I-9 Compliance: Avoiding Common Errors and Penalties

Why I-9 Compliance Matters

Every employer in the United States must verify that employees are authorized to work. Form I-9 is required for every employee hired after November 6, 1986.

Penalties for violations are significant:

• Paperwork violations: $252-$2,507 per form
• Knowingly hiring unauthorized workers: $627-$25,076 per worker
• Pattern violations: Criminal penalties possible

ICE audits are increasing, making compliance more important than ever.

I-9 Basics

Who Needs an I-9

Every employee hired in the United States, including:

• U.S. citizens
• Lawful permanent residents
• Authorized non-citizens
• Full-time, part-time, and temporary workers

Exceptions: Independent contractors, casual domestic workers

The Three Sections

Section 1: Employee Information and Attestation

• Completed by employee
• Due by first day of work

Section 2: Employer Review and Verification

• Completed by employer
• Due within 3 business days of start

Section 3: Reverification and Rehires

• For expiring work authorization
• For employees rehired within 3 years

Section 1: Employee Responsibilities

The employee must provide:

• Full legal name
• Address
• Date of birth
• Social Security number (usually required)
• Citizenship/immigration status
• Signature and date

Common Section 1 Errors

• Missing or incomplete information
• Unsigned or undated form
• Preparer/translator section incomplete
• Wrong citizenship status selected

Employer's Role in Section 1

You may:

• Provide the form
• Answer questions about instructions
• Review for completeness

You may NOT:

• Tell them what to write
• Suggest which status to select
• Help with specific answers

Section 2: Employer Responsibilities

Within 3 business days of start date:

1. Examine original documents from Lists A, B, and C
2. Record document information on the form
3. Sign and date the certification

Acceptable Documents

List A (Identity AND Work Authorization):

• U.S. Passport or Passport Card
• Permanent Resident Card
• Employment Authorization Document
• Foreign passport with work authorization

List B (Identity Only):

• Driver's license
• State ID
• School ID with photo
• Voter registration card

List C (Work Authorization Only):

• Social Security card (unrestricted)
• Birth certificate
• Employment authorization from DHS

Document Examination Rules

• Documents must appear genuine
• Documents must relate to the person
• Employee chooses which documents to present
• You cannot request specific documents
• You cannot reject valid-looking documents

Common Section 2 Errors

• Late completion (after 3 days)
• Accepting expired documents
• Not examining originals
• Requesting specific documents
• Over-documentation
• Missing employer signature

Section 3: Reverification

When Required

• Work authorization is expiring
• Employee is rehired within 3 years
• Name change (optional)

Reverification Process

1. Begin before current authorization expires
2. Accept any valid List A or List C document
3. Record new document information
4. Sign and date Section 3

Common Section 3 Errors

• Reverifying documents that don't expire
• Missing reverification deadline
• Not accepting valid documents
• Reverifying U.S. citizens

E-Verify Integration

E-Verify is an online system to confirm work authorization:

When Required

• Federal contractors (FAR clause)
• Some state requirements
• Voluntary for others

E-Verify Process

1. Complete I-9 first
2. Create E-Verify case within 3 days of start
3. Respond to tentative non-confirmations
4. Close case appropriately

E-Verify Best Practices

• Don't run before employee starts
• Allow employees to contest TNCs
• Don't take adverse action during contest period
• Keep records of all cases

Remote I-9 Verification

Current Rules

Standard process requires in-person document examination. Alternatives:

Authorized Representative:

• Anyone can act as your agent
• They examine documents in person
• You remain responsible for compliance

DHS Flexibilities:

• Check DHS announcements for current guidance
• Remote options may be available
• Follow all requirements carefully

Record Retention

How Long to Keep

Retain I-9 forms for:

• 3 years from hire date, OR
• 1 year from termination date
• Whichever is LATER

Storage Requirements

• Keep forms separate from personnel files
• Organize for easy retrieval
• Secure from unauthorized access
• Electronic storage acceptable

Audit Preparation

Self-Audits

Regularly review your I-9s for:

• Completeness
• Timeliness
• Proper documentation
• Correct retention

Responding to ICE Audits

If you receive a Notice of Inspection:

1. You have 3 business days to produce I-9s
2. Consult with legal counsel immediately
3. Compile requested documents
4. Don't alter or backdate forms
5. Cooperate professionally

Common Compliance Mistakes

1. Late completion: Must be done within 3 business days
2. Accepting copies: Must see original documents
3. Document discrimination: Can't request specific documents
4. Missing signatures: Both employee and employer must sign
5. Improper corrections: Use single line, initial, date
6. Poor retention: Keep for required period

Building a Compliant Process

Assign Responsibility

• Designate trained I-9 administrators
• Provide regular training
• Establish backup procedures
• Monitor compliance

Create Checklists

• New hire I-9 checklist
• Reverification tracking
• Audit preparation list
• Retention schedule

Use Technology

• Electronic I-9 systems
• Automatic reminders
• Audit trails
• Secure storage

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