Employee handbook template
Reviewed Sep 27, 2026 State rules cited to official sources How we verify
Not a substitute for the advice of an attorney. General information; laws vary by state. Terms of use
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Your employee handbook is ready
Open the file, fill anything still in [brackets], and keep a signed copy in the personnel file. The next document in this process is the job offer letter.
About this template
A short handbook for a small team, in plain English: welcome, the employment relationship, equal opportunity, attendance, pay and paydays, breaks, paid time off, sick leave, conduct, technology, leaving the company and a signed acknowledgement. Pick your state to see the rules that apply to the pay, break and leave sections while you write.
An employee handbook puts the rules of your workplace in one document: how people are paid, how to call in sick, what is expected of them, and what happens when someone leaves. For a small team it replaces the answers that otherwise live in the owner's head, so every employee hears the same thing.
No federal law requires a private employer to have a handbook. Some laws do affect what goes into one if you have it: for example, the FMLA regulations (29 CFR 825.300) say that a covered employer with eligible employees gives the FMLA general notice either by including it in the handbook or other written guidance on benefits or leave, where such materials exist, or by giving a copy to each new employee when they are hired. This template is a starting point for the sections most small teams need; the pay, break and leave sections point to the rules for your state.
Fill in the fields, choose the optional sections, and download the handbook as .docx or .pdf. Keep it short: a handbook that people read is worth more than a long one that nobody opens. Nothing you type leaves your browser.
The full employee handbook text
This is the whole template as it downloads, with the fields in [brackets]. State-rule notes are off by default: choose your state and tick "Include state-rule notes for you" under Options to add them to the preview and the download.
Employee Handbook
1. Welcome
Welcome to [Company name]. We are glad you are here.
[One line about your business]
This handbook explains how we work together: how you are scheduled and paid, how to ask for time off, what we expect from each other and what happens if you leave. Please read it in your first week and ask [Who employees ask about this handbook] about anything that is unclear.
This handbook is a summary of our policies. It is not a contract of employment and does not promise employment for any period. Where a federal, state or local law gives you more than this handbook does, that law applies. We may update the handbook; we will tell you in writing before a change takes effect.
[Owner or manager name (signs the welcome)]
2. The employment relationship
All states except Montana: Employment with [Company name] is at will. You may resign at any time, and the company may end the employment relationship at any time, with or without cause or advance notice, as the law allows. Only the owner can change this in a written agreement signed by both of you.
Montana only: New employees serve a probationary period of [Probationary period (optional; needed in Montana)].
Montana only: During the probationary period, you or the company may end the employment on notice to the other, for any reason or for no reason. (official source)
Montana only: After you complete the company's probationary period, [Company name] will end your employment only for good cause, as Montana law provides. You may resign at any time. (official source)
Montana only: [Note for you, delete before sharing: Montana Code Annotated § 39-2-904(1)(b), part of the Wrongful Discharge from Employment Act, makes a discharge wrongful when it was not for good cause and the employee had completed the employer's probationary period. A discharge is also wrongful under the same section if the employer materially violated an express provision of its own written personnel policy, so write the discipline and probation rules in this handbook the way you will actually apply them.] (official source)
[Note for you: Choose your state above to see its rule on at-will employment and its exceptions, or check it with your state labor office before you send this.]
3. Equal opportunity and a workplace free of harassment
[Company name] makes decisions about hiring, pay, scheduling, training, discipline and every other part of employment without regard to race, color, religion, sex (including pregnancy, sexual orientation and gender identity), national origin, age, disability, genetic information, or any other characteristic protected by the federal, state or local law that applies where you work.
Harassment based on any of these characteristics is not allowed, whether it comes from a manager, a coworker, a customer or a supplier. This includes unwelcome comments, jokes, images, messages, touching and requests for dates or favors.
If you experience or see harassment or discrimination, tell [Who employees report harassment or discrimination to]. If that person is involved, tell [Second person to report to, if the first is involved]. You can report in person, by phone or in writing. We will look into every report promptly and as confidentially as we can, and we will take action where it is needed.
