U.S. based small- and medium-sized businesses will face a 12 percent chance of being hit with an employee lawsuit—and in some states the risk is even higher. When it comes to filing and distributing paperwork, the is key to avoiding common mistakes that can lead to legal claims. When filling out an I-9 form, avoid asking for specific forms of ID and instead provide the employee with the I-9 list and allow them to choose. This can circumvent claims of discrimination based on national origin. If a worker is a an independent contractor, utilize a 1099 form. But be careful: companies like Uber have found themselves in court over and over from suits by former employees incorrectly classified as contractors. HR Next’s advanced software solutions can manage every aspect of employee reporting and filing. Get in touch today to learn more.