Can this agreement be signed electronically?

Yes. Electronic signatures are valid under the ESIGN Act (15 U.S.C. ch. 96) and in UETA‑adopting states. Ensure intent, consent, attribution, and retention are documented to meet the four‑part ESIGN test.

Do I need a notary or witnesses?

Most HR service agreements do not require notarization or witnesses. If the contract conveys property or meets a state’s special form requirement, follow state rules or obtain a notarization; RON may be available in many states.

How long must I keep the signed agreement?

Retain signed agreements for at least three years after termination for tax and audit purposes (IRC §6501(a)), longer when I‑9s, HIPAA, or state rules apply; HIPAA requires six years (45 CFR §164.530(j)).

What if the vendor makes a payroll error?

The agreement should allocate responsibility and indemnification for payroll tax errors. If liability is disputed, maintain audit trails and communications; employer liability for withholding often cannot be contracted away.

Are there penalties for late filings tied to this agreement?

Yes. Late or incorrect tax filings can trigger IRS penalties under IRC §6721. I‑9 paperwork violations may incur civil fines. Ensure responsibilities and timelines are explicit in the contract.

How do I revoke or amend the agreement later?

Follow amendment and termination clauses in the contract. Use a dated amendment signed by authorized parties; preserve original and amendment records per retention policy and notify affected payroll and benefits providers.

Electronic Signature
Templates
HR
HR JustWorks Agreement

HR JustWorks Agreement

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

HR JUSTWORKS AGREEMENT

This HR JustWorks Agreement (the Agreement) is entered into by and between:

Client Name:

Client Address:

Provider Name:

Provider Address:

Recitals and Effective Date

WHEREAS, Client desires to engage Provider to perform HR, payroll, benefits administration, and related professional employer organization services as set forth herein; and WHEREAS, Provider agrees to provide such services pursuant to the terms and conditions of this Agreement. This Agreement shall be effective as of (Effective Date).

Scope of Services

Provider will provide the following core services to Client: payroll processing, payroll tax filings, benefits administration, workers' compensation administration, HR policy administration, employee onboarding support, and access to Provider’s HR platform and documentation. Specific deliverables, service levels, and exclusions shall be documented below.

Describe Scope Details

Fees and Billing

Client agrees to pay Provider fees for services rendered as follows. Fees are exclusive of applicable taxes, which are the responsibility of the Client.

Standard Monthly Fee Billing Cycle

Term; Termination

The initial term of this Agreement shall continue for thereafter automatically renewing for successive periods until terminated by either party upon days' prior written notice. Provider may terminate for cause for material breach, nonpayment, or as otherwise permitted herein.

Employee Onboarding — Personal Information

The Client will provide employee data to Provider in the format required by Provider. For each employee to be onboarded, provide:

Full Legal Name Home Address Phone Email

Position Information

Job Title Department Reporting Manager

Start Date:

Salary or Rate

Employment History (Most Recent)

Employer 1 — Company Employer 1 — Title

Dates Employed: From To

Responsibilities Reason for Leaving

Prior Employment (Second)

Employer 2 — Company Employer 2 — Title

Dates Employed: From To

Responsibilities Reason for Leaving

Education

Degree Institution

Graduation Date:

References

Reference 1 Reference 2 Reference 3

Legal Disclosures

At-Will Employment: Client acknowledges and agrees that employment decisions for Client's employees remain the exclusive prerogative of Client unless otherwise expressly agreed in a separate written employment agreement. Nothing in this Agreement shall be construed to modify the at-will employment relationship between the Client and any employee, except as explicitly set forth in a signed employment contract.

Equal Opportunity: Both parties affirm compliance with applicable equal employment opportunity laws. Provider will administer benefits and employment policies in a nondiscriminatory manner consistent with applicable law.

Background Checks; Authorization

Client authorizes Provider to conduct background checks, employment verifications, and reference checks on employees, contractors, and applicants to the extent permitted by law and strictly for legitimate employment purposes. Client represents that it has obtained any required consents from the individual(s).

Employee Authorization for Background Check (if applicable)

I, , authorize Provider and Client to obtain consumer reports, background checks, and employment verifications for employment purposes. I certify that the information I have provided is true.

Consent to Background Check Employee consents to background check

Confidentiality and Data Protection

Provider and Client each agree to maintain the confidentiality of confidential business information, employee personal data, and payroll data. Each party shall implement appropriate administrative, technical, and physical safeguards to protect personal data against unauthorized access, disclosure, alteration, and destruction. Use and disclosure of employee personal data shall be limited to the purposes of performing obligations under this Agreement and complying with applicable law.

Indemnification; Insurance; Limitation of Liability

Each party shall indemnify and hold harmless the other party from liabilities arising from its gross negligence, willful misconduct, or breach of this Agreement. Provider shall maintain and furnish proof of commercially reasonable insurance coverage for professional liability and workers' compensation as required by law. Except for liability arising from willful misconduct or gross negligence, neither party's aggregate liability shall exceed the amounts paid by Client to Provider under this Agreement during the prior twelve (12) months.

