How Real Estate HR Services Streamline Your Agency

Sep 26, 2023

Figuring out real estate HR isn’t easy. If you have employees, how do you pay them? Aren’t payroll taxes complicated to figure out? What about providing benefits?

Fortunately for real estate agents with their own teams, there’s a one-stop answer for all these questions! With an Employer of Record partnership, your workers are the legal employees of the partner company while you retain oversight and management of their daily tasks and responsibilities.

 

What’s the Difference Between Real Estate HR and Real Estate Payroll?

You might think you can simply hire a payroll company to make sure your team is compensated. While technically true, that would open you up to liability for things like worker misclassification, improper tax filings, and unintentionally withheld mandatory sick leave. A payroll company will only do just that: pay workers. An Employer of Record is your partner and, as the legal employer for your team, is the responsible party for these sticky legal and regulatory issues.

 

Real Estate HR is Time-Consuming

You became a real estate agent to help people find the home of their dreams. Human resources functions—like payroll, taxes, benefits, and more—likely weren’t even on your radar! When you partner with an Employer of Record, they will handle all your HR responsibilities. From developing an employee handbook to conflict resolution to sending W-2 forms and so much more, your Employer of Record deals with the grit of the HR work so that you can focus on what you do best.

 

Your Top Hires Expect Top Benefits

When you find the perfect addition to your real estate team, you want to make sure you can entice them to work for you—and stay. Most job seekers will expect benefits like health insurance, life insurance, and a 401(k) at minimum. Many will also be looking for benefits packages that include additional offerings like flexible spending accounts, fitness memberships, and other perks. That’s a lot of administrative time to set up and maintain all those benefits! Your Employer of Record partner can provide a variety of benefits to your new hires on your behalf.

 

Sick Leave Laws Vary by Location

If you work in a large metropolitan area like New York City, it’s likely that your team lives in many different cities, towns, or municipalities—maybe even in a different state. Keeping track of the mandatory sick leave that is required for each of these locations can be a nightmare for a real estate agent to deal with. At Checks and Balances, Inc., HR specialists are constantly updated on changes in federal, state, and local labor and employment laws. The Employer of Record service they provide is built on a foundation of legal compliance and employee advocacy.

 

Are Your Team Members Contractors or Employees?

You might think that your real estate team members are contractors because you haven’t promised them a certain number of hours or only ask them to do specific tasks. This is a commonly held belief—and an inaccurate one! If your relationship doesn’t follow the legal requirements that indicate whether a worker is an independent contractor, you are liable for paying them as a W-2 employee. This means that they must have the appropriate taxes withheld, receive the benefits you offer W-2 employees, and provide them with any sick leave required by law. Massive companies have faced equally massive fines for worker misclassification, and you could be next if you get this part wrong. Your Employer of Record partner will help you with worker classification as well as providing the necessary forms at the end of the tax year, whether for a W-2 employee or for a 1099 independent contractor.

 

Partner with an Expert in Real Estate HR

Choosing the right partner for your real estate HR services is critical. You’ll save time, mitigate risk, and operate efficiently. Checks and Balances is an expert in real estate HR, with more than 43 years of experience providing Employer of Record services nationwide. Read our ebook and reach out today to learn more about how Checks and Balances can strengthen your workforce!

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