Employee record retention is one of those HR responsibilities that feels simple until something goes wrong.
Most employers collect employee records every day. Hiring documents, payroll records, performance notes, medical forms, and termination paperwork. Over time, those records pile up across folders, tools, emails, and systems. When someone asks, “Do we still have this?” the answer is often unclear.
The real problem shows up during audits, disputes, or investigations. Suddenly, missing or misplaced records turn into compliance risk. Employers are expected to prove decisions that may have happened years ago. If the record is gone, the employer is exposed.
What makes this harder is that there is no single rule. Different laws apply to different records. Retention periods overlap. Federal rules set minimums, state laws add complexity, and special situations like investigations change everything.
In this guide, I’m explaining how long do you have to keep employee records in the US. You will discover what to keep, for how long, where to store it, what to separate, and what mistakes to avoid. The goal is to help you keep control of employee records before they become a problem.
Employee record retention is controlled by a small set of federal laws, plus state law. There is no single rule that covers everything. Different records are governed by different laws.
Federal laws that matter most are:
Many employee records fall under more than one law. Payroll records, for example, are covered by the Fair Labor Standards Act, tax law, and, in some cases, the Equal Pay Act. When laws overlap, the safest rule is simple. Follow the longest retention period.
Federal law sets minimums, not maximums. State law can require longer retention periods. Some states also add rules around employee data, personnel files, and access rights. Employers must follow both federal and state law.
The practical rule: Employee record retention is controlled by multiple laws, not one. The correct retention period depends on the type of record, not the employee. When there is uncertainty, employers keep records longer to stay compliant.
The safest rule most employers follow is simple.
Keep employee records for at least seven years after employment ends, unless a law clearly allows a shorter time.
This is not because one law says “seven years.” It is because multiple laws overlap, and lawsuits often look back several years. Keeping records longer protects the employer.
Here is why this rule works.
Different laws have different timelines. Payroll records may need three or four years. Personnel records may need one year. Benefits records may need six years. If you try to track only the minimum for each record, mistakes happen.
Seven years usually covers:
If a record is tied to:
Then the record should be kept longer, sometimes much longer, until the issue is fully resolved.
This approach does not replace legal requirements. It reduces risk.
The safest rule most employers follow is not “keep everything forever.” It is “keep records long enough that you are never missing proof when it matters.”
Employee records fall into clear categories. Each category has its own retention period. The law cares about the type of record, not where it is stored.
Below are employee records you must keep and how long to keep them. These are federal minimums. State law may require more.
Keep for at least 1–2 years after the hiring decision.
These include job applications, resumes, interview notes, background checks, and hiring decisions. These records protect the employer if a hiring decision is challenged.
Keep for at least 1 year after termination. Many employers keep them for 7 years.
Personnel files include job history, promotions, pay changes, disciplinary actions, performance reviews, and personnel actions.
If there is an involuntary termination or a discrimination claim, keep these records longer.
Keep for at least 3 years.
This includes payroll records, pay stubs, total wages, pay period records, and employee wages. These records support minimum wage and overtime compliance under the Fair Labor Standards Act.
Keep for at least 2 years.
This includes timecards, schedules, wage rate tables, and records showing how wages were calculated.
Keep for at least 4 years.
This includes tax records tied to employment, such as wage reports and payroll tax filings.
Keep for 3 years after hire or 1 year after termination, whichever is later.
These records must be stored separately from personnel files.
Keep for at least 3 years.
This includes records tied to the Family and Medical Leave Act, such as leave requests, approvals, payroll during leave, and benefits records tied to leave.
Keep for at least 6 years after the plan ends.
These include benefits records, retirement plan documents, and related employment records.
Keep separately from personnel files.
Some medical records must be kept for 1 year. Others, such as workplace exposure records, may need to be kept much longer. These records are tightly regulated.
Keep for at least 5 years.
These records fall under safety and health rules and may include injury logs and related medical records.
Keep for at least 1 year. Many employers keep them for 5–7 years.