Notices

Notices under this Agreement shall be delivered to the following contacts:

Client Notice Contact Provider Notice Contact

Applicant Certification & Authorization (Client Representative)

I certify that the Client information provided in this Agreement and all attachments is true, accurate, and complete to the best of my knowledge. I further certify that I am authorized to bind the Client to the terms of this Agreement and to provide necessary authorizations for employee verifications and consents.

Authorized Representative Name Title

Miscellaneous Provisions

Governing Law: This Agreement shall be governed by and construed in accordance with the laws of the state indicated by the Client below, without regard to conflict of laws principles.

Governing Law State

Entire Agreement: This Agreement, together with any attachments and schedules signed by the parties, constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior agreements.

Client Name:

By:

Date:

Provider Name:

By:

Date:

What the HR JustWorks Agreement Is

The HR JustWorks Agreement is a written service and engagement agreement used to define HR, payroll, benefits, and compliance services provided by a vendor (JustWorks or similar provider) to an employer. It sets the scope of services, responsibilities, fees, data handling rules, and termination terms, and it clarifies which party is the employer of record for payroll and benefits. The agreement is commonly used when outsourcing payroll administration, benefits enrollment, tax withholding, and other HR functions, and it frames liability and regulatory responsibilities for both parties.

Why this Agreement Matters for Employers

A clear HR JustWorks Agreement reduces ambiguity about payroll, tax filing, benefits administration, and liability allocation. It documents compliance responsibilities, defines service levels and fees, and helps preserve records needed for audits or government inquiries.

Who Typically Prepares or Signs the Agreement

Employers, HR teams, and third‑party HR vendors use this agreement to record responsibilities and service terms.

Small business owners managing outsourced payroll and benefits, seeking clarity on fees and service scope.
In‑house HR teams using a PEO or HRIS to document employer-of-record responsibilities and tax treatment.
External advisors—accountants or benefits brokers—who require written authority to coordinate filings and enrollments.

The document is also reviewed by payroll administrators, benefits brokers, and company counsel before execution.

Who Can Sign and Why Their Role Matters

HR Director

An HR Director often signs on behalf of the company when the agreement allocates HR operational tasks. The director verifies that service levels, payroll schedules, and data transfer procedures match organizational needs and confirms employee notice requirements are met.

Authorized Officer

A corporate officer (CEO, CFO, or other authorized signatory) may be required for binding fee commitments or for agreements that alter employer-of-record status. Their signature confirms financial authority and may be necessary for vendor onboarding and tax registrations.

Core Sections to Expect in an HR JustWorks Agreement

A professional HR JustWorks Agreement arranges the working relationship into clear sections so obligations, data uses, fees, and liabilities are explicit and auditable.

Scope of Services

Describes payroll processing, benefits administration, tax filings, HR support, and any limits on services; identifies deliverables and excluded services in operational detail.

Fees and Billing

Specifies setup charges, recurring per‑employee fees, timing and method of payment, dispute procedures, and any pass‑through costs for taxes or third‑party services.

Data Handling

Outlines protected data categories, permitted uses, security measures, data access, breach notification procedures, and obligations for HIPAA or other privacy rules where applicable.

Compliance and Tax

Allocates responsibility for payroll tax withholding, Form filings (W-2, 1099), unemployment insurance, and responses to government inquiries or audits.

Liability & Indemnity

Defines each party’s liability caps, indemnification for third‑party claims, and conditions that may shift liability for payroll or tax errors.

Termination & Transition

Specifies notice periods, final settlement procedures, data return or deletion, and responsibilities for final tax filings and employee benefit transition support.

Step‑by‑Step: How to Complete the Agreement

Follow these steps to populate, review, and execute the HR JustWorks Agreement in a controlled, auditable way.

01

Draft: Populate all required fields accurately.
02

Review: Have payroll and legal teams review terms.
03

Approve: Confirm fees and effective date in writing.
04

Sign: Execute with authorized signatories and retain copies.

How to Customize and Complete the Agreement Online

Configure the digital workflow to match your approval chain, signer authentication, and retention policies before sending the agreement for signature.

Field	Configuration
Signature Order	Sequential or parallel signing
Authentication	Email, SMS code, or stronger
Conditional Fields	Show fields only if applicable
Storage Location	Choose secure cloud repository

Digital Signing and eSubmission Considerations

Ensure the platform can produce an audit trail with timestamps and signer attribution and that any HIPAA BAA or data residency needs are in place prior to transferring employee data.

File Formats: PDF, DOCX supported
Authentication: Email or SMS codes
Integrations: HRIS and payroll systems

Where to Send or File the Signed Agreement

Routing depends on whether the agreement is internal only or must be shared with payroll, benefits vendors, and retained for audit.

