Out of State Employees
An “out-of-state employee” is defined as an employee whose primary work location is outside the state of Illinois.
Loyola University Chicago recognizes the occasional need to hire or reassign an employee who will, due to the nature of a particular position or business needs of the University, need to reside and perform their University work outside of the state of Illinois. Employees of Loyola University Chicago who primarily perform services in a state other than Illinois subject to all employment-related laws of the state in which the employee works.
Employee responsibilities if working out-of-state
State taxes, employment tax, and workers compensation provisions vary from state to state. Human Resources and Payroll are primarily responsible for compliance with these various rules. The University asks all employees who are physically working outside of the State of Illinois, to report this information to Human Resources as soon as possible to ensure proper out-of-state compliance.
You can report this information to Human Resources by sending written notification to hr-payroll-processing@luc.edu.
Employees working remotely in a state other than Illinois are responsible for verifying that their Home Address is accurately reflected in our HR/Payroll system. Employees may update their address via the Employee Self-Service (ESS) Portal. Please note that updating one’s home address does not trigger a change in work location for tax purposes. The employee must still submit a written notification to Human Resources.
Additionally, we request that the employee complete and submit the appropriate state withholding tax form. The United States Department of Labor lists all US state tax forms on its site.
Employees who are temporarily present in the United States under work authorization e.g., employees in H-1B, F-1, or J-1 visa status, please visit the Nonresident Alien Compliance site for additional payroll compliance requirements.
State Registration
Whether an individual is subject to income tax in a particular state is typically driven by tax residence. Each state’s income tax and withholding requirements vary significantly, and may be based on both personal residence and/or work location. In many cases, whether an employee is domiciled or maintains a residence in the state and is “present” in that state for the majority of the tax year may make the individual a resident for tax purposes. Employees should familiarize themselves with the residency requirements and tax laws of any proposed out-of-state work location. Guidelines for determining residency status in a state may be found on their state tax authority website.
Employment Law
When an employee’s permanent place of work is outside the State of Illinois, that State’s employment laws must be followed. State Labor Law Resource. Areas of consideration include:
- Minimum wage
- Overtime regulations
- FLSA exemptions
- Time off accruals
- Meal and rest periods
- Compliance and training requirements (Sexual Harassment, etc.)
- Family/Medical Leave provisions (FMLA, sick, military, etc.)
Contact Human Resources for additional guidance.
I-9 Compliance
All individuals hired at the university must complete a federal I-9 form within three days of hire. Completion of Form I-9 is a shared responsibility of both the employee and the university. Training on completing I-9s is available on the United States Citizenship and Immigration Services (USCIS) I-9 Central website.
Hiring Managers: Loyola University Chicago is currently registered in all states except for the following:
- Delaware
- Hawaii
- Montana
- North Dakota
- West Virginia
If you are hiring a staff or faculty member to work in a state listed above, please contact Human Resources and Payroll so they can begin the registration process.
The following 9 U.S. States do not levy a state income tax, however, Human Resources must be notified if an employee is living and working in one of these states in order to stop withholding Illinois State Tax:
- Alaska
- Florida
- Nevada
- New Hampshire
- South Dakota
- Texas
- Tennessee
- Washington
- Wyoming
The following states have localities with local taxes
- Alabama
- Arkansas
- California
- Colorado
- Delaware
- Indiana
- Iowa
- Kentucky
- Maryland
- Michigan
- Missouri
- New Jersey
- New York
- Ohio
- Oregon
- Pennsylvania
- West Virginia
Questions may be directed to the following departments.
Payroll Services - payroll@luc.edu
Human Resources - hr-payroll-processing@luc.edu
International Employees - nra-processing@luc.edu
Last Modified October 2022
An “out-of-state employee” is defined as an employee whose primary work location is outside the state of Illinois.
Loyola University Chicago recognizes the occasional need to hire or reassign an employee who will, due to the nature of a particular position or business needs of the University, need to reside and perform their University work outside of the state of Illinois. Employees of Loyola University Chicago who primarily perform services in a state other than Illinois subject to all employment-related laws of the state in which the employee works.
Employee responsibilities if working out-of-state
State taxes, employment tax, and workers compensation provisions vary from state to state. Human Resources and Payroll are primarily responsible for compliance with these various rules. The University asks all employees who are physically working outside of the State of Illinois, to report this information to Human Resources as soon as possible to ensure proper out-of-state compliance.
You can report this information to Human Resources by sending written notification to hr-payroll-processing@luc.edu.
Employees working remotely in a state other than Illinois are responsible for verifying that their Home Address is accurately reflected in our HR/Payroll system. Employees may update their address via the Employee Self-Service (ESS) Portal. Please note that updating one’s home address does not trigger a change in work location for tax purposes. The employee must still submit a written notification to Human Resources.
Additionally, we request that the employee complete and submit the appropriate state withholding tax form. The United States Department of Labor lists all US state tax forms on its site.
Employees who are temporarily present in the United States under work authorization e.g., employees in H-1B, F-1, or J-1 visa status, please visit the Nonresident Alien Compliance site for additional payroll compliance requirements.
State Registration
Whether an individual is subject to income tax in a particular state is typically driven by tax residence. Each state’s income tax and withholding requirements vary significantly, and may be based on both personal residence and/or work location. In many cases, whether an employee is domiciled or maintains a residence in the state and is “present” in that state for the majority of the tax year may make the individual a resident for tax purposes. Employees should familiarize themselves with the residency requirements and tax laws of any proposed out-of-state work location. Guidelines for determining residency status in a state may be found on their state tax authority website.
Employment Law
When an employee’s permanent place of work is outside the State of Illinois, that State’s employment laws must be followed. State Labor Law Resource. Areas of consideration include:
- Minimum wage
- Overtime regulations
- FLSA exemptions
- Time off accruals
- Meal and rest periods
- Compliance and training requirements (Sexual Harassment, etc.)
- Family/Medical Leave provisions (FMLA, sick, military, etc.)
Contact Human Resources for additional guidance.
I-9 Compliance
All individuals hired at the university must complete a federal I-9 form within three days of hire. Completion of Form I-9 is a shared responsibility of both the employee and the university. Training on completing I-9s is available on the United States Citizenship and Immigration Services (USCIS) I-9 Central website.
Hiring Managers: Loyola University Chicago is currently registered in all states except for the following:
- Delaware
- Hawaii
- Montana
- North Dakota
- West Virginia
If you are hiring a staff or faculty member to work in a state listed above, please contact Human Resources and Payroll so they can begin the registration process.
The following 9 U.S. States do not levy a state income tax, however, Human Resources must be notified if an employee is living and working in one of these states in order to stop withholding Illinois State Tax:
- Alaska
- Florida
- Nevada
- New Hampshire
- South Dakota
- Texas
- Tennessee
- Washington
- Wyoming
The following states have localities with local taxes
- Alabama
- Arkansas
- California
- Colorado
- Delaware
- Indiana
- Iowa
- Kentucky
- Maryland
- Michigan
- Missouri
- New Jersey
- New York
- Ohio
- Oregon
- Pennsylvania
- West Virginia
Questions may be directed to the following departments.
Payroll Services - payroll@luc.edu
Human Resources - hr-payroll-processing@luc.edu
International Employees - nra-processing@luc.edu
Last Modified October 2022