International companies can now hire US employees in all 50 states without establishing a US entity through Rise.

The United States remains the world's largest talent market, with over 170 million workers across diverse industries, yet establishing a legal entity can cost between $15,000 to $35,000 initially plus $33,000 to $135,000 in annual maintenance costs and take 1-3 months.

We've designed our US EOR solution specifically to eliminate these barriers, allowing companies to onboard American talent within days while maintaining full compliance with federal and state employment laws.

Key Takeaways

  • US EOR services enable international companies to hire American employees without establishing a US entity, saving $15,000-35,000 in initial setup costs plus ongoing maintenance
  • Rise manages all compliance requirements across 50 states, including federal and state-specific employment laws, tax filings, and benefits administration
  • Our hybrid payroll system supports payments in USD, USDC, and other cryptocurrencies, catering to both traditional and Web3 companies
  • Full-time US employees can be onboarded in days rather than months, with comprehensive benefits including healthcare, sick leave, and 401(k) options
  • At $399 per employee per month, Rise's US EOR service includes automated onboarding, compliance management, and ongoing HR support

Understanding US EOR: The Foundation for Global Expansion

What is a US Employer of Record?

A US Employer of Record acts as the legal employer for workers in the United States on behalf of international companies.

When you partner with Rise as your US EOR, we become the official employer on paper, handling all legal responsibilities while you maintain complete control over your employees day-to-day activities and work assignments.

This employee leasing model has become essential for global expansion strategies.

This arrangement differs fundamentally from traditional hiring methods.

Instead of your company appearing on employment documents, Rise's US entities serve as the employer of record.

  • We handle employment contracts, tax withholdings, benefits enrollment, and compliance with both federal and state regulations.

Why International Companies Need US EOR Services

The American employment landscape presents unique challenges for international businesses pursuing global expansion.

Federal laws like the Fair Labor Standards Act (FLSA), Affordable Care Act (ACA), and Americans with Disabilities Act (ADA) form just the baseline.

  • Each state adds its own layer of requirements, creating a complex web of regulations.

Setting up a US entity involves incorporating in a specific state, obtaining federal and state tax identification numbers, registering for unemployment insurance, securing workers compensation coverage, and establishing banking relationships.

This process typically takes 1-3 months and costs between $15,000 to $35,000 for initial setup, not including annual maintenance fees of $33,000 to $135,000.

We eliminate these barriers through our established US entities.

Risk management represents another critical benefit.

The Department of Labor can assess fines up to $2,515 per violation for willful or repeated Fair Labor Standards Actbreaches as of January 2025.

The US Employment Landscape: Navigating Complexities

Federal vs State Employment Laws

The United States operates under a dual-sovereignty system where both federal and state governments regulate employment.

Federal laws establish minimum standards, while states can implement additional protections.

Federal requirements include:

  • Minimum wage of $7.25 per hour (though 30 states mandate higher rates)
  • Overtime pay at 1.5x regular rate for hours over 40 per week
  • Employment eligibility verification (Form I-9)
  • Equal Employment Opportunity (EEO) compliance
  • Family and Medical Leave Act (FMLA) for companies with 50+ employees

State variations add complexity.

  • California requires daily overtime for work exceeding 8 hours, while most states only mandate weekly overtime.
  • Massachusetts mandates paid family leave and sick leave, funded through payroll taxes.
  • Florida has no state income tax, while California's rates can exceed 13%.

Benefits and Compliance Requirements

US benefits expectations differ significantly from other countries.

While many nations provide universal healthcare, US employers typically bear this responsibility.

Standard US benefits packages include health insurance, retirement plans, paid time off including sick leave, and professional development opportunities.

Employee classification poses significant risks for international employers.

  • The IRS and Department of Labor scrutinize worker classification closely, distinguishing between W-2 employees and 1099 independent contractors.

Misclassification can trigger audits, back taxes, penalties, and employee lawsuits, making risk management essential for global expansion.

Rise's US EOR Solution: Your Gateway to American Talent

How Rise Simplifies US Hiring

We've built our US EOR service to remove every obstacle international companies face when hiring American talent in the United States.

