An HR record keeping checklist ensures you maintain the right employee documents for the required timeframes. Without it, a single missing document might derail an audit, spark a lawsuit, or cost your company thousands in fines. In some cases, it can even tank a funding round or merger deal.
In order to see sustainable success, you need to stay on top of all employee and business records to ensure everything is running like a well-oiled machine and that your business is up to snuff when it comes to compliance. For that, you’ll need a robust HR record keeping checklist to keep you on track.
This 20-point checklist covers essential records from hiring through termination, plus retention periods to keep your business compliant.
The gist of it
- HR record-keeping involves maintaining specific employee records for legal and operational reasons.
- Record retention periods depend on the specific document type
- You must maintain numerous employee personnel records throughout the employment lifecycle
- Poor HR compliance can result in investigations and fines.
Why your business needs an HR record keeping system
Keep your HR records and documents in one organized location and maintain a clear, consistent record-keeping process. This approach streamlines HR operations and minimizes errors and penalties.
Properly managing employee and business records:
- Supports HR functions — HR uses data to inform hiring, raises, benefit offerings, and termination decisions.
- Supports payroll, tax filing, and budgeting — HR data provides crucial insights into business performance and financial health.
- Enables audit responses — You access key documents quickly during audits without wasting time.
- Maintains employee satisfaction — HR records help you monitor workplace complaints, resolutions, and performance metrics.
- Ensures legal compliance — Employment law requires businesses to maintain specific employee records, including payroll records, tax documentation, and employee complaints.
Ready to organize your personnel files?
Essential HR record-keeping checklist
When it comes to HR compliance records, knowing what to keep—and for how long—can get complicated fast.
Use this checklist to simplify the process. We've organized it by employee lifecycle stage, so you can easily track what you need from hiring through offboarding.
Pre-employment records to track
Yes, you must retain and properly manage documents for job candidates who aren't even employed yet.
1. Open positions
Ensure your job postings comply with state laws regarding:
- Required posting duration before hiring internally
- Suitable candidate requirements
- Compensation transparency
2. Hiring policies
Document clear hiring policies that comply with:
- Anti-discrimination laws
- The Americans with Disabilities Act
3. Resumes and applications
For anyone who applies for an open role, hold onto:
- Resumes
- Applications
- Interview notes and evaluations
4. Background checks
If you perform background checks as a condition of hiring, store the results for easy future reference.
Essential employment records to maintain
Once someone is an official employee, the list of records you must file away grows significantly.
5. Onboarding documentation
As you bring people into the fold of your business, you’ll want records of:
- Employment contracts and offer letters
- Employment eligibility verification (I-9 forms)
- Personal information (including Social Security Numbers)
6. Tax files
Maintain IRS compliance with necessary tax records:
- The employee’s W-4
- Withholding certificates
- Tax status documentation
7. Payroll information
Of course, you need to pay your employees. To do so, you’ll need:
- Banking information for direct deposit
- Deduction information
- Earnings and pay schedules
8. Annual benefits enrollments
When employees elect their benefits, you should store copies of:
- Medical, dental, and vision insurance selection
- Retirement/benefit plan selection
- Records if an employee has waived group benefits.
9. Medical files
Certain U.S. legislation, like the Americans with Disabilities Act (ADA) and the Family and Medical Leave Act (FMLA), require employers to maintain certain medical information about employees in relevant situations.