This includes termination letters, exit interviews, and records tied to involuntary termination.
If there is:
All related records must be kept until the issue is fully closed, even if the normal retention period has passed.
These records explain why you hired someone or why you did not. They are used to defend hiring decisions if discrimination or fairness is questioned.
Keep hiring and pre-employment records for at least 1 year after the hiring decision. Many employers keep them for 2 years to stay safe.
Under the hiring and pre-employment records fall:
If a rejected applicant or employee claims unfair treatment, these records show that the hiring process was based on qualifications, not bias.
Simple rule: If a document helped you decide who to hire, keep it. Do not destroy hiring records until the retention period has clearly passed.
Active employee records cover everything that documents an employee’s time at the company. These records explain what the employee did, how they were paid, and how decisions were made during their employment.
Keep active employee records for the entire period of employment. After the employee leaves, keep these records for at least 1 year. Many employers keep them for 3–7 years to reduce risk.
Under active employee records fall:
These records are used in wage disputes, unemployment claims, and discrimination cases. They also support compliance with employment laws and internal policies.
Important handling rule: Active employee records should not include medical records or Form I-9 documents. Those must be stored separately.
Simple rule: If a document explains how an employee was managed, evaluated, or disciplined, it belongs in the active employee record and must be retained after employment ends.
Payroll and wage records show what employees were paid and why. These records are central to wage disputes, audits, and minimum wage compliance.
Keep payroll and wage records for at least 3 years. Many employers keep them longer because payroll records often overlap with tax records and wage claims.
Under payroll and wage records fall:
Records that explain how wages were calculated. These must be kept for at least 2 years:
Payroll and wage records are required to prove compliance with wage laws. If a dispute arises, the burden is on the employer to show that wages were calculated and paid correctly. Missing or incomplete records usually count against the employer.
Practical handling rules: Payroll and wage records should be stored in a dedicated payroll or records system, not mixed into general personnel files. Access should be limited to authorized staff only. Records should be labeled clearly by employee and pay period to allow fast retrieval during audits.
Simple rule: If a document shows how much an employee was paid or how that amount was calculated, treat it as a payroll record and keep it longer rather than shorter.
Tax and IRS records prove that the employer correctly reported and paid employment taxes. These records are closely tied to payroll and employee wages.
Keep tax records for at least 4 years after the tax is due or paid. Many employers keep them longer to stay aligned with payroll and wage record retention.
Under the tax and IRS records fall:
Tax records are used in audits and disputes with tax authorities. Missing tax records can result in fines, penalties, and back taxes. Payroll records and tax records overlap. Because of this, many employers apply the longer retention period to both categories.
Simple rule: If a document supports how wages were taxed or reported, treat it as a tax record and keep it for the full retention period.
Employment eligibility records prove that an employee is legally allowed to work. These records are tightly regulated and must be handled carefully.
Keep Form I-9 records for 3 years after the date of hire or 1 year after employment ends, whichever is later.
Under the employment eligibility records fall:
Form I-9 records must be stored separately from personnel files. Managers who access personnel records should not see citizenship or immigration information.
Important handling rule: I-9 records are often requested during audits. Improper storage or missing forms can lead to penalties, even if the employee was legally authorized to work.
Simple rule: If a document is used to prove work authorization, keep it with I-9 records only and follow the exact retention timeline.
These records show how an employee was evaluated, corrected, or warned during employment. They are often used in termination disputes and discrimination claims.
Keep performance, disciplinary action, and complaint records for at least 1 year after termination. Many employers keep them for 3–7 years because claims are often filed long after employment ends.
Under these records fall:
These records help prove that employment decisions were based on documented behavior and performance, not bias or retaliation.
Important handling rule: Keep these records factual and consistent. Do not mix medical records or unrelated personal data into performance documentation.
Simple rule: If a record explains why an employee was warned, disciplined, promoted, or terminated, keep it with performance and discipline records and retain it well past termination.
