HR audit checklist (US)
A 25-point HR audit covering federal compliance (I-9, FLSA, ACA, EEOC), state-specific requirements (CA, NY, IL, etc.), payroll, and policy hygiene.
HR Audit Checklist — US
Conducted by:
- I-9 & work authorization
- FLSA classification
- Tax & payroll
- Benefits & ACA
- EEO & anti-discrimination
- Workers' comp & safety
- Policies
- Terminations
Notes & follow-up
Made with WalnutsHR Paper · Reviewed for United States (general) · April 2026
No compliance hints for this jurisdiction yet — your document looks good for the basics. Have a lawyer review before sending anything consequential.
About this template
US HR compliance is a patchwork: federal floor, plus state and sometimes local layers. This audit focuses on the items most often cited in DOL audits, EEOC complaints, and ICE I-9 inspections.
When to use it
- Quarterly or semi-annual internal audit.
- Pre-fundraise diligence prep.
- After hitting a headcount threshold (50, 100, etc.) that triggers new obligations.
- After a complaint or regulatory inquiry.
What to include
- I-9 hygiene — Section 1, Section 2, retention, re-verification.
- FLSA classification — exempt / non-exempt with current salary thresholds.
- Tax & payroll — W-4, state withholding, new-hire reporting, W-2 / 1099 issuance.
- Benefits — ACA, COBRA, ERISA Form 5500.
- EEO — EEO-1 reporting, posters, mandatory anti-harassment training.
- Workers' compensation and OSHA recordkeeping.
- Termination documentation including WARN compliance.
Frequently asked questions
How often should we run this?
Quarterly is best for fast-growing teams. Annually is the minimum. Crossing 50 or 100 employees should trigger an immediate audit — those thresholds bring ACA, EEO-1, FMLA, and other obligations.
What about local laws — city or county ordinances?
Many cities (NYC, SF, Chicago, Seattle, etc.) have their own paid-sick-leave, predictive-scheduling, ban-the-box, and salary-history laws. This checklist doesn't enumerate them — review your operating cities annually as part of the audit.
Are remote employees subject to the state where the company is based, or where they work?
Where they work. A New York-based company with a remote employee in California must comply with California wage-and-hour, anti-harassment training, and tax rules for that employee. Multi-state remote teams substantially expand the compliance surface.
Legal disclaimer. Federal-state-local interplay is complex and changes frequently. CA, NY, IL, MA, and WA have particularly active HR-compliance landscapes. This audit is a starting point — for high-stakes determinations (FLSA classification disputes, large layoffs, multi-state remote-employee tax exposure) engage employment counsel.
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