[Company name] does not retaliate against anyone who reports discrimination or harassment in good faith, helps with an investigation, or asks for an accommodation. If you need a change at work because of a disability, pregnancy or religious practice, ask [Who employees report harassment or discrimination to] and we will talk about what is possible.
[Note for you, delete before sharing: which federal equal employment laws cover you depends on how many employees you have, and state and local laws often cover smaller employers than federal law does. The EEOC small business pages explain who is covered.] (official source)
4. Attendance and punctuality
Schedules: [How schedules are set]. Please be ready to work at the start of each scheduled shift.
If you will be absent or late, tell [Who employees tell when they are absent or late]: [How and when to call in]. Give the reason in general terms and when you expect to return; you do not need to share medical details.
Missing a shift without contacting us before it starts (a no call, no show) is a serious attendance problem. We will try to reach you. If you miss several shifts in a row without contact, we may treat it as a resignation, as described in our attendance policy.
Absences protected by law, such as paid sick leave under a state or local law, family and medical leave, leave needed as an accommodation, jury duty and military service, do not count against you.
5. Pay, paydays and hours
- Workweek: [Your workweek]
- Recording time: [How time is recorded]
- Paydays: [How often you pay]. [Payday]
Record all the time you work, including time before or after a shift. Working off the clock is not allowed, even if you offer to. Employees who are not exempt from overtime are paid overtime for hours worked over 40 in a workweek, and under any state or local overtime rule that applies. Overtime needs a manager's approval in advance, but approved or not, all hours worked are paid. (official source)
Your pay stub shows your hours, pay and deductions. If your pay looks wrong, tell [Who employees ask about this handbook] right away; we will look into it and correct any error no later than the next payday. No one will be treated badly for asking about their pay.
[Note for you: Choose your state above to see its rule on how often wages are paid, or check it with your state labor office before you send this.]
[Note for you: Choose your state above to see its rule on the minimum wage, or check it with your state labor office before you send this.]
6. Meal and rest breaks
[Meal and rest breaks]
If you need to express breast milk at work, for your child during the first year after birth, you will get reasonable break time and a space, other than a bathroom, that is shielded from view and free from intrusion. Tell [Who employees ask about this handbook] and we will arrange it. (official source)
[Note for you, delete before sharing: federal law does not require meal or rest breaks, but the Department of Labor explains that short breaks you do give (usually 5 to 20 minutes) count as paid work time, while bona fide meal periods (typically 30 minutes or more) are not work time. Several states require meal or rest breaks; check your state before you write this section.] (official source)
[Note for you: Choose your state above to see its rule on meal breaks, or check it with your state labor office before you send this.]
[Note for you: Choose your state above to see its rule on rest breaks, or check it with your state labor office before you send this.]
7. Paid time off and holidays
[Paid time off (PTO) in one or two sentences]
Paid holidays: [Paid holidays].
Ask for planned time off as early as you can, following the PTO policy. Requests are approved based on scheduling needs.
[Note for you: Choose your state above to see its rule on paying out unused vacation or PTO, or check it with your state labor office before you send this.]
California, Colorado, Illinois and Montana only: [Note for you, delete before sharing: under the verified rule for your state (see the note above), earned and unused vacation is owed when employment ends. Do not write a rule in this handbook that says earned vacation is lost at separation.]
8. Sick leave
[Sick leave in one or two sentences]
Using sick leave that you are entitled to will not count as an attendance occurrence and will not lead to discipline. (official source)
[Note for you: Choose your state above to see its rule on paid sick leave, or check it with your state labor office before you send this.]
9. Conduct at work
We expect everyone to:
- treat coworkers, customers and suppliers with respect;
- follow safety rules, use the safety equipment provided, and report any injury, near miss or hazard to [Who employees tell when they are absent or late] right away;
- come to work fit to work, and never work under the influence of alcohol or drugs;
- handle cash, stock and company property honestly;
- keep customer information and the company's business information private.
Dress code: [Dress code].
