Quick Answer

New West Virginia employers must: (1) obtain a federal EIN from the IRS, (2) register for a state tax account with the West Virginia State Tax Department for income tax withholding, (3) register for an SUI account with the WorkForce West Virginia, and (4) obtain workers’ compensation insurance. Complete all registrations before running your first payroll.

When you hire your first employee in West Virginia, you trigger a series of registration requirements at the federal and state level. Missing any of these steps can result in penalties, delayed payroll, and compliance headaches. This guide walks you through everything, in order.

Registration Overview

Here’s a checklist of what every new West Virginia employer needs:

  • ☑ Federal Employer Identification Number (EIN)
  • ☑ West Virginia state tax registration (West Virginia State Tax Department)
  • ☑ West Virginia SUI account (WorkForce West Virginia)
  • ☑ Workers’ compensation insurance
  • ☑ New hire reporting setup
  • ☑ Payroll system or software

Step 1: Get Your Federal EIN

Your Employer Identification Number (EIN) is your federal tax ID. You need it for everything — federal tax filings, state registrations, opening a business bank account, and running payroll.

Apply online at IRS.gov/EIN. It’s free and you receive your EIN immediately.

Step 2: Register with West Virginia State Tax Department

Visit the West Virginia State Tax Department website to register for a state employer tax account. This allows you to withhold West Virginia state income tax from employee paychecks and remit it to the state.

💼 From the Payroll Desk

Don’t wait until your first payroll to register. State registrations can take days or weeks to process. Start the registration process as soon as you know you’ll be hiring.

Step 3: Register for SUI

Register for a State Unemployment Insurance account through the WorkForce West Virginia. You’ll be assigned:

  • An employer account number
  • Your initial SUI rate (2.73% for new employers)
  • Quarterly filing requirements

SUI is an employer-paid tax on the first $9,000 of each employee’s wages. See our West Virginia SUI Rates 2026 guide for details.

Step 4: Workers’ Compensation Insurance

Most West Virginia employers are required to carry workers’ compensation insurance, which covers employees who are injured on the job. Requirements vary by state — some states require coverage from the first employee, while others have minimum thresholds.

You can obtain workers’ comp through private insurance carriers or, in some states, through a state fund. Compare quotes from multiple carriers to find the best rate for your industry classification.

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If you’re also forming your business entity, consider ($39 + state fee) or for LLC/corporation formation.

Step 5: New Hire Reporting

Federal and West Virginia law require you to report every new hire within 20 days of their start date. This information is used to enforce child support orders and prevent fraud.

Most states allow online reporting through their new hire reporting website. See our New Hire Reporting guide for details.

Step 6: Set Up Payroll

With all registrations complete, you’re ready to set up your payroll system. For West Virginia small businesses, we recommend:

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Frequently Asked Questions

How do I register as a new employer in West Virginia?

Register for a state tax ID with the West Virginia State Tax Department and for an SUI account with the WorkForce West Virginia. You'll also need a federal EIN from the IRS.

When must I register as an employer in West Virginia?

You must register as soon as you hire your first employee or, in some cases, when you pay wages above a threshold in a calendar quarter. Register before your first payroll.

Do I need workers' compensation in West Virginia?

Most West Virginia employers are required to carry workers' compensation insurance. Check with the WorkForce West Virginia or your state's workers' compensation board for specific requirements.

What is an EIN and how do I get one?

An Employer Identification Number (EIN) is a federal tax ID from the IRS. Apply online at irs.gov/ein — it's free and you receive it immediately.

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Legal & Tax Disclaimer

This article is for general informational purposes only and does not constitute legal, tax, or professional advice. Employment laws, tax regulations, and compliance requirements change frequently. The information on this page reflects our understanding as of February 2026 and may not reflect recent changes in federal or West Virginia state law.

Do not act or refrain from acting based solely on the information in this article. Always consult a qualified attorney, CPA, or HR professional familiar with West Virginia law before making payroll or compliance decisions for your business.