🇺🇸 IDAHO STATE LAW – 2026 UPDATE

Idaho Remote Work Laws 2026

⚠️Informational only — not legal or tax advice.

Last Updated: December 2025
Applicable Period: 2026 tax year and current employment regulations
Key Characteristic: Employers with remote workers physically located in Idaho

Idaho remote work laws and employment regulations guide

Table of Contents

Click any item below to jump to the relevant section

Overview

Idaho is generally considered business-friendly in its approach to employment regulation. According to official state sources, Idaho has relatively minimal state-level employment regulation compared to many other states, generally following federal standards for most employment matters.

General Characteristics

State minimum wage (2025): $7.25/hour (same as federal minimum wage)
Paid sick leave: Not mandated by state law for private employers
State income tax: 5.3% flat rate (as of 2025)
Meal/rest breaks: Not mandated by state law
Overtime rules: Follows federal Fair Labor Standards Act (FLSA)
Workers’ compensation: Generally required for employers with employees

These are general starting points only. Specific applicability depends on many factors including employer size, industry, and individual circumstances.

Source: Idaho Department of Labor – https://www.labor.idaho.gov/

Official State Agency Information

The Idaho Department of Labor administers employment laws in Idaho.

Contact Information:

The Idaho Industrial Commission oversees workers’ compensation in Idaho.

Contact Information:

  • Website: https://iic.idaho.gov/
  • Phone: (208) 334-6000 or (800) 950-2110 (toll-free)
  • Address: P.O. Box 83720, Boise, ID 83720-0041

These agencies can provide official interpretations of state law. For legal advice on how laws apply to your specific situation, consult a licensed attorney.

Major State Employment Statutes

The following statutes are commonly referenced in employment matters. This is general information only and does not constitute legal interpretation.

1. Idaho Minimum Wage Law

Statutory Citation: Idaho Code § 44-1502 et seq.
Official Source: https://legislature.idaho.gov/statutesrules/idstat/Title44/T44CH15/

General Provisions: According to Idaho statute, the state minimum wage is generally set at the federal minimum wage rate. Idaho Code § 44-1502 provides that employers generally must pay employees at least the federal minimum wage.

Application to Remote Work: Minimum wage provisions typically apply based on where work is physically performed. Workers performing work from a location in Idaho would generally be subject to Idaho minimum wage requirements. Specific applicability should be verified with the Idaho Department of Labor or legal counsel.

2. Idaho Employment Security Law

Statutory Citation: Idaho Code § 72-1301 et seq.
Official Source: https://legislature.idaho.gov/statutesrules/idstat/Title72/

General Overview: This statute addresses unemployment insurance and worker classification matters. According to the Idaho Department of Labor, this law establishes the framework for unemployment insurance contributions and benefits in Idaho.

Worker Classification Framework: Idaho Code § 72-1316 includes provisions that address the distinction between employees and independent contractors for unemployment insurance purposes.

3. Idaho Workers’ Compensation Law

Statutory Citation: Idaho Code § 72-101 et seq.
Official Source: https://legislature.idaho.gov/statutesrules/idstat/Title72/

General Overview: According to the Idaho Industrial Commission, this statute generally requires employers with employees to maintain workers’ compensation coverage. The law provides benefits to employees who suffer work-related injuries or illnesses.

Coverage Requirements: Idaho Code § 72-102 defines “employee” and establishes general coverage requirements. Specific coverage determinations should be verified with the Idaho Industrial Commission.

4. Idaho Human Rights Act

Statutory Citation: Idaho Code § 67-5901 et seq.
Official Source: https://legislature.idaho.gov/statutesrules/idstat/Title67/T67CH59/

General Overview: The Idaho Human Rights Commission administers this statute, which generally prohibits discrimination in employment based on protected characteristics.

Protected Categories: According to Idaho Code § 67-5909, the statute generally addresses discrimination based on race, color, religion, sex, national origin, age (40 and older), and disability.

Coverage: The law generally applies to employers with five or more employees. Specific applicability should be verified with the Idaho Human Rights Commission.

Source: Idaho Human Rights Commission – https://humanrights.idaho.gov/

Employee Classification Standards

Idaho’s Classification Framework

According to official sources, Idaho uses different tests depending on the purpose of the classification:

For Workers’ Compensation: Idaho applies the “right to control” test
For Unemployment Insurance: Idaho Code § 72-1316 establishes criteria that function similarly to a multi-part test
For Tax Purposes: Federal IRS tests generally apply

Each test serves a different purpose and may produce different results for the same working relationship.

Right to Control Test (Workers’ Compensation)

Statutory Authority: Idaho Code § 72-102
Official Guidance: Idaho Industrial Commission – https://iic.idaho.gov/employee-or-independent-contractor/

According to the Idaho Industrial Commission, the “right to control test” focuses on whether the employer has the right to direct and control the method and manner in which work is performed, not just the final result.