  • Our automated systems handle the complexities while providing transparency and control throughout the process.

Our onboarding automation transforms a typically weeks-long process into days.

When you identify a US candidate, we immediately begin the onboarding workflow.

Our systems collect necessary information, generate compliant employment agreements, and initiate background checks simultaneously.

Key Features of Rise's US EOR Service

1. Instant US Entity Access

Through our Rise-owned entities established across all 50 states, you gain immediate access to the entire US talent market.

Zero setup time means you can extend an offer to a US candidate today and have them start working next week through our employee leasing arrangement.

2. Comprehensive Compliance Management

Our automated compliance infrastructure operates continuously to protect your business.

  • We handle quarterly 941 filings, annual 940 filings, state unemployment tax returns, and year-end W-2 processing.

State-specific employment agreements incorporate required language for each state.

3. Flexible Payment Solutions

Traditional USD payroll remains our foundation, but we've expanded beyond conventional limitations.

Our cryptocurrency and stablecoin payment options allow employees to receive part or all of their compensation in USDC, USDT, or other approved cryptocurrencies.

4. Competitive Benefits Packages

Our healthcare options include multiple medical plan tiers, dental and vision coverage, and nationwide networks.

The 401(k) plan now includes cryptocurrency investment options following recent regulatory clarification.

Additional benefits include life insurance, disability coverage, sick leave management, and flexible spending accounts.

The Rise Advantage for Tech Companies

Tech companies face unique challenges in US hiring.

We built our infrastructure specifically to support these companies.

  • Our banking relationships accommodate tech and crypto-related businesses and our payroll systems handle both fiat and crypto seamlessly.

Remote-first infrastructure defines our approach.

We support fully distributed teams, with state tax compliance for remote workers built into every process.

Step-by-Step Guide: Building Your US Team with Rise

Pre-Hiring Preparation

Before beginning your US hiring journey, establishing clear parameters ensures success.

Role definition goes beyond job descriptions, consider how US candidates will integrate with your existing team, what time zone overlaps you need, and which collaboration tools you'll use.

  • Compensation research requires understanding total costs, not just salaries.
A $150,000 salary in San Francisco might equal $110,000 in Austin when adjusted for cost of living, but benefits and tax costs vary too.

State selection impacts more than just talent availability.

Some states offer advantages:

  • Washington: No state income tax, strong tech talent pool
  • Texas: No state income tax, business-friendly environment, growing tech hubs
  • Delaware: Favorable corporate laws, moderate costs
  • Florida: No state income tax, expanding tech scene

Other states require careful consideration:

  • California: Highest talent concentration but complex regulations and high costs
  • New York: Deep talent pool but high taxes and strict employment laws
  • Massachusetts: Strong technical talent but expensive benefits requirements

The Onboarding Process

1. Employee Information Collection

Once you've selected a candidate, we initiate our streamlined onboarding.

Rise's secure portal collects:

  • Personal identification information
  • Tax withholding elections (W-4)
  • Direct deposit details or crypto wallet addresses
  • Benefits enrollment choices

2. KYC/AML Compliance

We perform thorough identity verification to meet Know Your Customer (KYC) and Anti-Money Laundering (AML) requirements.

This protects both your company and ours from potential fraud or compliance violations.

Our automated systems typically complete verification within 24 hours.

3. Employment Agreement Execution

Our state-specific employment agreements incorporate all required disclosures and protections.

Electronic signature capture ensures quick execution while maintaining legal validity.

  • Employees receive copies of all signed documents for their records.

4. Benefits Enrollment

New employees can immediately access our benefits portal to select their coverage.

Our benefits team provides guidance on plan selection, ensuring employees understand their options.

Coverage typically begins on the first day of employment or the first of the following month.

5. Payroll Setup

We configure payroll based on your specifications:

  • Pay frequency (weekly, bi-weekly, semi-monthly, monthly)
  • Tax withholdings based on employee elections
  • Benefits deductions
  • Any additional deductions or reimbursements

Ongoing Management

Payroll processing runs automatically according to your established schedule.

You approve hours or salary amounts, and we handle everything else.