You may need to store copies of:
- Healthcare provider medical certifications
- Documentation related to disability accommodations
- Workers’ compensation claims
10. Timesheets and processes
Maintain records regarding timesheets and workflows to ensure accurate payments and wage law compliance:
- Employee timesheet setup
- The system used to track time and configurations made to the system
- Attendance policies
- Approval workflows for time and attendance
11. Vacation and PTO
Track paid time off with detailed records:
- Dates of authorized leave requests
- The total number of vacation/PTO/leave hours requested and approved
- The type of leave requested
- Supporting documentation for specific leave requests, such as medical certificates
12. Performance review
Proper performance review records are critical for managing employee development. Maintain detailed records of reviews, like:
- Performance evaluation forms
- Self-evaluation forms
- Documentation of feedback and coaching
- Performance improvement plans
- Correspondences related to performance
13. Ongoing trainings
Track employee development and compliance training. Keep records of:
- Training attendance records
- Completion certificates
- Performance evaluation records
- Copies of training materials and expenses
14. Travel reimbursement
Ensure accurate financial tracking for business travel:
- Dates/purpose of the trip
- Type of transportation used
- Travel expenses incurred
- Total amount reimbursed and the reimbursement method
15. Salary increases and bonuses
Keep accurate records of when your team deserves well-earned pay increases. Document:
- Salary increase/bonus documentation
- Employee notification records
- Salary increase/bonus calculation
- Payroll processing records
16. Employee incidents
If an employee files a complaint or gets hurt on the job, the Occupational Safety and Health Administration (OSHA), requires detailed documentation:
This can include:
- Incident date, time, and detailed descriptions
- Regulatory forms for certain accidents, such as OSHA 300 logs
- Correspondence about how the incident was addressed
Post-employment records
When an employee leaves, you should keep accurate records about how, when, and why they left.
17. Termination records
Document all employee departures with:
- Letter of termination notices
- Separation agreements
- Any conditions that apply to the employee’s departure
18. Offboarding and exit interviews
To protect your business and ensure a smooth transition, formalize offboarding policies and processes. These can include:
- Copies of final distributed paychecks
- Proper filing of tax forms
- Records showing the return of company property, like laptops or cell phones
- Final performance reviews
- Copies of any exit interview conversations.
Company culture records
Lastly, it’s always wise to have fleshed out HR records of how your company runs and the standards you operate by.
19. Employee handbook
This is your guiding star for policies employees must follow. Your employee handbooks can include policies around:
- Professional conduct
- Sexual harassment and discrimination
- Data protection
- Compensation and benefits
20. Workplace activities
It never hurts to know how the events and trainings you offer employees contribute to the success (or lack thereof) of your business.
Get that insight by keeping records about:
- Employee participation
- Feedback and suggestions
- Metrics and outcomes
- Recognition and awards
Once you have all of these employee records stored away, only dispose of records in line with compliance standards.
How long do I need to keep employee records?
Employee record retention depends on the document. You may need to keep them for a few months to several years.
Here are some of the most common retention requirements.
Frequently asked questions when creating an HR record checklist
Q: What is an HR record keeping checklist?
An HR record keeping checklist is a comprehensive list of employee documents and records that businesses must maintain for legal compliance and operational efficiency. It includes hiring records, employment documentation, payroll information, and termination records with specific retention periods.
Q: What is the best way to keep employee records?
If you want to ensure HR records are securely where you need them at all times, you should store them in a centralized HR management system.
Q: Should we track employees by Social Security number?
No! In some states, it’s actually illegal to track employees by their SSNs. You’re better off using unique identifier numbers to track personnel records.
Q: Who should have access to HR records?
Only HR should have access to confidential details like medical records and background checks. Managers can have access to need-to-know HR data like performance reviews and incident reports and employees should have access to their benefits and payroll records for easier self-service.
Q: How should I dispose of HR records?
When disposing of employee personnel documentation:
- Securely shred physical records
- Destroy digital records following data privacy guidelines
- Follow all federal and state disposal requirements
Get Your HR House in Order
HR record-keeping might feel like a never-ending chore, but it’s one of the most important things you can do to protect your business. The right documentation helps you stay compliant, avoid costly penalties, and make confident, well-informed decisions as you grow.
Between running payroll, hiring new team members, and handling the daily demands of your business, keeping up with every form, file, and retention schedule can feel like a full-time job in and of itself. That's where professional HR support makes a difference.
At Hilne, we offer more than just accounting. We provide fully managed HR and payroll services designed specifically for small businesses, nonprofits, and startups. From onboarding and benefits management to automated payroll processing and centralized data management, we’ve got you covered.
Want to stop worrying about your HR records? Start organizing your HR records with Hiline's managed HR services.
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