Factors That May Be Considered

The Idaho Industrial Commission indicates that the following factors may be relevant in the analysis. This is a simplified summary—actual legal application is complex and fact-specific.

1. Control and Instructions General Description: Based on official guidance, this factor generally examines whether the person for whom services are performed has the right to require compliance with instructions.

Considerations that may be relevant:

  • Whether detailed instructions are provided on how, when, and where to work
  • Whether the worker follows an established routine or schedule
  • Whether the worker must submit regular reports

Illustrative Scenario (for general understanding only):

A software developer works from home for a Boise-based company. The company provides specific coding standards, requires daily stand-up meetings at set times, mandates use of particular development tools, and reviews code progress weekly.

General Analysis: This scenario may share some characteristics commonly associated with employee relationships because of the level of instruction and control over methods. However, actual classification depends on analysis of all factors and official determination.

⚠️ Important: This example is purely illustrative and does not constitute a legal determination. Classification depends on the totality of circumstances and should be evaluated by legal counsel.

2. Training and Integration General Description: According to Industrial Commission guidance, this factor may examine whether training is provided and whether services are integrated into business operations.

Considerations that may be relevant:

  • Whether the worker receives training from the hiring entity
  • Whether work is integral to the business
  • Whether there is ongoing relationship vs. project-based work

3. Financial Arrangements General Description: This factor may examine payment methods and business expenses.

Considerations that may be relevant:

  • Method of payment (hourly vs. project-based)
  • Who provides equipment and materials
  • Whether worker has opportunity for profit or risk of loss
  • Whether worker offers services to general market

Illustrative Scenario:

A graphic designer works remotely and invoices monthly for projects completed. The designer uses their own equipment, sets their own hours, maintains their own website advertising services, works for multiple clients simultaneously, and negotiates rates per project.

General Analysis: This scenario may share some characteristics commonly associated with independent contractor relationships due to the financial independence and market presence. However, actual classification requires examination of all circumstances.

⚠️ Important: This is not a determination. Actual classification should be made with professional guidance.

4. Permanency and Exclusivity General Description: This factor may examine the nature and duration of the relationship.

Considerations that may be relevant:

  • Whether relationship is ongoing or project-specific
  • Whether work is exclusive or worker serves multiple clients
  • Whether benefits are provided
  • Right to terminate the relationship

Idaho Supreme Court Precedent

According to Industrial Commission guidance, the Idaho Supreme Court has repeatedly recognized that cases where there is doubt about whether a worker is an independent contractor or employee should be resolved in favor of finding the worker to be an employee.

This legal principle emphasizes the importance of careful analysis and, when uncertain, consultation with legal counsel.

Remote Work Classification Considerations

For remote workers, classification analysis may involve additional considerations:

Location-Based Factors:

  • Physical work location vs. business location
  • Nature of work relationship in virtual environment
  • Level of control and independence in remote setting
  • Communication and oversight methods

Technology and Tools:

  • Who provides computer equipment and software
  • Whether employer-specific systems are required
  • Monitoring and tracking practices
  • Technical support and infrastructure

These factors do not change the legal tests but may affect how the tests are applied. Classification of remote workers should be reviewed with legal counsel familiar with Idaho law and specific circumstances.

Potential Consequences of Misclassification

According to Idaho Department of Labor and Industrial Commission sources, misclassification may result in various consequences. The specific outcomes depend on many factors.

For Employers (potential consequences described in official sources):

  • Possible back payment of unemployment insurance taxes
  • Potential workers’ compensation premium adjustments and penalties
  • Possible wage and hour claim exposure
  • Tax implications at state and federal levels
  • Administrative penalties and interest

For Workers (potential impacts):

  • May affect access to unemployment benefits
  • May affect workers’ compensation coverage
  • May affect wage and hour protections
  • May affect leave benefit eligibility

Actual consequences depend on specific facts, severity of misclassification, and enforcement agency determinations.

How to Seek Classification Guidance

Classification questions should be addressed through:

Idaho Industrial Commission:

Idaho Department of Labor:

Professional Advisors:

  • Employment attorney licensed in Idaho
  • Tax professional familiar with Idaho and federal law
  • IRS (for federal tax implications): (800) 829-1040

Federal Classification Tests

In addition to Idaho-specific tests, workers may also be subject to federal classification standards:

IRS Common Law Test: For federal tax purposes
FLSA Economic Reality Test: For wage and hour law purposes
Other Federal Tests: For various federal benefit programs

These federal tests operate independently of Idaho state tests. A worker could potentially be classified differently under state versus federal law.

For federal classification questions, consult:

Minimum Wage Information

Current minimum wage rates change periodically. Verify current rates with official sources before making decisions.

