Free AI developer job description templates: application, automation, small business, contractor, junior, and senior, with W-2 vs 1099 classification help.
6 free templates across application developer, automation specialist, small-business, contractor, junior, and senior roles, with the disambiguation and W-2-versus-1099 guidance the freelance platforms skip. Download as DOCX.
An AI developer job description has one disambiguation problem and one decision the freelance platforms will never help you make. The problem: the title spans several different jobs, an application developer building on AI APIs, an automation specialist wiring up no-code workflows, and a model engineer who trains models, that get blurred into one generic posting. The decision: whether to hire a W-2 employee or a 1099 contractor, which is where most AI hiring quietly goes wrong.
At FirstHR, we build templates that name these distinctions and walk through the employment-versus-contract choice the platforms skip, since their business is selling you the contractor, plus the FLSA computer-exemption and IP details no competitor explains. The six below cover application developer, automation specialist, small-business, contractor, junior, and senior versions. The guide to writing a job description covers the fundamentals.
TL;DR
An AI developer builds software and features that use AI, mostly on top of existing models: integrating AI APIs, building retrieval and agent workflows, and automating tasks. The title is broad, so define whether you need an application developer, an automation specialist, or a model engineer. The biggest decision is W-2 vs 1099, judged by economic reality, not the contract. W-2 developers are usually exempt under the computer employee exemption ($684 a week or $27.63 an hour). Pay ranges widely (the data-scientist benchmark is $112,590). Download six versions as DOCX.
What an AI Developer Does
An AI developer builds software products and features that use artificial intelligence, mostly by working on top of existing models rather than training new ones. They integrate AI APIs, build retrieval and agent workflows, engineer prompts, and ship and maintain AI-powered features.
There is no dedicated federal occupation code for the role; the nearest benchmarks are data scientists and software developers, whose descriptions already cover machine learning and AI work. The title is an industry label rather than an official one, which is part of why it is so broad.
What AI Developer Actually Means
The single term covers several genuinely different jobs, and naming which one you need is the first step, because it changes the duties, the seniority, the pay, and even the legal classification.
AI application developer
Builds on top of models
The most common and fastest-growing profile: builds products and features on top of large language model APIs, with retrieval (RAG) pipelines, agents, and prompt engineering. This is the application layer.
AI automation specialist
No-code / low-code
Automates business workflows by connecting AI and business tools, often with no-code or low-code platforms rather than writing software from scratch. The best fit for a small business.
ML / model engineer
Builds the models
Trains and tunes models from the ground up. This is a different, higher-cost role (the model layer) than an AI developer, and usually a separate, more senior hire. Do not conflate the two.
The takeaway: most companies, especially smaller ones, need an application developer or an automation specialist rather than a model engineer. Hiring for the wrong layer means either over-paying for model-training skills you will not use or under-scoping the role you actually need.
AI Developer Duties and Responsibilities
An AI developer's duties cluster into four areas: build with AI, automate and integrate, evaluate and maintain, and collaborate and advise. The mix shifts by role (an automation specialist leans on no-code tools, a senior developer on architecture), but these four areas hold.
Pick the template by role and engagement: application developer for a full-time builder, automation specialist for no-code workflows, small business for a lean first hire, contract for a 1099 project, junior for entry level, and senior for the lead step. Use this guide to choose.
AI Application Developer
W-2, full-time
The baseline version for a full-time developer building products on top of AI APIs, with the FLSA computer-employee classification note built in.
AI Automation Specialist
No-code workflows
For a practical automation role connecting AI and business tools, with the classification caution for roles right at the $27.63 hourly threshold.
Small Business / First AI Hire
Multi-hat
The flagship version for a small business making its first AI hire, with the W-2-versus-1099 decision built in for a lean, do-everything role.
Contract (1099)
Independent contractor
For a project-based engagement with an independent contractor, with the economic-reality classification and IP-assignment notes built in.
Junior AI Developer
Entry level
For an early-career developer working under guidance, with the non-exempt classification caution built in.
Senior / Lead AI Developer
Architect and mentor
For the senior step that owns AI architecture and mentors the team, with the exempt-classification note built in.
Match the Template to the Role
Full-time AI feature builder: AI Application Developer. No-code workflow automation: AI Automation Specialist. First AI hire at a small company: Small Business. Project-based independent provider: Contract (1099). Early career: Junior. Architect and mentor: Senior / Lead. Whichever you pick, decide W-2 versus 1099 deliberately and classify by duties and pay.