  • Our systems calculate taxes, process payments, and deliver pay stubs without your intervention.

Benefits administration continues throughout employment.

We manage open enrollment periods, qualifying life events, and COBRA administration for departing employees.

Claims issues get resolved directly between employees and providers, removing administrative burden from your team.

Compliance monitoring never stops.

We track hours for overtime calculation, manage leave accrual and usage including sick leave requirements, and ensure all required notices reach employees.

  • When laws change, we update our processes and notify you of any impacts.

Performance management remains your responsibility, but we provide supporting infrastructure.

Our systems can track performance review cycles, document feedback, and maintain records for potential employment actions.

This documentation proves valuable if termination becomes necessary.

Cost Analysis: US EOR vs Traditional Entity Setup

Traditional US Entity Costs

Establishing a US entity involves immediate and ongoing expenses that extend far beyond the initial incorporation fee.

Here's the real cost breakdown:

Initial Setup Costs:

  • State incorporation fees: $500-1,500
  • Federal EIN application: Free but requires proper filing
  • State tax registration: $50-500 per state
  • Registered agent service: $200-500 annually
  • Business licenses: $50-400 depending on location
  • Legal consultation for entity structure: $5,000-15,000
  • Accounting setup and tax planning: $3,000-10,000
  • Banking relationships: $500-2,000 in minimum deposits
  • Insurance policies setup: $2,000-5,000
Total Initial Investment: $15,000-35,000

Ongoing Annual Costs:

  • Registered agent fees: $200-500
  • State annual reports: $50-500
  • Tax preparation and filing: $5,000-25,000
  • Legal compliance reviews and liability assessment: $10,000-30,000
  • Audit preparation (if required): $10,000-50,000
  • HR infrastructure and software: $5,000-20,000
  • Benefits administration: $3,000-10,000
Total Annual Maintenance: $33,000-135,000

Hidden costs compound these figures.

Management time spent on compliance, opportunity costs of delayed hiring, and potential penalties for non-compliance can double the true expense.

Rise's Transparent Pricing Model

Our straightforward pricing eliminates uncertainty: $399 per employee per month.

This fee includes:

  • Full legal employment through our US entities
  • Complete payroll processing and tax filings
  • Benefits administration and employee support
  • Compliance management across all applicable jurisdictions
  • Ongoing HR support and documentation
  • Access to our technology platform

No hidden fees exist.

You won't find surprise charges for year-end tax forms, state registrations, or compliance updates.

Our per-employee model scales perfectly, you pay only for active employees, with no base fees or minimum commitments.

ROI Calculations Example: For a company hiring 5 US employees:

  • Traditional entity: $25,000 setup (average) + $50,000 annual = $75,000 first year
  • Rise EOR: $399 × 5 employees × 12 months = $23,940 first year = First-year savings: $51,060

The savings multiply when considering expansion to multiple states.

Each additional state with traditional entities requires separate registrations and compliance management.

With Rise, you access all 50 states at the same per-employee rate.

Industry-Specific Applications

Web3 and Blockchain Companies

Web3 companies face unique challenges when entering the US market.

Traditional employment infrastructure wasn't designed for decentralized organizations, crypto compensation, or globally distributed teams.

  • We built our services specifically to address these challenges.

DAOs (Decentralized Autonomous Organizations) particularly benefit from our employee leasing structure.

Without traditional corporate entities, DAOs cannot directly employ US workers.

We bridge this gap, providing compliant employment while respecting the DAO's decentralized governance.

Contributors receive full employee benefits while the DAO maintains its structural integrity.

Our crypto payroll capabilities extend beyond simple payments.

We handle the complex tax implications of cryptocurrency compensation, including:

  • Proper valuation at time of payment for tax purposes
  • Automatic tax withholding in fiat to cover obligations
  • Year-end reporting that satisfies IRS requirements
  • Integration with DeFi protocols when requested

Regulatory navigation becomes crucial as US authorities increase crypto industry scrutiny.

We maintain relationships with regulators and stay current on enforcement trends.

  • When the Treasury Department issues new crypto reporting requirements or states implement blockchain-specific regulations, we ensure compliance before requirements take effect.