Current Rate Information

According to the Idaho Department of Labor, Idaho’s minimum wage follows the federal minimum wage.

Effective Date Rate Notes
Current (2025) $7.25/hour Matches federal minimum wage

Source: Idaho Department of Labor – https://www.labor.idaho.gov/

According to Idaho Code § 44-1502, Idaho’s minimum wage is generally set at the federal minimum wage level. As of December 2025, this rate is $7.25 per hour.

Application to Remote Workers

According to general legal principles:

  • Minimum wage typically applies based on where work is physically performed
  • A worker performing work from a location in Idaho would generally be subject to Idaho minimum wage
  • Employer location is generally not the determining factor for minimum wage application

However, specific situations may vary based on individual circumstances. Employers with questions should consult the Idaho Department of Labor or legal counsel.

Tipped Employees

According to Idaho Department of Labor guidance, Idaho allows a tip credit.

General Framework:

  • Tipped minimum wage: $3.35/hour
  • Employers may take a tip credit if tips bring total compensation to at least $7.25/hour
  • Specific requirements and restrictions may apply

Source: Idaho Department of Labor – https://www.labor.idaho.gov/businesses/labor-laws/

Employers considering tip credits should verify current requirements with the Idaho Department of Labor and consult legal counsel to ensure compliance.

Exemptions from Minimum Wage

According to Idaho Code § 44-1503, certain categories of workers may be exempt from minimum wage requirements. These exemptions are narrowly defined and fact-specific.

Categories that may be exempt (according to statute):

  • Bona fide executive, administrative, or professional employees
  • Domestic service workers
  • Outside salespeople
  • Seasonal employees of nonprofit camping programs
  • Children under 16 working part-time (not exceeding 4 hours per day with any one employer)
  • Employees under 18 employed by immediate family member or their business
  • Agricultural workers who are immediate family members of employers
  • Certain harvest laborers meeting specific criteria

⚠️ Important: Exemptions are narrowly construed and fact-specific. Do not assume an exemption applies without verification from official sources and legal counsel.

Source: Idaho Code § 44-1503 – https://legislature.idaho.gov/statutesrules/idstat/Title44/T44CH15/SECT44-1503/

Training and Subminimum Wages

According to federal law applicable in Idaho, new employees under 20 years of age may be paid a youth minimum wage.

Federal Youth Minimum Wage:

  • Rate: $4.25/hour
  • Duration: First 90 consecutive calendar days of employment
  • Restrictions may apply

This is a federal provision that applies in Idaho. Employers should verify current requirements with the U.S. Department of Labor.

Source: U.S. Department of Labor – https://www.dol.gov/agencies/whd/minimum-wage/

Local Minimum Wages

According to available information, Idaho does not currently have local jurisdictions with separate minimum wage ordinances that exceed the state rate.

All areas of Idaho generally follow the state minimum wage of $7.25/hour. However, employers should verify with local authorities if operating in specific municipalities.

Comparison to Neighboring States (For Reference Only)

State 2025 Minimum Wage Notes
Idaho $7.25 Matches federal minimum
Washington $16.66 Significantly higher than federal
Oregon $14.70 Higher than federal
Montana $10.55 Higher than federal
Utah $7.25 Matches federal minimum
Nevada $12.00 Higher than federal

This comparison is for general reference only. Each state’s laws apply based on where work is performed. Verify current rates before making decisions.

Resources for Current Information

Overtime and Break Requirements

Wage and hour compliance is complex and fact-specific. This section provides general background information only.

A. Overtime Standards

Governing Framework

Idaho generally follows the federal Fair Labor Standards Act (FLSA) for overtime requirements. Idaho does not have additional state-specific overtime laws beyond federal requirements.

Statutory Authority: Fair Labor Standards Act (29 U.S.C. § 201 et seq.)
Official Source: U.S. Department of Labor – https://www.dol.gov/agencies/whd/flsa

General Overtime Threshold:

  • Typically triggered after: 40 hours per week
  • Rate generally required: 1.5x regular rate of pay
  • No daily overtime requirement in Idaho (follows federal standard)

Application to Remote Workers

Overtime regulations typically apply based on the nature of the work and employment relationship, not work location. Remote workers performing non-exempt work would generally be subject to the same overtime requirements as on-site workers.

However, specific applicability depends on exemption status, which requires detailed analysis.

Calculating Compensable Time for Remote Workers

According to federal guidance, “hours worked” for overtime calculation purposes may include:

  • Time actually performing work duties
  • Required meetings and training (including virtual meetings)
  • Time waiting to perform work in some circumstances
  • Other activities depending on specific facts

⚠️ Complex Issue for Remote Workers:

Determining compensable time for remote workers can involve additional considerations:

  • After-hours email responses
  • On-call time at home
  • Time spent in virtual meetings outside regular hours
  • Work performed outside scheduled hours

These determinations are fact-specific and can be complex. Employers should consult wage-hour counsel for guidance on tracking and paying remote workers.