6 Free AI Developer Job Description Templates
Download all six as a single Word document or copy individual templates. Each follows the same structure: overview, summary, key responsibilities or scope, qualifications, a compliance note, and how to apply. Fill in the brackets, set the reporting line, and post.
Download All 6 Job Description Templates
Application developer, automation specialist, small business, contractor, junior, and senior. All in one DOCX.
Template 1: AI Application Developer (W-2)
The baseline version for a full-time developer building products on top of AI APIs, with the FLSA computer-employee classification note built in.
AI Application Developer Job Description (W-2)
AI APPLICATION DEVELOPER JOB DESCRIPTION (W-2, FULL-TIME)
Company: __ ([City, State])
Reports to: [Engineering Lead / CTO / Founder]
Employment type: Full-time, W-2
FLSA status: Exempt (computer employee) in most cases; see compliance note
Compensation: $_____ per year [or $______ per hour]
ABOUT [COMPANY NAME]
[Company Name] is a [industry] company in [City, State] building products and
features powered by AI. We are hiring an AI Application Developer to build
applications on top of large language models and AI APIs.
POSITION SUMMARY
The AI Application Developer builds software products and features that use
AI, integrating large language model APIs, building retrieval and agent
workflows, and shipping reliable AI-powered features. This is an
application-layer role (using and building on models), not a model-training
role.
KEY RESPONSIBILITIES
•Build features and products on top of LLM and AI APIs
•Design retrieval (RAG) pipelines and AI agent workflows
•Write production code that integrates AI into the product
•Engineer and test prompts and system instructions
•Evaluate output quality, latency, cost, and reliability
•Integrate AI services with existing systems and data
•Monitor, debug, and improve AI features in production
•Collaborate with product and engineering on requirements
REQUIRED QUALIFICATIONS
•Strong software development skills (Python, JavaScript, or similar)
•Experience integrating APIs, ideally LLM or AI APIs
•Familiarity with RAG, vector databases, or agent frameworks
•Understanding of evaluation, latency, and cost tradeoffs
•Bachelor's in computer science or equivalent experience
COMPLIANCE NOTE (read before posting)
A full-time AI developer is usually classified exempt under the FLSA computer
employee exemption, which applies to skilled computer workers paid on a salary
basis at the federal threshold ($684 a week) or hourly at no less than $27.63
an hour and meeting the duties test. Job titles do not determine exempt status.
If you hire a contractor instead, see the 1099 template and classify by
economic reality, not the label. This is general information, not legal advice.
EEO STATEMENT
[Company Name] is an equal opportunity employer and provides reasonable
accommodations for the essential functions of this role.
COMPENSATION AND HOW TO APPLY
Compensation: $_____ per year [or $______ per hour]
To apply, email __ with your resume and portfolio.
Template 2: AI Automation Specialist
For a practical automation role connecting AI and business tools, with the classification caution for roles right at the $27.63 hourly threshold.
AI Automation Specialist Job Description
AI AUTOMATION SPECIALIST JOB DESCRIPTION
Company: __ ([City, State])
Reports to: [Operations Manager / Owner]
Employment type: Full-time or part-time, W-2
FLSA status: [Classify carefully; see compliance note]
Compensation: $______ per hour or $_____ per year
ABOUT THIS ROLE
An AI automation specialist builds practical automations that connect AI and
business tools to save time and reduce manual work, often using no-code and
low-code platforms rather than writing software from scratch.
POSITION SUMMARY
[Company Name] is hiring an AI Automation Specialist to automate our
workflows using AI. You will identify repetitive tasks, build automations
with tools like workflow builders and AI APIs, connect our existing systems,
and measure the time and cost they save.
KEY RESPONSIBILITIES
•Identify repetitive workflows worth automating
•Build automations with no-code and low-code tools and AI APIs
•Connect business systems, data, and apps through integrations
•Use AI to handle text, data, and routing tasks in workflows
•Test, monitor, and maintain automations
•Document how each automation works and what it saves
•Train the team to use the automations
•Recommend new automation opportunities
REQUIRED QUALIFICATIONS
•Experience with workflow automation and integration tools
•Comfortable with AI APIs and prompt basics
•Process-minded: spots what to automate and how
•Practical, hands-on, and self-directed
•No formal degree required; portfolio of automations a plus
COMPLIANCE NOTE (classify carefully)
Classify this role carefully. Automation roles often pay around $27 to $29 an
hour, right at the FLSA computer-employee hourly threshold of $27.63; below
that hourly rate (and below the $684 weekly salary level), the role is
non-exempt and owed overtime. The computer exemption also requires the duties
test. Do not assume exempt from the title or a salary. This is general
information, not legal advice.