The technical talent that Web3 companies need often demands cutting-edge compensation structures.

Token grants, staking rewards, and protocol incentives require careful handling to maintain compliance.

We structure these arrangements properly, ensuring both company and employee protection through comprehensive risk management.

SaaS and Tech Startups

Software companies expanding to the United States face intense competition for talent.

Our rapid onboarding gives you an advantage, when you identify the perfect engineer or product manager, we can have them working within days, not weeks.

  • Silicon Valley talent no longer requires Silicon Valley presence.

We enable you to hire from tech hubs like San Francisco, Seattle, and Austin without establishing physical offices.

Your employees can work from anywhere while maintaining full compliance with local regulations.

Scaling engineering teams requires more than just hiring speed.

Our infrastructure supports the full lifecycle:

  • Rapid hiring during growth spurts
  • Flexible compensation including equity considerations
  • Comprehensive benefits that compete with tech giants
  • Smooth offboarding when projects end or pivots occur

Remote team management receives full support through our platform.

Time tracking for non-exempt employees, expense reimbursement processing, and equipment provisioning all function seamlessly.

We integrate with popular tools like Slack, Zoom, and project management platforms.

International Enterprises

Large international companies use our services differently than startups.

For enterprises, US market entry often represents strategic expansion requiring careful execution.

We support this through:

  • Pilot Programs: Test US markets with small teams before committing to full entity establishment. Our services let you validate market fit without infrastructure investment.
  • Acquisition Support: When acquiring US companies, employment transition becomes critical.
    We can quickly onboard acquired employees, maintaining continuity while you evaluate long-term structure.
  • Compliance Standardization: Multi-national companies often struggle with inconsistent US employment practices.
    We provide standardized, compliant processes across all US operations.
  • Executive Deployment: Sending senior executives to establish US operations requires special handling.
    At Rise we manage executive compensation, specialized benefits, and cross-border tax considerations.

Conclusion

Rise's US EOR service enables international companies to hire American talent across all 50 states without establishing a US entity, saving over $51,000 in first-year costs for just 5 employees while ensuring complete compliance with complex federal and state employment laws.

Our $399 per-employee monthly fee includes everything from automated onboarding and payroll processing to comprehensive benefits and our unique hybrid payment system supporting both USD and cryptocurrency compensation.

By partnering with Rise, you can build your US team in days rather than months, accessing the United States largest talent market while we handle all legal, tax, and regulatory complexities including risk management.

Book a demo today to discover how Rise can accelerate your American expansion and help you focus on growth, not compliance.

FAQs:

1. What is a US EOR and how does it work?

A US Employer of Record acts as the legal employer for your US workers while you maintain full control over their daily activities. We handle all employment compliance, payroll, taxes, and benefits through our established US entities. You avoid setting up your own US company while gaining immediate access to American talent in all 50 states.

2. How much does Rise's US EOR service cost?

Our transparent pricing is $399 per employee per month. This all-inclusive fee covers employment compliance, payroll processing, benefits administration, tax filings, and ongoing HR support. There are no setup fees, hidden charges, or minimum commitments. You pay only for active employees.

3. Can Rise help Web3 companies pay employees in cryptocurrency?

Yes, we specialize in hybrid payroll solutions for Web3 companies. Employees can receive compensation in USD, USDC, USDT, or other cryptocurrencies. We handle all tax implications of crypto payments and ensure full compliance with IRS requirements. Our 401(k) options also allow retirement savings in digital assets following recent regulatory clarification.

4. How quickly can we hire US employees through Rise?

Our automated onboarding typically completes within 3-5 business days. Once you've selected a candidate, we handle employment agreements, compliance verification, benefits enrollment, and payroll setup simultaneously. This parallel processing is significantly faster than the 1-3 months required for traditional entity establishment.

5. Which states can we hire employees in?

We support employment in all 50 US states plus Washington D.C. through our established entities. You can hire employees anywhere in the United States without worrying about individual state registrations or compliance requirements. We handle all state-specific employment laws, tax registrations, and regulatory requirements.

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