Source: U.S. Department of Labor Fact Sheet #22 – https://www.dol.gov/agencies/whd/fact-sheets/22-flsa-hours-worked

Overtime Exemptions

The FLSA recognizes certain exemptions from overtime requirements. Common exemptions include:

Executive, Administrative, and Professional (EAP) Exemptions

To potentially qualify for these exemptions, employees generally must meet tests related to:

1. Salary Basis Test

  • Paid a predetermined salary not subject to reduction based on quality or quantity of work
  • Salary must be guaranteed minimum amount

2. Salary Level Test

  • Must meet minimum salary threshold
  • Federal threshold (2025): $844 per week ($43,888 annually) as of July 1, 2024
  • Scheduled increase: $1,128 per week ($58,656 annually) effective January 1, 2025

Note: These federal thresholds are subject to change through regulation and legal challenges. Verify current thresholds before making decisions.

3. Duties Test

  • Must perform exempt-level duties as defined in regulations
  • Job title alone does not determine exemption status
  • Actual job duties must be examined

Source: U.S. Department of Labor Fact Sheet #17A – https://www.dol.gov/agencies/whd/fact-sheets/17a-overtime

Computer Professional Exemption

According to federal regulations, computer professionals may be exempt if they meet specific criteria:

Compensation Requirements (2025):

  • Paid on salary or fee basis at rate of at least $844/week, OR
  • Paid on hourly basis at rate of at least $27.63/hour

Duties Requirements:

  • Primary duty must consist of specific computer-related work as defined in regulations
  • Detailed duties test must be met

Source: U.S. Department of Labor Fact Sheet #17E – https://www.dol.gov/agencies/whd/fact-sheets/17e-overtime-computer

Other Exemptions

Other categories that may be exempt from overtime include:

  • Outside sales employees
  • Certain agricultural workers
  • Certain seasonal recreational establishment employees
  • Others as defined in FLSA regulations

Exemptions are narrowly interpreted. Classification errors can result in significant liability. Professional guidance strongly recommended.

B. Meal and Rest Break Requirements

Idaho’s Break Standards

According to the Idaho Department of Labor, Idaho does not have laws requiring employers to provide meal or rest breaks for adult employees.

What this means:

  • Employers are generally not required by Idaho law to provide breaks
  • If employers choose to provide breaks, federal rules may apply
  • Certain industry-specific regulations may create break requirements

Source: Idaho Department of Labor FAQ – https://www.labor.idaho.gov/businesses/labor-laws/labor-laws-faq/

Federal Break Standards (If Employer Provides Breaks Voluntarily)

If an employer chooses to provide breaks, the Fair Labor Standards Act (FLSA) provides:

Short Breaks (5-20 minutes):

  • Generally must be counted as compensable work time
  • Considered to benefit employer by improving efficiency
  • Employees cannot be required to clock out

Bona Fide Meal Periods (typically 30+ minutes):

  • May be unpaid if certain conditions are met
  • Employee must be completely relieved of all duties
  • Employee must be free to leave workstation
  • If employee performs any work during meal period, time must be paid

Source: U.S. Department of Labor Fact Sheet #22 – https://www.dol.gov/agencies/whd/fact-sheets/22-flsa-hours-worked

Special Considerations for Minors

Federal child labor laws provide specific break requirements for minors under 16:

  • May not work more than 3 hours on a school day
  • May not work more than 8 hours on a non-school day
  • Other restrictions apply

Source: U.S. Department of Labor Youth Rules – https://www.dol.gov/agencies/whd/youthrules

Remote Worker Break Considerations

For remote workers, break-related compliance may involve unique challenges:

Potential Issues:

  • Verifying that breaks are actually taken
  • Ensuring workers do not perform work during unpaid meal periods
  • Documenting break compliance in virtual environment
  • Handling interruptions during breaks (calls, emails, etc.)

Employers may wish to implement clear policies and verification systems in consultation with legal counsel.

Resources for Overtime and Break Questions

Idaho Department of Labor:

U.S. Department of Labor Wage and Hour Division:

Professional Guidance:

  • Employment attorney
  • HR compliance consultant

Paid Sick Leave Programs

No State-Mandated Paid Sick Leave in Idaho

According to the Idaho Department of Labor, Idaho does not currently have a state law requiring employers to provide paid sick leave to private-sector employees.

What this generally means:

  • Private employers are generally not required by Idaho law to provide paid sick leave
  • Employers may choose to provide paid sick leave voluntarily
  • If provided, employers must comply with their own policies or employment contracts
  • Public-sector employees may have different provisions

Source: Idaho Department of Labor – https://www.labor.idaho.gov/

Federal Leave Protections

While Idaho does not require paid sick leave, certain federal laws may provide unpaid leave protections:

Family and Medical Leave Act (FMLA)

The FMLA provides eligible employees with unpaid, job-protected leave for certain family and medical reasons.