When a problem comes up, we usually start with a conversation and a written record, then a written warning, then a final warning. Depending on how serious the problem is, we may skip steps. You can always add your own comments to any warning.
Nothing in this handbook limits your right to talk with coworkers or others about your pay, hours or other working conditions, or to take part in any other activity that the law protects. (official source)
10. Technology and company devices
Company devices, accounts and data belong to [Company name]. Use them for work, keep your passwords to yourself, and tell [Who employees ask about this handbook] right away if a device is lost or you think an account has been accessed by someone else.
Do not share customer information, photos of customers or private company information on social media. This does not stop you from talking about your own pay or working conditions.
Personal phones: [Personal phones at work].
[Note for you, delete before sharing: if you monitor company email, devices or accounts, say so here in plain words. Some states require written notice to employees before electronic monitoring; check with your state labor office.] (official source)
11. Leaving the company
If you decide to resign, we ask for [Notice you ask for when someone resigns] of notice in writing, so we can plan the handover and your final pay.
Before or on your last day, please return company property: [Company property to return].
Your final paycheck will be paid on the schedule set by the law of the state where you work. Unused paid time off is handled as the PTO policy and state law provide. Information about continuing any benefits will be sent to you separately.
[Note for you: Choose your state above to see its rule on final pay after a resignation, or check it with your state labor office before you send this.]
[Note for you: Choose your state above to see its rule on final pay after a termination, or check it with your state labor office before you send this.]
Acknowledgement of receipt
I have received the Employee Handbook of [Company name], effective [Effective date of this handbook]. I understand that it is my responsibility to read it and to ask [Who employees ask about this handbook] about anything I do not understand. I understand that the handbook is not a contract of employment for any particular period and that the company may update it with written notice.
______________________ Date: __________
Employee name and signature
______________________ Date: __________
[Owner or manager name (signs the welcome)], for [Company name]
How to use this template
- Pick your state first. The notes in the preview show your state's rules on the minimum wage, paydays, breaks, paid sick leave, PTO payout, final pay and at-will employment where we have verified them.
- Fill in what you already do today. A handbook that describes your real practice is easier to follow and to defend than one copied from a large company.
- Use the one or two sentence summaries for PTO and sick leave, and keep the full rules in the separate PTO and sick leave policies, so you only update one document when a rule changes.
- Remove every [Note for you] paragraph before you share the handbook. They are there to help you check the state rules while you write.
- Give the handbook to every employee in the first week, walk through the attendance, pay and reporting sections together, and keep the signed acknowledgement in the personnel file.
- Review it at least once a year, and whenever a state or local law that applies to you changes. Use the state alert on this page to get an email when a verified rule for your state changes.
- If you have employees in more than one state, or more than about 15 employees, have the finished handbook reviewed by an employment lawyer. More laws apply as a team grows.
Variations
One-page handbook for a team of one to five
Use this for your first one to five employees, when a full handbook would be more than anyone reads.
With one or two employees, the most useful handbook is a single page that answers the questions people actually ask in the first month: when they get paid, how to call in, how to ask for time off, and who to talk to about a problem. Keep the equal opportunity and reporting paragraph even on one page; it tells employees where to go if something goes wrong with you or with a coworker.
Grow it into the full template when you hire again, add a second location, or start giving paid time off with rules that need more than two sentences.
[Company name]: How we work
- Paydays: [every two weeks, Friday], by [direct deposit]. Record all your time on [the tablet by the back door].
- Absent or late: tell [name] by [call or text to 555-0142] at least [2 hours] before your shift.
- Breaks: [30-minute unpaid meal break for shifts over 6 hours].
- Time off: [PTO and sick leave in one or two sentences].
- Problems at work, including harassment: tell [name]; if [name] is involved, tell [second person]. No one is punished for reporting in good faith.
- Leaving: please give [two weeks] of notice in writing. Final pay follows the law of the state where you work.
This page is not a contract of employment. I have received it: [signature and date]
Handbook for shift work (restaurants, retail, cafes)
Use this when most of your team works scheduled shifts and attendance is the most common problem.