Leave records document when an employee requested time off for protected reasons and how the employer responded. These records are required for compliance with leave laws.
Keep leave records for at least 3 years after the leave ends.
Under leave records fall:
Leave records are used to prove that the employer followed the law and applied leave rules fairly. Missing or incomplete records create risk during audits or legal disputes.
Important handling rule: Medical information tied to leave must be stored separately from personnel files, and access must be limited.
Simple rule: If a document explains why leave was granted, denied, or tracked, keep it as a leave record and retain it for the full retention period.
Benefits and retirement records show what benefits an employee was offered, enrolled in, or declined. These records are closely tied to long-term compliance and employee claims.
Keep benefits records for the life of the plan plus at least 6 years after the plan ends. Many employers align this with their broader employee record retention policy.
Under benefits and retirement records fall:
Benefits and retirement claims can surface years later. These records prove that the employer followed plan rules and met legal requirements.
Important handling rule: Benefits records may contain sensitive employee information. Access should be limited, and records should be stored securely.
Simple rule: If a document explains an employee’s benefits or retirement participation, keep it longer than most other records.
Medical and accommodation records contain sensitive employee information. These records are highly regulated and must be handled separately from personnel files.
Keep medical and accommodation records for at least 1 year after creation or after employment ends. Some records, such as workplace exposure or injury-related medical records, must be kept much longer.
Under medical and accommodation records fall:
Medical records are protected by privacy laws. Improper storage or access can create serious legal risk for the employer.
Critical storage rule: Medical records must be stored separately from personnel files. Access should be strictly limited to those with a legal need to know.
Simple rule: If a document contains medical information, do not place it in the personnel file. Store it separately and keep it only as long as the law requires.
Workplace injury and safety records document accidents, illnesses, and hazardous exposures that happen on the job. These records are required under workplace safety laws.
Keep workplace injury and OSHA records for at least 5 years. Some exposure and medical records must be kept much longer, depending on the type of exposure.
Under workplace injury and OSHA records fall:
These records protect both the employee and the employer. They are used in inspections, workers’ compensation claims, and safety audits.
Important handling rule: Injury-related medical records must be kept separately from personnel files and treated as confidential medical records.
Simple rule: If a record documents a workplace injury, illness, or exposure, keep it longer than standard employment records and store it securely.
Termination and exit records explain why employment ended and how the separation was handled. These records are often reviewed in disputes, audits, and lawsuits.
Keep termination and exit records for at least 1 year after employment ends. Many employers keep them for 5–7 years, especially in cases of involuntary termination.
Under termination and exit records fall:
Termination records help defend against wrongful termination, wage claims, and discrimination allegations.
Important handling rule: Termination records should align with performance, discipline, and payroll records. Inconsistencies create risk.
Simple rule: If a document explains why or how employment ended, keep it well beyond the minimum retention period.
When an EEOC charge is filed, normal record retention rules stop applying. Everything related to the issue must be preserved.
What the employer must do immediately: Once the employer receives notice from the Equal Employment Opportunity Commission, all employment records connected to the charge must be kept. This includes records that would normally be destroyed.
Records that must be preserved include:
Keep all related records until the case is fully closed. This includes:
If the employee receives a right-to-sue notice and does not file a lawsuit, records must still be kept until the legal filing period expires.
Destroying records after a charge is filed can result in penalties and damage the employer’s defense. Missing records are often interpreted against the employer.
Simple rule: When an EEOC charge is filed, stop all destruction of related employee records and keep everything until the matter is completely resolved.
Federal laws set the minimum rules for employee record retention. They are not the full picture.
Federal agencies regulate different parts of employment. Each law covers only certain records. None of them override state law. If state law requires a longer retention period, the employer must comply with that requirement.
State laws may:
Some states also regulate how records must be stored, not just how long they are kept.
If an employer operates in more than one state, record retention must meet the strictest applicable rule. A federal minimum does not protect against state-level penalties.
Because state laws vary and claims can surface years later, many employers keep employment records beyond federal minimums. This reduces compliance risk and avoids guessing.