Eligibility Requirements: Employees may be eligible if they:

  • Have worked for a covered employer for at least 12 months
  • Have worked at least 1,250 hours during the 12 months before leave
  • Work at a location with 50+ employees within 75-mile radius

Covered Employers:

  • Private employers with 50 or more employees
  • All public agencies
  • All public and private elementary and secondary schools

Leave Entitlement:

  • Up to 12 weeks of unpaid leave per 12-month period
  • For specified family and medical reasons
  • Job protection and continuation of group health benefits

Qualifying Reasons:

  • Birth and care of newborn child
  • Placement of child for adoption or foster care
  • Care for spouse, child, or parent with serious health condition
  • Employee’s own serious health condition
  • Qualifying exigencies related to military service

Source: U.S. Department of Labor FMLA – https://www.dol.gov/agencies/whd/fmla

Americans with Disabilities Act (ADA)

The ADA may require reasonable accommodations for employees with disabilities, which could include leave as an accommodation in some circumstances.

Source: U.S. Equal Employment Opportunity Commission – https://www.eeoc.gov/laws/guidance/

Employer-Provided Sick Leave Policies

Many Idaho employers choose to provide sick leave as part of their benefits package. When employers provide sick leave:

Legal Obligations:

  • Must comply with established written policies
  • Must apply policies consistently
  • Cannot discriminate in application
  • Must follow any contractual obligations

Common Practices: According to industry surveys, many Idaho employers provide:

  • 5-10 days of paid sick leave annually
  • Accrual-based systems
  • Combined PTO (Paid Time Off) banks
  • Rollover or use-it-or-lose-it provisions

These are voluntary practices, not legal requirements.

School District Employees (Limited Requirement)

According to Idaho Code § 33-1216, certain school district employees may be entitled to sick leave:

Coverage:

  • Non-certified employees working 20+ hours per week
  • Certified employees working half-time or more per week

Accrual:

  • Up to 1 day of paid sick leave per month
  • Amount depends on employment contract and hours worked

⚠️ Note: This provision applies only to school district employees, not private-sector workers.

Source: Idaho Code § 33-1216 – https://legislature.idaho.gov/statutesrules/idstat/Title33/T33CH12/SECT33-1216/

COVID-19 Related Leave (Expired)

The Families First Coronavirus Response Act (FFCRA) provided temporary paid sick leave requirements in 2020. This legislation expired at the end of 2020 and is no longer in effect.

Some employers may have continued FFCRA-style policies voluntarily, but there is no current legal requirement.

Relationship Between FMLA and Sick Leave

When employers provide paid sick leave, employees may be able to use it in conjunction with FMLA:

  • Employers may require or allow employees to substitute paid leave for unpaid FMLA leave
  • Sick leave and FMLA leave may run concurrently
  • Specific coordination should be addressed in employer policies

These interactions can be complex. Employers should consult legal counsel for policy development.

Remote Worker Sick Leave Considerations

For remote workers, sick leave administration may involve unique considerations:

Documentation:

  • May be more difficult to observe employee illness
  • Clear documentation policies recommended
  • Telemedicine verification may be relevant

Communication:

  • Clear notification procedures important
  • Time zone considerations for multi-state teams
  • Virtual communication of policies

Policy Application:

  • Ensure consistent application regardless of work location
  • Consider state-specific requirements for multi-state workforces
  • Document policy in writing

Workers' Compensation Overview

Legal Framework

Statutory Authority: Idaho Code § 72-101 et seq.
Administering Agency: Idaho Industrial Commission

Idaho Industrial Commission Contact:

General Coverage Requirements

According to Idaho statutes and Industrial Commission guidance, workers’ compensation coverage is generally:

Required for: Employers with one or more employees
Type of System: Private insurance market (not a monopolistic state fund)
Coverage Options: Private insurance carriers or self-insurance for qualifying employers

Source: Idaho Code § 72-301 – https://legislature.idaho.gov/statutesrules/idstat/Title72/T72CH3/

Exemptions from Coverage Requirement

According to Idaho Code § 72-212, certain categories may be exempt from workers’ compensation coverage requirements:

Categories that may be exempt:

  • Sole proprietors without employees
  • Partners in a partnership
  • Working members of a limited liability company
  • Corporate officers owning at least 10% of voting stock (if also a director)
  • Casual employment
  • Family members of business owners under certain circumstances
  • Certain agricultural workers
  • Specific occupations as defined in statute

Important: Exempt individuals may elect coverage voluntarily. Exemptions are specific and fact-dependent. Verify status with Idaho Industrial Commission.