In shift work, the sections people read most are schedules, call-in, shift swaps and breaks. Put them first, after the welcome. Say where the schedule is posted and when, how to swap a shift (and who approves it), and what counts as late.
If you have tipped employees, add a short section on how tips are recorded and paid, and check the federal and state rules on tip credits and tip pools before you write it. The Department of Labor has a fact sheet on tipped employees.
Schedules and shift swaps
The schedule for the next week is posted in [the scheduling app] every [Thursday]. To swap a shift, agree it with a coworker and ask [the shift manager] to approve it in the app before the shift. A swap is final only once it is approved.
Tips
[How tips are collected, recorded and paid, and who shares in any tip pool.]
Adding a section for remote or hybrid employees
Use this when some employees work from home all or part of the time.
Remote work changes three things in a handbook: how working time is recorded (for employees who are not exempt from overtime, time spent answering messages after hours is working time), which equipment the company provides and pays for, and which state's law applies. Wage, leave and final-pay rules generally follow the state where the employee works, not where the company is based.
Before you hire someone in a new state, register as an employer there and check that state's rules. The state notes on this page are for one state at a time: pick the employee's work state to see them.
Working remotely
Remote work is available for [roles] with [manager] approval. Your working hours are [hours], and you record all time worked in [system], including time spent on calls or messages outside those hours.
The company provides [laptop, headset] and reimburses [internet or phone costs as described in the expense policy]. Tell [name] before you move to a different state, because different state laws may apply to your job.
Handbook update memo
Use this when you change a policy after employees have signed the handbook.
Changes work best when they are announced in writing before they take effect, with the date, what changes and what stays the same. Ask each employee to sign for the update, and keep the old version with its dates, so you can show which rule applied at any point in time.
If a change reduces a benefit that employees have already earned, such as accrued PTO, check your state's rule first. In some states earned vacation is treated as wages.
Handbook update
We are updating section [number, name] of the Employee Handbook. From [date], [new rule]. Until then, the current rule applies. [PTO already earned is not affected.]
Nothing else in the handbook changes. Please sign below to confirm you received this update, and ask [name] about anything unclear.
Employee signature and date: ______________________
Separate acknowledgement form
Use this when you share the handbook as a file or a link and need a signed receipt on paper or by e-signature.
The acknowledgement records that the employee received the handbook and knows where to ask questions. It is not a promise that they agree with every policy. Keep it in the personnel file with the version date of the handbook they received.
If you use e-signature, keep the record that shows the date and the version signed. Ask for a new acknowledgement when you issue a new edition.
Acknowledgement of receipt: Employee Handbook
I received the Employee Handbook of [company name], version dated [date], on [date]. I understand that I should read it and ask [name] about anything I do not understand. I understand that the handbook is not a contract of employment for any particular period and may be updated with written notice.
______________________ Date: __________
Employee name and signature
______________________ Date: __________
Received for the company by
State supplement for a second state
Use this when you have employees in more than one state and the rules differ.
Instead of rewriting the whole handbook, keep one main handbook and add a short supplement for each state, covering the sections where the law differs: paydays, breaks, paid sick leave, PTO payout, final pay and, in Montana, the employment relationship section.
Pick each state on this page in turn and read the notes. Where a rule is not verified for a state, the note links to the official source to check.
[State] supplement to the Employee Handbook
This supplement applies to employees who work in [state]. Where it differs from the main handbook, this supplement applies.
- Paydays: [rule for this state]
- Meal and rest breaks: [rule for this state]
- Paid sick leave: [rule for this state]
- Final pay and unused PTO: [rule for this state]
Filled-in examples
Complete documents with fictional names and facts, to show the level of detail that makes a document clear. Replace every detail with your own.
Filled example: handbook for a seven-person bakery
A small bakery with seven hourly employees, one location, paid every two weeks. The owner used the full template and removed the notes before sharing it.
