A HOW-TO GUIDE

An employee handbook
probably isnt top of mind when
starting a new business. It might
even go against the idea of what
you want your company to be -
the anti-corporation. However,
not having something as simple
as an employee handbook
might open up your company to
trouble down the road.

Pro-tip
Its good for a company to have a
handbook from the get go. It sets
clear expectations and protects
the company in many ways. A
handbook is a proactive way for
companies to get out in front of
HR issues and ensure that there is
clarity in regards to the company
adhering to certain laws.
Marilyn Collins,
HR Manager at
Streetwise Media
Why you need an employee
handbook
The law doesnt require you to have a handbook,
however certain Federal and State laws require
notice to your employees and a handbook is
a great way to ensure you have successfully
accomplished this. Ignoring these laws and
failure to notify employees may lead to fines
and possible lawsuits. By creating an employee
handbook youre protecting your company
and at the same time creating a better working
environment for your employees. A win-win!
The absence of a handbook can actually be
seen as non-compliance with these laws and
could create problems if a lawsuit were to ever
be brought against your company.
Employee handbooks can also be a great
way to create the culture that you want
for your company. By communicating and
setting expectations from the beginning, your
employees will understand and be able to
carry out your vision.
What your employee handbook
should not be
Just because you have a handbook doesnt
mean you need to act and operate like a large
or corporate company. It doesnt need to be
a complex book of rules that drives a wedge
between you and your team.
Pro-tip
Employee manuals dont have to be
the super corporate antithesis of your
startup. In fact, your employee handbook
What your employee handbook can be a reflection of the culture of your
should be brand, written with your unique tone
expressed throughout.
Consider your handbook a reflection of your
culture and business ethics. It should be an
Joshua Kuns
introduction for a new employee to life working
SmartRecruiters Blog 10 Rules of
at your company. Youll want to show that you
Startup Employment Labor Law
care about your team and the future of the
company by taking things like Federal and State
laws seriously, but also that you want to create a
helpful resource for your employees that covers
frequently asked questions and benefits.
Awesome! Youve decided you need an employee
handbook, now you just need to figure out where to
start. Weve got you covered. Well share some of the
things that need to go in it, some research that you
should do, as well as some ideas for extras that are
good have.
Legal jargon
The first thing youll want to do is show that you comply with Federal and State laws. You
will need to do some research for laws specific to the state(s) where your employees work.
This means that if you have remote employees or offices in multiple states, youll want to
cover the laws for all of them. This is because labor laws can vary by state, county and even
city. For example, New York requires that you have posters of specific laws in plain view as
well as written notification to employees. A quick search for your state labor department
should provide the needed information.

Youll want to include some standards like these in

your handbook:

Equal Employment Opportunity

This states that you wont discriminate on the basis
of race, color, religion, sex, national origin, disability,
age, or genetics.

Pro-tip
Visit the U.S. Equal
Employment Opportunity
Commission at eeoc.gov for
more information.
Anti-harassment Policy
This stems off of your compliance with EEO laws and
should be your companys policy of no tolerance when
it comes to harassment. Youll first need to define
what is harassment and then create a procedure for
reporting harassing behavior.

Americans with Disabilities Act

Another piece of the EEO law, you want to show
compliance with is that your company does not
discriminate against qualified individuals just
because they have a disability.
Set workplace expectations
A big part of having a successful company culture is to create an environment where
people are treated fairly and with respect. Its not all about the ping pong table and beer
fridge. Think about the foundational elements you think will make someone successful at
your company and build those into the expectations from day one.

Consider including some topics like these in your

handbook:

Workplace Bullying
This is a growing issue in the workplace. Very similar
to bullying in school, workplace bullying can have the
same adverse effects and should not be tolerated.
Set clear guidelines on how to treat fellow employees
Pro-tip
with respect and also how employees can report
bullying. Your employee handbook
doesnt need to be on
Confidentiality paper. Other companies
Every business has information that it doesnt want use tools such as
to be public, whether its product roadmaps or SlideShare or internal
revenue. Be clear about what topics and information Wikis. All that matters is
are not to be discussed with non-employees. This that its easily accessible!
might also expand into not sharing client or vendor
information.
 Social Media
With the ever growing presence of social media and the
immediate disbursement of information, it is important
to create a social media policy. Perhaps you dont want
employees to post photos of projects at work or make
comments about other employees. Be sure that you are
not violating freedom of speech by setting reasonable
guidelines.