Source: Idaho Code § 72-212 – https://legislature.idaho.gov/statutesrules/idstat/Title72/T72CH2/SECT72-212/

Remote Worker Coverage – Critical Information

According to Idaho Industrial Commission guidance, telecommuting workers must be covered by workers’ compensation insurance.

Key Points from Industrial Commission:

  • Out-of-state employers with employees working from home in Idaho are required to be covered by a workers’ compensation insurance policy endorsed for Idaho
  • Coverage is required regardless of whether the employee is full-time, part-time, seasonal, or occasional
  • Telecommuting workers do not meet the criteria for casual employment exemption

⚠️ Critical for Remote Work: If you are an out-of-state employer with even one employee working remotely from Idaho, you generally need Idaho-endorsed workers’ compensation coverage.

Source: Idaho Industrial Commission Employer Information – https://iic.idaho.gov/employer-compliance-division/employer-information/

Obtaining Workers’ Compensation Insurance

Options for Employers:

  1. Private Insurance Carriers
    • Purchase policy from licensed insurance company • Shop among multiple carriers • Rates vary by industry classification and claims history
  2. Self-Insurance
    • Available to large employers meeting specific requirements • Must demonstrate financial capacity • Subject to Industrial Commission approval
  3. Assigned Risk Pool
    • For employers unable to obtain coverage in voluntary market • Contact: National Council on Compensation Insurance (NCCI) • Phone: (800) 622-4123 • Website: https://www.ncci.com/

What Workers’ Compensation Generally Covers

According to Idaho statutes, workers’ compensation benefits may include:

Medical Benefits:

  • Medical treatment for work-related injuries and illnesses
  • Hospital care
  • Medications and medical equipment
  • Generally no co-pays or deductibles for injured worker

Disability Benefits:

  • Temporary disability: Partial wage replacement during recovery
  • Permanent partial disability: Compensation for permanent impairment
  • Permanent total disability: Benefits for workers unable to return to work

Vocational Rehabilitation:

  • May be available for workers who cannot return to previous occupation
  • Retraining and job placement assistance

Death Benefits:

  • Funeral expenses
  • Benefits to eligible dependents

Specific benefit amounts depend on injury circumstances and statutory formulas. Consult Idaho Industrial Commission or claims administrator for specific benefit calculations.

Source: Idaho Code Title 72 – https://legislature.idaho.gov/statutesrules/idstat/Title72/

Remote Worker Coverage Scenarios

General Legal Standard

Workers’ compensation typically covers injuries that “arise out of and in the course of employment.” Application of this standard to remote workers is fact-dependent and requires official agency determination.

Scenario Category: Work-Related Activities in Home Office

Example Situation: Employee trips over computer equipment cables while retrieving work documents from printer in designated home office during work hours.

Factors that may be considered:

  • Activity was work-related (retrieving work documents)
  • Occurred in designated work area
  • During work hours
  • Employer-provided or approved equipment involved

General Observations: Based on general principles, this type of scenario may share some characteristics with situations that have been found compensable in other contexts. However, compensability would depend on complete factual analysis including whether home office was authorized, equipment setup was known to employer, and other specific circumstances.

⚠️ This is not a coverage determination. Actual determination would be made by Idaho Industrial Commission based on all facts.

Example Situation: Employee develops repetitive stress injury (carpal tunnel syndrome) from computer work performed for employer from home office.

Factors that may be considered:

  • Medical documentation linking condition to work duties
  • Duration and nature of work activities
  • Ergonomic setup and employer involvement
  • Whether condition arose primarily from employment

General Observations: Occupational diseases and repetitive stress injuries may potentially be compensable in some circumstances. Determination requires medical evidence and factual analysis of work relationship.

⚠️ This is not a coverage determination. Medical professionals and Idaho Industrial Commission make actual determinations.

Scenario Category: Non-Work Activities at Home

Example Situation: Employee injured while preparing personal lunch in kitchen during designated lunch break.

Factors that may be considered:

  • Whether activity was work-related or personal
  • Whether employee was relieved of all work duties
  • Location of injury relative to work area
  • Whether activity benefited employer

General Observations: Based on general principles, purely personal activities during non-work time may be less likely to be considered work-related. However, specific facts matter.

⚠️ This is not a coverage determination.

Example Situation: Employee injured while exercising in home gym before starting remote workday.

General Observations: Activities before or after work hours that do not benefit the employer are typically considered personal and outside course of employment. However, each situation requires individual analysis.

⚠️ This is not a coverage determination.

