Hiring your first employee: what to arrange before your first payroll run

Before you pay your first salary with the NoCFO Salaries section, a few things need to be in place. These are not handled through NoCFO, you need to arrange them yourself beforehand.

1. Employment contract. A written contract is recommended, although a verbal one is also legally valid. Check whether a generally binding collective agreement applies to your industry.

2. Mandatory insurances. These need to be in place before you pay a salary:

• Occupational accident insurance is mandatory once the total wages you pay exceed the statutory annual threshold. The threshold is adjusted every year, check the current amount from the Finnish Workers' Compensation Center (TVK).

• Unemployment insurance (TVR contribution) is mandatory on the same basis, for employees aged 17-64.

• TyEL pension insurance is mandatory if the employee is 17-68 years old and earns at least EUR 71.72 per month (the 2026 threshold, adjusted annually).

3. Occupational health care. The employer must arrange occupational health care for the employee.

4. Payroll in NoCFO. Once the above are in place, set up the NoCFO Salaries section following NoCFO Salaries setup, and pay the first salary following How do you pay salaries?. An Incomes Register report is sent automatically as part of the payroll run.