Employee Handbook
1. Welcome
Welcome to Harbor Street Bakery. We bake everything on site, every morning, for our neighbors on Harbor Street. This handbook explains how we work together. Please read it in your first week and ask Dana Ortiz, Owner (555-0142), about anything that is unclear.
This handbook is a summary of our policies. It is not a contract of employment. Where a law gives you more than this handbook does, that law applies. We will tell you in writing before any change takes effect.
2. The employment relationship
Employment with Harbor Street Bakery is at will. You may resign at any time, and the bakery may end the employment relationship at any time, with or without cause or advance notice, as the law allows.
3. Equal opportunity and a workplace free of harassment
We make every employment decision without regard to race, color, religion, sex (including pregnancy, sexual orientation and gender identity), national origin, age, disability, genetic information or any other characteristic protected by law. Report harassment or discrimination to Dana Ortiz, or, if Dana is involved, to Sam Lee, Operations Manager. We do not retaliate against anyone who reports in good faith.
4. Attendance
The schedule is posted in the scheduling app every Thursday for the following week. If you will be absent or late, call or text the store phone (555-0142) at least 2 hours before your shift starts. A message to a coworker does not count.
5. Pay and paydays
- Workweek: Sunday 12:00 a.m. to Saturday 11:59 p.m.
- Recording time: clock in and out on the tablet by the back door.
- Paydays: every two weeks, on Friday, by direct deposit.
Record all the time you work. Hours over 40 in a workweek are paid at overtime rates. If your pay looks wrong, tell Dana right away and we will fix any error by the next payday.
6. Breaks
Shifts over 6 hours include a 30-minute unpaid meal break, taken away from the counter. Everyone also gets a paid 10-minute break for every 4 hours worked.
7 and 8. Time off and sick leave
Full-time employees earn 3.08 hours of PTO per biweekly pay period; see the PTO Policy. All employees earn 1 hour of paid sick leave for every 30 hours worked; see the Sick Leave Policy. Using sick leave never counts against your attendance.
9. Conduct
Treat each other and our customers with respect, follow the food safety and knife rules, report any injury or burn to the shift manager right away, and handle cash honestly. Dress code: bakery T-shirt, clean apron, closed-toe non-slip shoes.
11. Leaving
Please give two weeks of notice in writing if you resign, and return your keys and aprons on your last day. Final pay follows the law of the state where you work.
______________________ Date: __________
Jordan Miles, employee
______________________ Date: __________
Dana Ortiz, Owner, for Harbor Street Bakery
Example wording
Examples of the level of detail that makes a document clear. Replace them with your own facts.
- Welcome line: We bake everything on site, every morning, for our neighbors on Harbor Street. You are joining a team of seven people who cover for each other and ask when something is unclear.
- Call-in rule: If you will be absent or late, tell the shift manager on duty: call or text the store phone (555-0142) at least 2 hours before the shift starts. A message to a coworker does not count.
- Pay and paydays: Workweek: Sunday 12:00 a.m. to Saturday 11:59 p.m. Recording time: clock in and out on the tablet by the back door. Paydays: every two weeks, on Friday, by direct deposit.
Rules for this document in your state
At-will employment and its exceptionsChoose your stateRules with official sources
Choose your state above to see the rule we have verified, or check it with your state labor office.
How often wages are paidChoose your stateRules with official sources
Choose your state above to see the rule we have verified, or check it with your state labor office.
The minimum wageChoose your stateRules with official sources
Choose your state above to see the rule we have verified, or check it with your state labor office.
Meal breaksChoose your stateRules with official sources
Choose your state above to see the rule we have verified, or check it with your state labor office.
Rest breaksChoose your stateRules with official sources
Choose your state above to see the rule we have verified, or check it with your state labor office.
Paying out unused vacation or PTOChoose your stateRules with official sources
Choose your state above to see the rule we have verified, or check it with your state labor office.
Paid sick leaveChoose your stateRules with official sources
Choose your state above to see the rule we have verified, or check it with your state labor office.
Final pay after a resignationChoose your stateRules with official sources
Choose your state above to see the rule we have verified, or check it with your state labor office.