Reporting Requirements and Claim Process

According to Idaho regulations, the general process typically involves:

For Employees:

  1. Report injury to employer promptly • As soon as practicable • Delays may affect claim • Verbal and written notification recommended
  2. Seek medical attention • Obtain treatment for injury • Keep documentation of medical care • Follow prescribed treatment
  3. File claim if necessary • File Form 1C (Notice of Injury) with Industrial Commission if dispute arises • Time limits apply

For Employers:

  1. Report to Industrial Commission • File Form FROI (First Report of Injury or Illness) • Deadline: Generally within 10 days of knowledge of injury • File even if disputed
  2. Notify insurance carrier • Immediate notification to workers’ comp carrier • Provide all relevant information • Coordinate claim handling
  3. Maintain records • Document injury circumstances • Keep copies of all reports • Track claim progress

⚠️ Important: Deadlines are strictly enforced. Late reporting may affect benefits and employer liability. When in doubt, report promptly.

Source: Idaho Industrial Commission Claims Information – https://iic.idaho.gov/injured-workers/

Best Practices for Remote Work

The following are general recommendations compiled from various sources, not legal requirements:

For Employers:

  • Consider providing ergonomic equipment or guidelines for home offices
  • Consider documenting remote work locations and setups
  • Develop clear injury reporting procedures for remote workers
  • Provide safety training adapted for remote work environment
  • Consider clear policies on work hours and duties
  • Maintain communication about workplace safety

For Employees:

  • Consider setting up dedicated, safe work area
  • Consider documenting work location and setup
  • Report injuries promptly according to employer procedures
  • Maintain clear boundaries between work and personal time
  • Follow employer safety guidelines and training
  • Keep work area free of hazards where possible

These are recommendations only. Consult Industrial Commission and legal counsel for specific guidance.

Workers’ Compensation Costs

According to industry data for 2025, Idaho workers’ compensation insurance costs vary based on:

Factors Affecting Cost:

  • Industry classification code
  • Payroll amount
  • Claims history (experience modification)
  • Safety programs and loss prevention

Average Cost Examples (2025 estimates):

  • Office jobs: Approximately $0.70-$1.00 per $100 of payroll
  • Construction jobs: Approximately $2.50-$2.65 per $100 of payroll

⚠️ Note: These are general estimates only. Actual costs vary significantly by employer. Contact insurance carriers for specific quotes.

Idaho has experienced rate decreases in recent years, with 2025 seeing an eighth consecutive annual reduction in average rates.

Resources and Contacts

Idaho Industrial Commission:

For Coverage Questions:

For Legal Advice:

  • Workers’ compensation attorney
  • Idaho State Bar Association: (208) 334-4500

Other Leave Entitlements

Military Leave

According to Idaho law, employees who are members of the National Guard or military reserves may be entitled to leave for military training.

Idaho Military Leave Provisions:

According to Idaho Code § 46-224:

  • Up to 15 days of unpaid leave per calendar year for military training
  • Requires 90 days advance notice to employer when possible
  • Does not affect vacation time, sick leave, or other benefits
  • Cannot affect employee’s eligibility for bonuses, promotions, or other employment advantages

Federal USERRA Protections:

The Uniformed Services Employment and Reemployment Rights Act (USERRA) provides additional federal protections:

  • Up to 5 years of cumulative military leave
  • Job protection and reemployment rights
  • Continuation of health benefits for up to 24 months
  • Protection from discrimination

Source: Idaho Code § 46-224 and USERRA – https://www.dol.gov/agencies/vets/programs/userra

Jury Duty Leave

According to Idaho Code § 2-218, employers generally may not discharge, discipline, or penalize employees for jury service.

Requirements:

  • Employers cannot prohibit employees from serving on juries
  • Cannot threaten or coerce employees regarding jury service
  • No requirement to pay employees during jury duty (unless employer chooses to)

Employee Compensation:

  • Jurors receive fees from the court (generally $10-$30 per day)
  • Employers may choose to pay regular wages but are not required to

Source: Idaho Code § 2-218

Voting Leave

According to available information, Idaho does not have a state law requiring employers to provide time off to vote.

Employers may choose to provide voting leave as a matter of policy, but there is no legal requirement.

Bereavement Leave

Idaho does not have a state law requiring bereavement leave for private-sector employees.

Employers may choose to provide bereavement leave, and many do so as part of their benefits packages. Common practices include 3-5 days for death of immediate family member, but this varies by employer.

Public-sector employees may have different provisions under state employment policies.

Domestic Violence Leave

Idaho does not have a state law specifically requiring domestic violence leave for private-sector employees.

Employees experiencing domestic violence may be able to use:

  • FMLA leave (if eligible and situation qualifies)
  • Employer-provided sick leave or PTO
  • Unpaid leave by arrangement with employer

Pregnancy and Parental Leave

Federal FMLA

Eligible employees may take FMLA leave for:

  • Birth of a child and to care for newborn
  • Placement of child for adoption or foster care
  • Up to 12 weeks unpaid, job-protected leave

See FMLA section in Part 2 for eligibility requirements.

Idaho State Law

Idaho does not have additional state-mandated paid parental leave beyond FMLA protections.

