Capital City
Little Rock
Timezone
CST
(
GMT-6
)
Paid Leave
Sick & Voting Leave
Income Tax
2% - 5.5%
Employer Tax
0.3% - 14%
Capital City
Little Rock
Timezone
CST
(
GMT-6
)
Paid Leave
Sick & Voting Leave
Income Tax
2% - 5.5%
Employer Tax
0.3% - 14%
Arkansas requires employers to pay employees at least twice a month. For businesses earning more than $500,000 annually, certain exempt employees making over $25,000 per year may be paid monthly. Employers must withhold federal and state income taxes, Social Security, and Medicare taxes from wages. Additionally, employers are responsible for unemployment insurance taxes, with rates ranging from 0.3% to 14% depending on various factors.
Access competitive benefits like health insurance and retirement plans, often at a lower cost through a PEO. Leverage its pooled volume for enterprise rates – resold to PEO customers, with no employment minimums in Arkansas.
Check out our comprehensive state hiring guide.
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FAQS
A Professional Employer Organization (PEO) assists businesses in Arkansas by managing complex employment-related matters, ensuring adherence to state labor laws, handling payroll, benefits administration, and staying updated with regulatory changes to maintain compliance.
Yes, PEOs operating in Arkansas are subject to state regulations that govern their registration and operational standards to ensure they meet specific legal and financial requirements.
Absolutely, a PEO can provide small businesses in Arkansas with comprehensive HR services, access to competitive benefits, and assistance with compliance issues, allowing business owners to focus on core operations.
Yes, a PEO can help businesses comply with Arkansas employment laws by managing HR functions, ensuring adherence to state-specific regulations, and keeping abreast of legislative changes that may affect the workplace.
Terminating a relationship with a PEO in Arkansas typically involves following the terms outlined in the service agreement, which may include notice periods and transition plans to ensure a smooth transfer of responsibilities back to the business or to another service provider.
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