COMPENSATION AND HOW TO APPLY
Compensation: $______ per hour or $_____ per year
To apply, email __ with examples of automations you have built.
Still Using Spreadsheets for Onboarding?
Automate documents, training assignments, task management, and track onboarding progress in real time.
This is where the freelance platforms have no incentive to help, because their model is the contractor, and it is exactly where small companies get exposed. Four compliance points belong in the AI hiring decision.
W-2 employee or 1099 contractor?
This is the first and most consequential decision, and it is the one the freelance platforms do not help you make, because their model is built on contractors. Whether a worker is an employee or an independent contractor is judged by the economic reality of the relationship, not by the label in a contract or the fact that you issue a 1099. A key factor is whether the work is an integral part of your business: because building software and AI features is often a core, ongoing business activity, a developer working mainly for you, on your direction, over time looks like an employee. A genuine contractor runs their own business, serves multiple clients, controls how the work is done, and can profit or lose on their own decisions. Misclassification carries real back-pay and tax exposure. This is general information, not legal advice.
FLSA computer employee exemption
For W-2 hires, the relevant white-collar exemption is the computer employee exemption. The Department of Labor applies it to computer systems analysts, programmers, software engineers, and other similarly skilled computer workers whose duties meet the test and who are paid either on a salary basis at the federal threshold of $684 a week or, distinctively for this exemption, on an hourly basis at no less than $27.63 an hour. The DOL is explicit that job titles do not determine exempt status: the actual duties and pay decide it. A senior developer easily clears this; a junior or support role may not, in which case it is non-exempt and owed overtime. This is general information, not legal advice.
The $27.63 hourly trap for automation roles
Watch the hourly threshold closely for AI automation and junior roles, because many of them pay right around it. Automation specialist postings commonly land near $27 to $29 an hour, which straddles the $27.63 computer-exemption hourly floor. A role paid below $27.63 an hour (and below the $684 weekly salary level) does not qualify for the computer exemption on pay grounds alone, so it is non-exempt and entitled to overtime regardless of how technical the work is. Paying just under the line and treating the role as exempt is a classic, avoidable misclassification. Check the math against the actual rate before you classify. This is general information, not legal advice.
IP assignment and work-for-hire
Make sure you actually own what the developer builds, which is not automatic, especially with contractors. For an employee, work created within the scope of employment generally belongs to the employer, but for an independent contractor the default can run the other way unless you have a written assignment. Include a clear intellectual-property assignment clause in any contractor agreement (and confirm employee IP terms in your offer and policies) so that the code, models, prompts, and tools created for you belong to you. Without it, a contractor may retain rights to what they made. This is general information, not legal advice.
Hiring AI talent as a 1099 contractor because that is how the platforms work is risky when the work is ongoing and central to your business. Classification follows economic reality, not the contract label, and misclassifying an employee as a contractor carries back-pay and tax exposure, with stricter tests in states like California. Decide deliberately, and get an IP-assignment clause either way. This is general information, not legal advice.
Requirements and Qualifications
For AI roles a portfolio of real projects often matters more than formal credentials, and the requirements shift sharply by version. Calibrate to the role you are hiring.
Requirement
What to know
Application developer
Software skills (Python, JS), API integration, RAG, agents, evaluation
Automation specialist
Workflow and integration tools, AI APIs, prompts; degree optional
Senior / lead
Production AI track record, architecture, mentoring
Junior
Foundational coding, eagerness to learn, projects
Across all
A portfolio of real projects is a strong signal
Classification
Usually exempt for full-time; watch the $27.63 hourly floor
Keep the posting neutral and inclusive, since the EEOC prohibits job advertisements that show a preference based on protected characteristics, and the SHRM guide covers the standard sections of a job description.
How to Write an AI Developer Job Description
A strong AI developer posting starts by defining which role you mean, decides employment versus contract deliberately, and handles classification and IP. Here is the process the templates are built around.
1
Define which AI role you need
Application developer, automation specialist, or model engineer. The title is fuzzy, so pick the matching template and scope first.
2
Decide W-2 or 1099
Most AI hiring defaults to contract, but choose deliberately by economic reality: ongoing core work points to employee, a discrete project to contractor.
3
List the real responsibilities
Build with AI, automate and integrate, evaluate and maintain, and collaborate and advise, calibrated to your role and seniority.
