guide covers Ohio's more complex paperwork requirements including the IT 4 state withholding form. For the complete onboarding documents checklist that covers both federal and state requirements across all hires, the onboarding documents guide walks through the full stack.
Penalties for Late or Missing Reports
Texas imposes civil penalties for new hire reporting violations. These are not criminal charges, but they do accumulate quickly if you have multiple unreported hires.
| Violation | Penalty | Notes |
|---|---|---|
| Late new hire report (employee) | $25 per employee | Applies per hire, per occurrence |
| Missing new hire report (employee) | $25 per employee | Same penalty as late filing |
| Late or missing IC report | $25 per contractor | Same penalty as employee reporting |
| Conspiracy between employer and employee to avoid reporting | $500 | Elevated civil penalty; rare in practice |
The $25 penalty is small per incident, but if you hire 10 people and fail to report all of them, that is $250 immediately. If this becomes a pattern across multiple quarters, the OAG may flag your account for additional scrutiny. The easiest way to avoid penalties: treat new hire reporting as part of Day 1 onboarding and file within the first week rather than waiting for the 20-day deadline.
For a complete onboarding checklist that includes new hire reporting as a tracked compliance task, the employee onboarding checklist covers all the Day 1 through Day 90 compliance items in a format you can adapt for your business.
5 Common Mistakes Texas Employers Make
These five mistakes account for the majority of Texas new hire reporting errors and penalties. Each is preventable with the right process.
Your Texas New Hire Reporting Checklist
Use this checklist for every hire in Texas. Building it into your Day 1 process prevents missed deadlines and eliminates the risk of penalties.
- Texas employers must report every new hire to the OAG Child Support Division within 20 calendar days of the hire date, at employer.oag.texas.gov. No exceptions for company size, hours worked, or employment type.
- 7 data elements are required: employee name, address, SSN, and date of hire, plus employer name, address, and FEIN. Texas does not require date of birth or state of hire.
- Independent contractors must be reported since 2017 under 1 TAC Section 55.302. The deadline, required fields, and $25 penalty are identical to employee reporting.
- Texas has no state income tax. Employees complete only the federal W-4. There is no state withholding form. You still must register with the TWC for unemployment insurance tax.
- The penalty is $25 per employee for late or missing reports, and $500 for conspiracy to avoid reporting. Civil penalties, not criminal.
- File within the first week of hire rather than waiting for Day 20. Set a Day 15 calendar reminder for every new hire as a buffer.
Frequently Asked Questions
How do I report new hires in Texas?
Report new hires online at employer.oag.texas.gov, the Texas Office of the Attorney General Child Support Employer Portal. Create an employer account with your FEIN, then select new hire reporting and enter the 7 required data elements: employee name, address, SSN, and date of hire, plus your employer name, address, and FEIN. You can also file by fax at (800) 732-5015, by email at nhreporting@texasattorneygeneral.gov, or by mail to PO Box 149224, Austin TX 78714-9224. The online portal is fastest and provides immediate confirmation.
How long do you have to report a new hire in Texas?
Texas employers have 20 calendar days from the date of hire to submit a new hire report. The clock starts on the employee's first day of work for pay, not their first paycheck date. Electronic batch filers who submit 25 or more reports per quarter must file twice per month with no more than 16 days between submissions and no fewer than 12 days apart. Independent contractors must also be reported within 20 calendar days of the contract signing date or first service date, whichever comes first.
What information is required for new hire reporting in Texas?
Texas requires 7 data elements for new hire reporting: the employee's full legal name, the employee's home address, the employee's Social Security Number, the date of hire (first day of work for pay), the employer's legal name, the employer's address, and the employer's Federal Employer Identification Number (FEIN). Texas does not require date of birth or state of hire, which distinguishes it from some other states. The same 7 fields are required for independent contractor reporting.
What is the penalty for not reporting new hires in Texas?
Texas imposes a civil penalty of $25 per employee for each late or missing new hire report. If an employer and employee conspire to avoid new hire reporting, the penalty increases to $500. These are civil penalties, not criminal charges. Texas does not currently impose additional per-day escalating penalties, but the $25 per employee fine applies to each unreported or late-reported hire, so employers with multiple new hires who miss the deadline can accumulate significant penalties quickly.
Where do I report new hires in Texas?
Report new hires online at employer.oag.texas.gov, the Texas Office of the Attorney General Employer Portal. This is the primary and recommended method. The Texas OAG Child Support Division is the designated state agency for new hire reporting under the federal PRWORA law. Alternative methods include fax to (800) 732-5015, email to nhreporting@texasattorneygeneral.gov, or mail to PO Box 149224, Austin TX 78714-9224. Do not file with the Texas Workforce Commission for new hire reporting; TWC handles unemployment insurance but refers new hire reporting to OAG.
Do independent contractors need to be reported in Texas?
Yes. Since 2017, Texas requires employers to report independent contractors through the same new hire reporting system used for employees, under 1 TAC Section 55.302. The deadline is the same: within 20 calendar days of the contract signing date or the date the contractor first performs services, whichever comes first. The 7 required data elements are identical to employee reporting, with the contract date substituting for the date of hire. Many online HR guides incorrectly state that ICs are exempt from Texas new hire reporting; they are not.
Does Texas have a state W-4 form for new hires?
No. Texas has no state income tax, which means there is no state income tax withholding form equivalent to a state W-4. When you onboard a new employee in Texas, they complete only the federal W-4, which covers federal income tax withholding. Texas is one of nine states with no income tax. However, Texas employers are still required to register with and pay into the Texas Workforce Commission for state unemployment insurance tax. The federal W-4 can also serve as your new hire reporting submission if you add the required employer information fields.
Is Texas new hire reporting required for part-time and temporary employees?
Yes. Texas new hire reporting applies to all employees regardless of how many hours they work, whether they are full-time, part-time, temporary, or seasonal. There is no minimum hours threshold or minimum pay threshold that triggers the requirement. Any person you hire to work for pay in Texas must be reported to the OAG within 20 calendar days of their start date. This includes rehires who return after a separation of at least 60 days, who must be reported again as new hires.