Kansas Employer Registration: KDOR Withholding, KDOL Unemployment Account and New-Hire Rules
Kansas Employer Registration: KDOR Withholding, KDOL Unemployment Account and New-Hire Rules
The first time you put someone on payroll in Kansas, you register with two state agencies, not one. The Kansas Department of Revenue (KDOR) handles income tax withholding. The Kansas Department of Labor (KDOL) handles unemployment insurance. Each has its own account and its own deadlines, and a third duty, reporting every new hire to the state, applies on top of both. This guide covers what each agency needs, the order to do things in, and the Kansas City metro issues that trip up employers on the Kansas side.
This is informational content, not legal or tax advice. Payroll rules and rates change every year. Confirm anything flagged in the last section directly with the named agency before you rely on it. If your situation involves multiple states, contractors, or a rated construction account, talk to a qualified CPA or employment attorney.
Start with the entity, and remember the filing is not a license
Employer registration sits on top of the business you form. If you have not formed one yet, that happens with the Kansas Secretary of State at sos.ks.gov. An LLC files Articles of Organization, Domestic (Kansas) Limited Liability Company (Form DL) for an $85 filing fee. A corporation files Articles of Incorporation, Domestic (Kansas) Corporation (Form AI), also for an $85 filing fee. Kansas calls the registered agent a resident agent. That agent must be an individual, a business registered in Kansas, or the entity itself, and the registered office must be a Kansas street address, not a PO box.
Two points to keep straight. First, the Secretary of State filing is a filing, not a license. Kansas issues no general statewide business license. Second, the recurring filing is a biennial Information Report, not an annual report. It costs $90 online and is due every two years by April 15. LLCs formed in an even year report in each succeeding even year, and LLCs formed in an odd year report in each succeeding odd year. Corporations report in the odd or even year that matches the year they were formed.
Kansas also has no state-level DBA filing and no franchise tax. If you operate under a name other than your legal name, check city and county requirements. You can protect a brand through Secretary of State trademark or service mark registration instead.
Two agencies, three obligations
Kansas keeps tax and unemployment separate, so you open two accounts and track one reporting duty. The Hiring Employees page on ksbiz.kansas.gov tells employers to create a KDOL account first, so start there.
| Obligation | Agency | What it covers | How you register |
|---|---|---|---|
| Income tax withholding | KDOR | Kansas income tax withheld from employee wages | KDOR business tax registration (free) |
| Unemployment insurance | KDOL | State unemployment tax on taxable wages | KDOL employer account (create first) |
| New-hire reporting | KDOL, Kansas New Hire Directory | Each new hire and rehire, within 20 days | ksnewhire.ks.gov |
KDOR withholding: who you withhold for
KDOR's withholding rules turn on where the employee lives and where the work is performed. You must withhold Kansas tax on wages paid to Kansas residents wherever they work, including a Kansas resident who commutes to an out-of-state job. You must also withhold for nonresidents who perform services in Kansas. A Kansas-side employer with a Missouri-resident worker in a Kansas office falls into that second group.
Each employee completes Form K-4 to set state withholding. Collect it at hire and keep it in the personnel file. The Kansas income tax brackets are 5.2% on Kansas taxable income up to $23,000 for single, head of household and married filing separate filers, or up to $46,000 for married filing jointly, and 5.58% above those thresholds. Those are the rates the employee ultimately pays. Confirm the current withholding tables with KDOR before you set up payroll.
Register for withholding through the KDOR business tax registration at ksrevenue.gov/busregistration.html. The registration is free and is completed through the KDOR Customer Service Center. The main business tax page is at ksrevenue.gov/business.html. Confirm your filing frequency and deposit schedule with KDOR when you register.
KDOL unemployment: the account and the 2026 rates
Open your KDOL employer account before you run the first payroll. The 2026 rate year figures in the KDOL Employer Services rate table are:
- New non-construction employers: a 1.75% rate on a taxable wage base of $15,100.
- Construction employers and rated employers: different rates. Check the KDOL notice for your account.
The taxable wage base means only the first $15,100 of each employee's 2026 wages is taxed. For example, a new non-construction employer paying one employee $40,000 in 2026 would owe 1.75% of $15,100, or $264.25, on that employee. Confirm the figure against your KDOL notice. The wage base is indexed to the state average wage under HB 2570, so it rises every year. Confirm next year's figure with KDOL when the new rate year is published.
New-hire reporting: 20 days, every hire and rehire
Kansas requires you to report each new hire and rehire to the Kansas New Hire Directory within 20 days. The directory is run by KDOL, and the reporting site is ksnewhire.ks.gov. Rehires count, so an employee you bring back after a separation needs a report too. Build the report into your first-day onboarding checklist rather than handling it at the end of the month. Confirm the required report fields and submission options on the site before your first filing.
Kansas City metro: Kansas and Missouri are different tax systems
Kansas City, Kansas and Kansas City, Missouri are different cities in different states, and their rules are not the same. Only Kansas City, Missouri has a city earnings tax. Kansas has no city or county wage tax. If your business is on the Kansas side, you withhold Kansas tax for Kansas residents and for nonresidents who work in Kansas, and you do not add a city wage tax. An employer on the Missouri side of the metro, or one with employees working there, needs to address the Kansas City, Missouri earnings tax separately. Confirm that obligation with the city or a Missouri payroll advisor.
Local rules and trade licenses
Kansas has 105 counties and 624 cities. Every incorporated place is legally a city, and there are no towns or villages. Your city or county may require a business license or permit, and state agencies license many trades separately. Licensing is handled by:
- KDA: food, pesticides and pet animals
- Kansas Office of Early Childhood: child care (licensing moved from KDHE on July 1, 2026)
- KDHE: home health
- KDOR: liquor, cigarettes and dealers
- KCC: motor carriers and oil and gas
- Attorney General: roofing
- KREC: real estate
- Cosmetology and barbering boards, among others
Kansas has no statewide general contractor, electrician, plumber or HVAC license. Cities and counties license those trades, so check with the city or county where you will work. If you collect sales tax, the state rate is 6.5%, and the sales tax permit is obtained through the same KDOR business registration.
The order to do things in
- Form your entity with the Secretary of State, or confirm how your sole proprietorship is set up, and get your federal employer identification number from the IRS.
- Check your city and county requirements, plus any agency license your trade needs, before you advertise a job.
- Open your KDOL employer account and save the rate notice.
- Open your KDOL employer account and save the rate notice.
- Collect a Form K-4 from each employee at hire.
- Report each new hire and rehire to ksnewhire.ks.gov within 20 days.
- Calendar your Secretary of State Information Report, due by April 15 every two years, and check the KDOL wage base each new rate year.
What to confirm with the agencies
These items depend on your specific account or change over time, so confirm them directly:
- KDOR withholding tables, filing frequency and deposit schedule (confirm with KDOR).
- Whether KDOL charges anything to open an employer account, and how long the account takes to activate (confirm with KDOL).
- The construction or rated employer rate on your account (confirm with KDOL).
- The taxable wage base for the next rate year (confirm with KDOL).
- The fields required for each new-hire report (confirm on ksnewhire.ks.gov).
When to bring in a professional
A single-state payroll for Kansas residents is manageable with the steps above. Get help from a qualified CPA or employment attorney if you have employees working in Missouri or other states, if you classify workers as independent contractors, if you run a construction business with a rated unemployment account, or if you have employees subject to the Kansas City, Missouri earnings tax. This guide is informational only and is not legal or tax advice.