HR Records: Store executed copy in HR file
Payroll Vendor: Send signed copy to provider
Finance: Share billing and fee schedules
Legal: Archive for contract repository

Security, Encryption, and Compliance Features to Verify

In‑Transit Encryption: TLS 1.2/1.3

At‑Rest Encryption: AES‑256 encryption

Audit Trails: Detailed action logs

HIPAA Support: BAA available

SOC 2: SOC 2 Type II

21 CFR Part 11: Compliant options

Potential Penalties and Risks of Errors

Tax Filing Errors: IRS penalties apply

I‑9 Violations: Civil fines possible

Data Breach: Regulatory notification risk

Misclassification: Payroll tax liabilities

Contract Ambiguity: Dispute and litigation risk

Missing Signatures: Enforceability concerns

Common Mistakes to Avoid When Preparing the Agreement

Using informal or inconsistent company names that do not match tax records, which can trigger IRS mismatches or bank account setup delays.
Failing to define payroll cutoffs and effective dates clearly, leading to gaps in coverage or disputed pay periods and benefits enrollment timing.
Omitting data handling and privacy obligations for employee health or payroll data, which can create HIPAA or state privacy compliance gaps.
Not documenting who is responsible for specific tax filings and audits, leaving ambiguous liability if fees, penalties, or omissions occur.

Real‑World Examples of Agreement Use

These examples illustrate how organizations use a managed HR services agreement to streamline operations and ensure compliance.

Optica Ventures — COO

Optica adopted an outsourced HR service to speed onboarding and payroll processing.

The team emphasized ease of use and mobile signing for contractors.
Brian Fitzgibbons noted the interface is simple for the team and equally simple for customers, helping keep operations lean while maintaining compliance.

Fertility Centers of Illinois — Founder

A healthcare provider standardized vendor workflows to protect patient and employee data.

They required a BAA and strict audit trails during rollout.
John Butler reported that strong API integration and responsive support enabled secure, compliant online signature flows and reliable document management across locations.

Practical Tips for Accurate and Efficient Completion

Apply these practices to reduce errors, accelerate approvals, and maintain a defensible audit trail for HR agreements.

Standardize the Template

Use a single vetted template for similar engagements to ensure consistent terms and fewer negotiation points; this reduces legal review time and minimizes variation that causes compliance gaps.

Use Role‑Based Approvals

Configure digital workflows so HR, payroll, finance, and legal each review the sections relevant to their responsibilities before final execution to reduce rework and liability.

Capture Audit Trails

Ensure the signing platform records timestamps, IP addresses, and signer emails; retain completion certificates to demonstrate attribution and consent if disputes arise.

Limit Attorney Scope

Reserve external counsel for high‑risk clauses only; document routine changes internally to lower legal fees and speed execution while retaining a clean audit trail of approvals.

How to Update or Amend the Agreement

Follow a controlled amendment workflow so changes are authorized, dated, and retained alongside the original agreement.

01

Identify Change:

Describe the exact clause to be altered.

02

Draft Amendment:

Prepare concise amendment language.

03

Internal Review:

Have HR and legal approve changes.

04

Execute Amendment:

Obtain signatures from authorized parties.

05

Archive:

Attach amendment to original agreement.

06

Notify Stakeholders:

Inform payroll and benefits teams.

Key Milestones and Processing Stages

Track these sequential milestones to ensure timely onboarding, payroll cutoffs, and benefits enrollment in the transition to a vendor.

01

Kickoff and Data Transfer

Collect employee data and validate formats.

02

Payroll Parallel Run

Conduct one payroll cycle in parallel to confirm accuracy.

03

Benefits Enrollment

Open and confirm employee elections.

04

Final Cutover

Switch production payroll and archive parallel runs.

Comparison: eSignature Pricing and Key Features

Typical vendor pricing and feature availability for eSignature platforms used to execute HR agreements; signNow appears first for direct comparison.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7‑day free trial	Varies by plan	Varies by plan	Varies by plan	Varies by plan
Bulk Send	Yes	Yes	Yes	Yes	No
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No

Frequently Asked Questions About the HR JustWorks Agreement

Answers to common legal and technical questions about signing, enforceability, retention, and regulatory concerns for HR agreements.

Need help? Contact support

Can this agreement be signed electronically?
Yes. Electronic signatures are valid under the ESIGN Act (15 U.S.C. ch. 96) and in UETA‑adopting states. Ensure intent, consent, attribution, and retention are documented to meet the four‑part ESIGN test.
Do I need a notary or witnesses?
Most HR service agreements do not require notarization or witnesses. If the contract conveys property or meets a state’s special form requirement, follow state rules or obtain a notarization; RON may be available in many states.
How long must I keep the signed agreement?
Retain signed agreements for at least three years after termination for tax and audit purposes (IRC §6501(a)), longer when I‑9s, HIPAA, or state rules apply; HIPAA requires six years (45 CFR §164.530(j)).
What if the vendor makes a payroll error?
The agreement should allocate responsibility and indemnification for payroll tax errors. If liability is disputed, maintain audit trails and communications; employer liability for withholding often cannot be contracted away.
Are there penalties for late filings tied to this agreement?
Yes. Late or incorrect tax filings can trigger IRS penalties under IRC §6721. I‑9 paperwork violations may incur civil fines. Ensure responsibilities and timelines are explicit in the contract.
How do I revoke or amend the agreement later?
Follow amendment and termination clauses in the contract. Use a dated amendment signed by authorized parties; preserve original and amendment records per retention policy and notify affected payroll and benefits providers.

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