4
Classify and set pay
A W-2 developer is usually exempt under the computer exemption ($684 a week or $27.63 an hour plus duties); watch the hourly floor for automation and junior roles. Benchmark pay to the role.
5
Lock down IP
Include an intellectual-property assignment clause, especially for contractors, so the code, prompts, and tools belong to your company.
AI developer pay varies widely, which reflects how broad the title is, from a junior automation role to a senior application engineer.
A Wide, Title-Driven Range
There is no federal wage code for AI developer; the nearest benchmark, data scientists, had a median wage of about $112,590 a year as of May 2024, with the lowest 10 percent under about $63,650 and the highest 10 percent over about $194,410 (BLS). Software developers run higher, with a median around $133,080.
Market estimates for AI developer specifically range widely, with averages reported roughly from the low $100,000s to the high $150,000s, and a lower segment for junior and automation-focused roles starting in the $50,000s to $90,000s; automation specialist postings often land around $27 to $29 an hour. The spread is real, because the title covers very different jobs. The role is growing fast, which keeps upward pressure on pay. For a posting, benchmark to the specific version and seniority and to your market, and include a good-faith range where your state or city requires pay transparency. National compensation surveys are a useful reference for regional and seniority detail.
Hiring an AI Developer
The AI developer hire turns on three things the freelance platforms get wrong for you: the title is fuzzy and needs defining, the W-2-versus-1099 choice should be deliberate rather than defaulted, and classification and IP need handling up front. Here is what actually matters.
The title is fuzzy, so define which AI role you actually need
AI developer is one of the fuzziest titles in hiring right now, and posting a generic version gets you a flood of mismatched applicants. The term spans at least three genuinely different jobs. An AI application developer builds products and features on top of existing models and AI APIs, with retrieval pipelines, agents, and prompt engineering; this is the fastest-growing and most common profile. An AI automation specialist connects AI to business tools to automate workflows, often with no-code or low-code platforms rather than writing software from scratch, and is frequently the best fit for a smaller company. A machine-learning or model engineer trains and tunes models themselves, which is a different, more specialized, and more expensive role at the model layer. The industry increasingly separates AI developer (application-focused) from AI engineer (system-wide), even though people use the terms loosely. Before writing anything, decide which of these you need, because the duties, the seniority, the pay, and even the legal classification differ. The templates on this page are split out so you can pick the right one.
Decide W-2 or 1099 deliberately, because the default in this market is contract
The defining feature of AI hiring today is that most of it happens through contractors and freelance platforms, not W-2 employment, and that makes the employment-versus-contract decision the one to get right. It is genuinely an option: pay for AI developers spans a wide range, with a lower segment well within a small company's budget, so a small business making its first AI hire can realistically bring someone on as an employee rather than only renting talent by the project. But the choice has consequences. If you engage a 1099 contractor for what is really ongoing, core, directed work, the economic reality may make them an employee regardless of the contract, with back-pay and tax exposure, and some states apply stricter tests than the federal one. If you hire a W-2 employee, you take on classification, onboarding, and the rest of the employment relationship, which is also where an HR platform helps. Neither is wrong; what matters is choosing deliberately and structuring the role to match. The freelance platforms that dominate this search will never walk you through this, because their business is selling you the contractor.
Classify and protect what you build: overtime thresholds and IP
Two compliance details decide whether an AI hire is set up cleanly, and the templates build both in. On overtime, a W-2 AI developer is usually exempt under the FLSA computer employee exemption, but only if the pay clears the bar: $684 a week salaried or, uniquely for this exemption, $27.63 an hour, plus the duties test, and the DOL is explicit that titles do not decide it. That hourly floor matters because automation and junior roles often pay right around $27 to $29 an hour, straddling the line, so a role paid just under it is non-exempt and owed overtime no matter how technical it sounds. On ownership, you do not automatically own what a contractor builds: without a written intellectual-property assignment clause, a 1099 developer can retain rights to the code, prompts, and tools they create for you, so put the assignment in the agreement and confirm IP terms in employee offers and policies too. Getting the classification and the IP right up front is far cheaper than fixing either later. This is general information, not legal advice.
After You Hire: Onboarding
The job description is step one, and the path splits by how you hired. If you brought on a W-2 employee, run a structured onboarding: get the offer signed with the classification (usually exempt under the computer exemption, but confirm against pay and duties) and compensation clearly stated, complete Form I-9 within the first days along with the rest of the new hire paperwork, and gather tax forms.