Simple rule: Always follow the rule that requires the longest recordkeeping. Federal law sets the floor. State law often raises it.
Where employee records are stored matters as much as how long they are kept; storage affects privacy, access, and compliance.
Employee records should be stored in one central system, not spread across emails, spreadsheets, shared drives, or personal folders. Centralization reduces errors and makes records easier to manage.
Most employers use secure digital tools instead of paper files. Digital storage allows:
Paper records are harder to secure and easier to lose.
Tools like Thrivea are designed specifically for employee record management. They keep employee information in one place, apply a consistent structure, and reduce compliance risk caused by scattered records.
Employee records must be protected from loss and breaches. Secure systems with backups and access logs help meet recordkeeping requirements.
Simple rule: Store employee records in one secure system, separate sensitive records, limit access, and use employee record management tools like Thrivea to keep everything organized and compliant.
Not all employee records can be stored together. Some records must be kept separate to protect employee privacy and meet legal requirements.
Records that must be kept separate from the personnel file include:
Keeping these records separate:
Mixing sensitive records into personnel files is a common compliance mistake.
Simple rule: If a record contains medical or immigration information, it does not belong in the personnel file. Store it separately and restrict access.
Access to employee records should be limited. Not everyone in the organization needs to see employee information. HR is responsible for employee records. HR decides who can view, edit, or manage records and at what level.
Too much access increases the risk of data breaches, privacy violations, and compliance failures.
Simple rule: Give access based on job role, not curiosity. If someone does not need the record to do their job, they should not see it.
Employee record requests and audits are routine. Problems happen when records are scattered, incomplete, or hard to find.
Using a centralized system like Thrivea makes record requests and audits easier to manage. Records are stored in one place, grouped by category, with controlled access. This reduces manual searching and lowers the risk of releasing the wrong information.
Always keep a record of what was provided, when, and to whom. This protects the employer if questions arise later.
Employee records should only be disposed of after the full retention period has passed and there are no open investigations, audits, or legal issues. Disposal is part of compliance, not cleanup.
Records must be destroyed in a way that prevents reconstruction. Simply deleting a file or throwing paper in the trash is not enough. Disposal must protect employee data and privacy.
Before destroying any record, confirm that it is not tied to an EEOC charge, lawsuit, wage dispute, or audit. If there is any open matter, destruction must stop immediately.
Access to disposal should be limited. Only authorized HR or compliance staff should approve and carry out record destruction. A log of what was destroyed and when should be kept for internal tracking.
Correct disposal protects employees and the employer. Improper destruction creates risk even after employment ends.
Most record-retention fines are not caused by ignoring the law. They happen because employers misunderstand it or apply it inconsistently. These are the mistakes that show up most often in audits and investigations.
Most compliance problems do not come from bad intent. They come from loose habits. These best practices work because they remove ambiguity and force consistency.
As an employer, if you can confidently check off each item, your record retention process is functional, compliant, and defensible.
Employee record retention helps you explain and defend decisions years later. When records are clear, complete, and properly stored, compliance becomes routine. When records are missing or scattered, even small issues turn into legal and financial risk.
The pattern across all laws is consistent. Keep the right records. Keep them long enough. Store them securely. Limit access. Stop the destruction when issues arise. Dispose of records only when it is legally safe.
Most employers struggle not because they do not know the rules, but because their records live in too many places. Spreadsheets, folders, email attachments, and paper files make it hard to stay consistent and audit-ready.
Thrivea solves that problem.
Thrivea is an employee record management platform that centralizes employee records in one secure system. It structures personnel files, separates sensitive records such as medical files and Form I-9s, applies controlled access, and keeps employee information organized throughout the employment lifecycle. This reduces manual work, lowers compliance risk, and makes audits and record requests far easier to handle.
If you want a clearer and more reliable way to manage employee records as your team grows, book a Thrivea demo to see how employee recordkeeping works when it is built into the system, not patched together.
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