Final pay after a terminationChoose your stateRules with official sources
Choose your state above to see the rule we have verified, or check it with your state labor office.
Every state's rule, side by side, is in the state rulebooks.
Questions people ask
What is an employee handbook?
An employee handbook is a document that explains an employer's policies and expectations in one place: how employees are scheduled and paid, how to ask for time off, how to report a problem, what conduct is expected and what happens when someone leaves. It is usually given to new employees in the first week, with a page they sign to confirm they received it.
Is a small business required to have an employee handbook?
No federal law requires a private employer to have a handbook. Some laws do affect what goes into one if you have it. For example, the FMLA regulations say that a covered employer with eligible employees gives the FMLA general notice either in its handbook or other written guidance on benefits or leave, where such materials exist, or by giving a copy to each new employee (29 CFR 825.300). Many small employers write one anyway because it gives every employee the same answers.
What should be included in an employee handbook?
Most small-business handbooks cover a welcome, the employment relationship, equal opportunity and how to report harassment, attendance and call-in rules, pay, paydays and timekeeping, breaks, paid time off and sick leave, conduct and safety, use of company devices, what happens when someone leaves, and an acknowledgement page. The template on this page has each of these sections, and the state notes show where your state has its own rule.
Is an employee handbook a legal contract?
Whether a handbook creates contract rights depends on its wording and on your state's law. Many employers state plainly that the handbook is not a contract of employment, as this template does, and avoid promises such as guaranteed steps before dismissal. Courts in some states have treated handbook promises as binding; pick your state on this page to see the verified rule on at-will employment and its exceptions.
Should a handbook say that employment is at will?
Many handbooks include an at-will statement, and this template does in every state except Montana. In Montana, the Wrongful Discharge from Employment Act makes a discharge wrongful when it was not for good cause and the employee had completed the employer's probationary period, so the Montana version uses different wording. Keep the rest of the handbook consistent with whichever statement you use.
Do employees have to sign the handbook?
A signed acknowledgement is the usual way to show that an employee received the handbook and a given version of it. It confirms receipt, not agreement with every policy. Keep it in the personnel file, and ask for a new signature when you issue a new edition or an update memo.
How often should an employee handbook be updated?
Review it at least once a year and whenever a law that applies to you changes, for example a new state paid sick leave law or a change to the minimum wage. Announce changes in writing before they take effect and keep the old versions with their dates. The state alert on this page sends an email when a verified rule for your state changes.
Can an employee handbook be digital?
Yes. Many small employers share the handbook as a PDF or a link and collect the acknowledgement by e-signature. Make sure every employee can open it, including people without a work email, and keep a record of which version each person received and when.
What is the difference between a handbook and a policy?
A policy covers one topic in detail, such as PTO, sick leave or attendance. A handbook collects the main rules in one document and can summarize the policies and point to them. This page keeps the handbook short and links to the separate PTO policy, sick leave policy and attendance policy templates.
What if I have employees in more than one state?
Pay, break, leave and final-pay rules generally follow the state where the employee works. Keep one main handbook and add a short supplement for each state where the rules differ. Pick each state on this page to see its verified rules, and consider having the finished handbook reviewed by an employment lawyer.
Sources (10)
- U.S. Small Business Administration: Hire and manage employees
- EEOC: Small business
- U.S. Department of Labor: Overtime pay
- U.S. Department of Labor: Breaks and meal periods
- U.S. Department of Labor: Break time for nursing employees (PUMP Act)
- U.S. Department of Labor: State payday requirements
- U.S. Department of Labor: State labor offices
- eCFR: 29 CFR 825.300, Employer notice requirements (FMLA)
- National Labor Relations Board: Interfering with employee rights (Section 7 and 8(a)(1))
- Montana Code Annotated § 39-2-904: Elements of wrongful discharge
General information, not legal advice. Not a substitute for the advice of an attorney. This page is for general information only and isn’t legal, financial or tax advice. Laws vary by state and change; check the official source or talk to a qualified professional about your situation. Report an error