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Hiring Your First Employee? Here’s the HR Setup You Absolutely Need

Updated: 4 days ago

Hiring your first employee is a huge milestone for any small business owner. It means growth, delegation, and the exciting move from “just me” to “my team.” But alongside that excitement comes a wave of questions and responsibilities. At The Small Business Book, we’re here to make this step simpler, smoother, and fully compliant no matter where you’re based in Australia.


Below, we’ve answered the most common questions about hiring your first employee and shared how our People and Culture packages can help you do it right, from day one.



Hiring Your First Employee? Here’s the HR Setup You Absolutely Need
hire first employee Australia, HR for startups, onboarding small business


How to hire people for the first time?


Hiring your first employee in Australia involves several key steps to ensure compliance and success:

  1. Create a Position Description – Outline the role, responsibilities, required skills, and reporting lines. This helps set expectations for both you and your new hire.

  2. Choose the Right Employment Type – Will they be casual, part-time, or full-time? This will affect their entitlements and how you pay them.

  3. Advertise the Role – Use Seek, LinkedIn, or local community boards to find the right talent.

  4. Shortlist and Interview – Assess candidates against the job criteria, and ask behaviour-based questions to uncover their true capabilities.

  5. Check References – Always confirm their employment history and cultural fit.

  6. Make an Offer – Provide a clear letter of offer with employment terms.

  7. Set Up Payroll and Superannuation – You’ll need to register for PAYG withholding, select a super fund (or let them choose), and set up payroll software that complies with Single Touch Payroll (STP) requirements.

  8. Provide a Fair Work Information Statement – This is mandatory under Australian law.


That’s where we come in. At The Small Business Book, we offer comprehensive support to help you through every one of these steps no confusion, no stress.


What paperwork do I need to give a new employee?


When you bring someone on board in Australia, the following documents are essential:

  • Letter of Offer or Employment Contract – A legally compliant agreement outlining duties, hours, pay, notice periods, and leave entitlements.

  • Fair Work Information Statement – A legal requirement for all new hires.

  • Tax File Number Declaration – For PAYG tax purposes.

  • Superannuation Standard Choice Form – So the employee can nominate their super fund.

  • Bank Details and Emergency Contact Form – So you can process their pay and keep them safe.

  • Onboarding Documents or Induction Checklist – Outline your policies, procedures, and workplace expectations.


We can help you design a compliant and efficient onboarding pack tailored to your business, whether you’re hiring your first team member or scaling up.


What are the three main obligations for a business when a new employee is hired?


In Australia, your three main obligations as a new employer are:

  1. Paying the Correct Wages – Based on the relevant award, enterprise agreement or national minimum wage. You must include penalty rates, allowances, and overtime if applicable.

  2. Providing a Safe Work Environment – Under WHS laws, you’re required to provide a safe, hazard-free workplace. This includes training and risk assessments.

  3. Meeting Legal Compliance – Including:

    • Providing the Fair Work Information Statement

    • Paying superannuation

    • Lodging PAYG tax

    • Keeping accurate employee records


Not sure where to start? That’s exactly what our Essentials People and Culture Package is designed for to get you compliant, confident, and focused on growing your business.


What are the 5 most important factors to consider when making a hiring decision?


Hiring well from the start saves time, money, and stress. Here are the top five things to keep in mind:

  1. Cultural Fit – Do they align with your values, communication style, and way of doing business?

  2. Experience and Skills – Do they meet the core requirements of the job?

  3. Attitude and Work Ethic – Are they proactive, reliable, and willing to learn?

  4. Long-Term Potential – Can they grow with your business?

  5. References and Past Performance – Have they delivered results and built strong working relationships elsewhere?


At The Small Business Book, we don’t just support hiring we support making the right hiring decisions for long-term success.


Introducing Our People and Culture Packages


We’ve developed three flexible HR packages tailored to small businesses at different stages of growth:


1. The Essentials People and Culture Package

Perfect for businesses hiring their first employee or needing basic HR support. It includes:

  • Employment contracts

  • Onboarding templates

  • Compliance documents

  • Fair Work support

  • Guidance on payroll setup and super

This package is ideal for solo founders or startups without an internal HR resource.



2. Growth People and Culture Package

Designed for businesses starting to grow their teams. This package includes:

  • Performance review systems

  • Workplace policies

  • Conflict resolution tools

  • Workplace culture development

If you're scaling and want a proactive people plan, this is for you.



3. Strategic People and Culture Package

Tailored to established businesses seeking leadership-level HR support. It includes:

  • Culture transformation plans

  • HR risk assessments

  • Executive coaching

  • Change management and restructuring support


For business owners ready to level up their workplace culture, manage change, or navigate more complex HR issues.



Why Choose The Small Business Book for Your HR?


Flexible Support – Virtual and In-Person

We work virtually with clients all across Australia, and offer in-person support in Perth. Whether it’s over Zoom or face-to-face, we’re with you every step of the way.

Software Specialists and Excel Experts

We’re proficient in platforms like Deputy, Employment Hero, and BambooHR. Plus, we create custom Excel templates to help manage your team and reporting.

Streamlined and Transparent Onboarding

Our onboarding process is clear, fast, and online. We take care of the details so you can focus on your business.

No Lock-In Contracts

All our packages are fixed-fee and flexible. Prefer casual support? We offer hourly rates too.


Work with Lisa – Your Virtual HR Expert in Perth


Hey there! I’m Lisa, the friendly HR Guru behind The Small Business Book.


With 25+ years of experience across mining, arts, retail, healthcare, and more — I help Aussie businesses simplify their HR and build thriving workplaces.

If you’re hiring your first employee or just need someone to “sort out the people stuff,” I’ve got you. Let’s make your workplace work — for you and your team.

Supporting great workplaces, from the inside out.


Let’s get your people sorted!


Book a free discovery call today and find the right HR solution for your business.



The Small Business Book

We love what you don’t – Let us take care of the numbers, people, and payroll.

From expert bookkeeping and NDIS payroll support to Virtual CFO services and people-first HR solutions, we help businesses and self-managed participants across Australia stay compliant, confident, and stress-free all year round.

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We acknowledge and pay our respects to the traditional custodians of the lands across Australia, and to their Elders past, present, and emerging. We extend this respect to all Aboriginal and Torres Strait Islander peoples.

© 2024 by The Small Business Book.. Content by @connectconvert

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