Expense and Travel Policy

Be upfront with employees on spending expectations.
List the requirements, such as receipts and manager
approval, that youll need from them in order to
issue a reimbursement. Also share things that you
wont reimburse them for, such as personal items
or credit card fees, and any limitations such as a per
diem for meals. You can also talk about things you will
reimburse, perhaps your company covers the cost of
gym memberships or cell phone plans up to a certain
amount.

Pro-tip
50% of employees post
messages, pictures or
videos about an employer
often or from time-to-time.
With a bit of guidance and
the right resources, you can
use social media as a form
of employee engagement.
Highlight the benefits
Its not all rules and boundaries. Be sure to share
with your employees all of the benefits that you offer
to them. Does your company have Friday lunches or
unlimited vacation? Share the good news!

Some benefits to be put in your handbook might

Pro-tip
include:
Get a Legal Review to make
Vacation and Company Holidays sure you arent putting
Explain how vacation is earned or how sick time yourself in a sticky situation
works. Also add a list of days that the company is with any of your wording,
closed. especially for sections
addressing legal issues.
Compensation
Include payroll schedules, reasons for overtime pay
and performance/salary review processes.

Additional Benefits
Share any other benefits you might provide such
as 401K information, health and dental insurance,
employee referral programs, or gym membership
reimbursements.

This is also a great place to sum up your culture. Talk about qualities successful team
members have and also about things the team enjoys doing together. Boost morale by
focusing on the good stuff!
Congratulations! Youve made a big step towards setting
the foundation for your company culture. But words
are only words - now you need to put them into action.
Youve got a lot on your plate, so dont try to go it alone.
There are plenty of tools available to help you.
I made my handbook, now what?
Weve highlighted the big areas that are worth
automating and suggested some tools to make your
life easier and will also be a great experience for your
employees.

Payroll
Figuring out taxes and setting up direct deposit are
complicated tasks. Thankfully, automating payroll
is nothing new and there are a lot of great options
out there. One to consider is ZenPayroll, perfect for
companies trying to simplify the payroll process and
paperwork.

Human Resources
Youre going to be doing a lot of hiring as you continue
to grow and with that comes a lot of paperwork.
Consider using a solution like Zenefits to manage
employee paperwork like health care enrollment
forms, W4s and employee agreements. You can even
store your newly created employee handbook here!

Expense Management
No one likes expense reports. Free your company of
the painful tasks of sifting through piles of receipts
and compiling a report to submit for approval. By
using a solution like Abacus, youll be able to to quickly
reimburse your team, enforce your expense policy,
and automate your bookkeeping. All youll have to do
is hit the approve button.
Sample outline to get started
1. Introduction and Thank You message
a. Welcome, History and Values
b. Purpose of Handbook
2. Our Commitment to You
a. Equal Employment Opportunity / ADA Compliance
b. Non-Harassment Policy
c. Open Door Policy
3. Employment
a. At-will Employment
b. Probation Period
c. Employment Classification
i. Exempt
ii. Non-Exempt
iii. Part-time, Full-time, or Temporary Status
4. Company Policies and Procedures
a. Company Property
b. Confidentiality
c. Social Media
d. Travel and Expense Reimbursement
e. Payroll
f. Performance and Reviews
 g. Leave and Time Off
i. Vacation
ii. Sick Time
iii. Company Holidays
iv. Jury Duty
v. Voting
vi. Military Leave
vii. Personal Leave of Absence
viii. Bereavement
ix. Family and Medical Leave Act
5. Company Benefits
a. Health, Dental and Vision
b. Workers Compensation
c. Disability Benefits
d. Life Insurance
e. Retirement Plans
f. Employee Referral Program
g. Extras
i. Friday Lunches
ii. Gym Membership Reimbursements
iii. Work from Home
iv. Continuing Education
v. .other cool things your company offers!
Abacus is replacing the expense report with the first
real-time employee expense solution. By leveraging the
data collected as expenses are submitted, managers
get instant visibility into employee spend. Abacus
processes next-day reimbursements, enforces your
expense policy, reconciles corporate cards, and syncs
with your accounting software. Serving founding teams
to established businesses like Foursquare, Coinbase
and Pinterest, Abacus simplifies expense management
so that all you have to do is hit the approve button.

www.abacus.com