Then set them up technically: access to code repositories, AI accounts and API keys, development tools, and the systems they will work in, and a clear picture of what to build first, the kind of structured start the employee onboarding guide describes. Because AI work is fast-moving, agree early on how you will evaluate quality, cost, and reliability. If you engaged a contractor instead, the emphasis shifts to a clear scope, milestones, and a signed agreement with the IP assignment in place before work begins. Store the signed offer or contract with the rest of the onboarding documents centrally.
FirstHR supports the W-2 side of this: an AI onboarding wizard and task workflows so each step is tracked, e-signature for the offer and the IP and policy acknowledgments, training modules, document management for signed forms, and a simple HRIS with an org chart as the team grows. Because pricing is flat rather than per employee, a small company pays one rate. FirstHR does not run payroll or administer benefits, so pair it with a payroll provider. Applicant tracking is coming soon to FirstHR.
Key Takeaways
AI developer is a broad title spanning application developers, automation specialists, and model engineers; define which you need before posting.
Most AI hiring defaults to contract, but decide W-2 versus 1099 deliberately: classification follows economic reality, and software work is often a core business activity that points to employee status.
A W-2 AI developer is usually exempt under the FLSA computer employee exemption, which uniquely allows an hourly basis at $27.63 or more, or $684 a week salaried, plus the duties test.
Automation and junior roles often pay around $27 to $29 an hour, straddling the $27.63 floor; below it the role is non-exempt and owed overtime.
Lock down ownership with an intellectual-property assignment clause, especially for contractors, who may otherwise retain rights to what they build.
There is no federal wage code for AI developer; pay ranges widely (the data-scientist benchmark is $112,590), so benchmark to the specific role and seniority.
Frequently Asked Questions
What does an AI developer do?
An AI developer builds software products and features that use artificial intelligence, mostly by working on top of existing models rather than training new ones. The duties cluster into four areas: build with AI (integrating large language model and AI APIs, building retrieval and agent workflows, writing production code for AI features), automate and integrate (automating workflows, connecting business systems, engineering and testing prompts), evaluate and maintain (checking output quality, latency, and cost, monitoring and debugging AI features in production), and collaborate and advise (working with product and engineering, training the team, recommending where to invest in AI next). The specific mix depends on the role: an application developer writes more code, an automation specialist leans on no-code and low-code tools, and a senior developer architects and mentors. The term is broad and covers several distinct jobs, so this page includes application developer, automation specialist, small-business, contractor, junior, and senior templates to match the one you need.
What is the difference between an AI developer and an ML engineer?
An AI developer works at the application layer, building products and features on top of existing models and AI APIs, while a machine-learning engineer works at the model layer, training, tuning, and optimizing the models themselves. In practice, an AI developer integrates large language model APIs, builds retrieval pipelines and agents, engineers prompts, and ships AI-powered features, using models as a building block. An ML engineer does feature engineering, trains and fine-tunes models, monitors for drift, and optimizes performance, which requires deeper specialized expertise and usually commands higher pay. The industry increasingly separates AI developer (application-focused) from AI engineer (system-wide implementation and optimization), though people use the terms loosely in everyday conversation. For most companies, especially smaller ones, the practical need is an application-focused AI developer or an automation specialist rather than a model engineer. Knowing which layer you need keeps you from over-hiring for an expensive model-training role when you actually want someone to build on top of existing AI. This is general information, not legal advice.
Should I hire an AI developer as a W-2 employee or a 1099 contractor?
It depends on the nature of the work, and you should decide deliberately rather than defaulting to a contractor because that is how the freelance platforms are set up. The legal test is economic reality, not the label in the agreement: whether the worker is in business for themselves or economically dependent on you. A key factor is whether the work is an integral part of your business. Because building software and AI features is often a core, ongoing activity, a developer who works mainly for you, on your direction, over an extended period tends to look like an employee, and calling them a 1099 contractor does not change that. A genuine contractor serves multiple clients, controls how the work is done, uses their own tools, and can profit or lose on their own decisions, which fits a defined, project-based engagement. Misclassification carries back-pay and tax exposure, and some states such as California apply stricter tests than the federal one. If the role is ongoing and central, hire W-2; if it is a discrete project with a truly independent provider, 1099 can be appropriate. This is general information, not legal advice.
Is an AI developer exempt or non-exempt from overtime?
A full-time AI developer is usually exempt under the FLSA computer employee exemption, but it depends on pay and duties, not the title. The Department of Labor applies this exemption to computer systems analysts, programmers, software engineers, and other similarly skilled computer workers whose duties meet the test and who are paid either on a salary basis at the federal threshold of $684 a week, or, distinctively for this exemption, on an hourly basis at no less than $27.63 an hour. The DOL is explicit that job titles do not determine exempt status. A senior or mid-level developer paid a normal market salary clears this easily and is exempt. The catch is at the lower end: AI automation specialists and junior roles often pay right around $27 to $29 an hour, straddling the $27.63 floor, and a role paid below it (and below the weekly salary level) is non-exempt and owed overtime no matter how technical it is. Check the actual pay against the threshold, and confirm the duties test, before classifying. This is general information, not legal advice.
Who owns the code an AI developer builds?
It depends on whether the developer is an employee or a contractor and on what your agreement says, so do not leave it to chance. For a W-2 employee, work created within the scope of employment generally belongs to the employer by default, though it is still good practice to confirm intellectual-property terms in the offer and company policies. For a 1099 contractor, the default can run the other way: without a written IP-assignment clause, the contractor may retain rights to the code, prompts, models, and tools they create, even though you paid for them. The fix is straightforward but essential: include a clear intellectual-property assignment clause in any contractor agreement, assigning to your company all rights in the work product, and confirm employee IP terms in your standard documents. This matters more with AI work because prompts, fine-tuning artifacts, and custom tools can be valuable and reusable. Put the ownership in writing before the work starts rather than negotiating it after. This is general information, not legal advice.
What qualifications should an AI developer have?
It varies by which version of the role you are hiring, and for AI roles a demonstrated portfolio often matters more than formal credentials. An AI application developer typically needs solid software development skills (Python and JavaScript are common), experience integrating APIs, and familiarity with large language model APIs, retrieval (RAG) pipelines, vector databases, or agent frameworks, plus an understanding of evaluation, latency, and cost tradeoffs. An AI automation specialist needs fluency with workflow automation and integration tools and comfort with AI APIs and prompts, but often no formal degree, since the work is practical and tool-based. A senior developer adds a track record of shipping production AI and the ability to set technical direction and mentor. A junior role prioritizes foundational coding skills and eagerness to learn over experience. Across all of them, because the field moves fast, the ability to learn quickly and a portfolio of real projects (even personal ones) are strong signals. Calibrate the requirements to the specific role and keep must-haves separate from nice-to-haves. This is general information, not legal advice.
How much does an AI developer make?
AI developer pay varies widely, which itself reflects how broad the title is. There is no dedicated federal wage code for AI developer; the nearest official benchmarks are data scientists (median about $112,590 a year as of May 2024, with the lowest 10 percent under about $63,650 and the highest 10 percent over about $194,410) and software developers (median about $133,080). Market estimates for AI developer specifically range widely, with averages reported roughly from the low $100,000s to the high $150,000s and a lower segment for junior and automation-focused roles that can start in the $50,000s to $90,000s. AI automation specialist postings often land around $27 to $29 an hour. The spread comes from the term covering everything from a junior automation role to a senior application engineer. The role is growing fast, with AI engineer among the fastest-growing job titles, which keeps upward pressure on pay. For a posting, benchmark to the specific version and seniority you are hiring and to your market, and include a good-faith range where your state or city requires pay transparency. National compensation surveys are a useful reference for regional and seniority detail.
What happens after I hire an AI developer?
If you hire a W-2 employee, run a structured onboarding; if you engage a contractor, the steps are lighter but the IP and scope paperwork matters more. For an employee, start with the basics: get the offer signed with the classification (usually exempt under the computer exemption, but confirm against pay and duties) and compensation clearly stated, complete Form I-9 within the first days, and gather tax forms. Then set them up technically: access to code repositories, AI accounts and API keys, development tools, and the systems they will work in, plus a clear picture of what to build first and what decisions are theirs. Because AI work is fast-moving and often new to the company, agree early on how you will evaluate quality, cost, and reliability. For a contractor, the emphasis shifts to a clear scope of work, milestones, and a signed agreement with the intellectual-property assignment in place before work begins. Store the signed offer or contract and any policy acknowledgments centrally. FirstHR supports the W-2 side: an AI onboarding wizard and task workflows for a consistent checklist, e-signature for the offer and IP and policy acknowledgments, training modules, document management for signed forms, and a simple HRIS with an org chart as the team grows. Because pricing is flat rather than per employee, a small company pays one rate. FirstHR does not run payroll or administer benefits, and applicant tracking is coming soon.