Many employers choose to provide paid parental leave as a benefit, but this is voluntary.

Vacation and Paid Time Off (PTO)

Idaho does not require employers to provide vacation or PTO.

However, if employers provide vacation/PTO:

  • Must comply with written policy or employment contract
  • May be required to pay out accrued vacation upon termination if policy states so
  • Can implement “use it or lose it” policies under Idaho law
  • Cannot discriminatorily apply policies

Idaho Case Law: Courts have held that accrued vacation may need to be paid upon separation if employer policy or contract requires it.

Sources:

  • Ferguson v. City of Orofino, 131 Idaho 190 (1998)
  • Jackson v. Minidoka Irrigation Dist., 98 Idaho 330 (1977)

Anti-Discrimination Laws

Idaho Human Rights Act

Statutory Authority: Idaho Code § 67-5901 et seq.
Administering Agency: Idaho Human Rights Commission

Idaho Human Rights Commission Contact:

Coverage and Protected Characteristics

According to Idaho Code § 67-5909, the Idaho Human Rights Act generally prohibits employment discrimination based on:

Protected Characteristics:

  • Race
  • Color
  • Religion
  • Sex (including pregnancy)
  • National origin
  • Age (40 years and older)
  • Disability

Covered Employers: The law generally applies to employers with 5 or more employees for 20 or more calendar weeks in the current or preceding year.

Source: Idaho Code § 67-5909 – https://legislature.idaho.gov/statutesrules/idstat/Title67/T67CH59/SECT67-5909/

Prohibited Practices

According to the Idaho Human Rights Act, employers generally may not:

  • Refuse to hire based on protected characteristic
  • Discharge employees based on protected characteristic
  • Discriminate in compensation, terms, conditions, or privileges of employment
  • Limit, segregate, or classify employees in ways that deprive opportunities
  • Retaliate against employees who oppose discriminatory practices or participate in investigations

Sexual Harassment

The Idaho Human Rights Act prohibits sexual harassment as a form of sex discrimination.

Types generally recognized:

  • Quid pro quo harassment (conditioning employment benefits on sexual favors)
  • Hostile work environment (severe or pervasive unwelcome conduct)

Employers may be liable for harassment by supervisors, coworkers, or third parties depending on circumstances.

Remote Work Considerations

Anti-discrimination laws apply to remote workers in the same manner as on-site employees:

Application to Remote Workers:

  • Same protections apply regardless of work location
  • Virtual workplace conduct subject to policies
  • Online harassment or discrimination prohibited
  • Accommodation requests must be considered

Unique Remote Work Issues:

  • Virtual meeting etiquette and inclusivity
  • Digital communication standards
  • Remote accommodation requests
  • Ensuring equal access to opportunities

Reasonable Accommodations

Disability Accommodations

Under the Idaho Human Rights Act and federal Americans with Disabilities Act (ADA), employers may be required to provide reasonable accommodations for qualified individuals with disabilities.

General Framework:

  • Interactive process to identify accommodations
  • Must be reasonable and not cause undue hardship
  • Common accommodations: Modified schedules, equipment, workspace modifications

Remote Work as Accommodation:

  • Remote work may be a reasonable accommodation in some circumstances
  • Depends on essential functions of job and operational needs
  • Requires individualized analysis

Religious Accommodations

Employers may be required to accommodate sincerely held religious beliefs unless accommodation would cause undue hardship.

Examples of accommodations:

  • Modified work schedules for religious observances
  • Dress and grooming exceptions
  • Prayer breaks

Federal Anti-Discrimination Laws

In addition to Idaho law, federal laws apply to Idaho employers:

Title VII of the Civil Rights Act:

  • Applies to employers with 15+ employees
  • Protects against discrimination based on race, color, religion, sex, national origin
  • Enforced by EEOC

Americans with Disabilities Act (ADA):

  • Applies to employers with 15+ employees
  • Protects against disability discrimination
  • Requires reasonable accommodations

Age Discrimination in Employment Act (ADEA):

  • Applies to employers with 20+ employees
  • Protects workers 40 and older

Equal Pay Act:

  • Requires equal pay for equal work regardless of sex
  • Applies to virtually all employers

Pregnancy Discrimination Act:

  • Prohibits discrimination based on pregnancy, childbirth, or related conditions

Source: U.S. Equal Employment Opportunity Commission – https://www.eeoc.gov/

Filing Discrimination Complaints

Idaho Human Rights Commission:

  • File charge within 1 year of alleged discrimination
  • Commission investigates and attempts conciliation
  • May issue findings and recommendations
  • Website: https://humanrights.idaho.gov/

Federal EEOC:

Legal Counsel:

  • Consider consulting employment discrimination attorney
  • Idaho State Bar referral: (208) 334-4500

 

Remote Work Considerations

Multi-State Employment Compliance

When employers hire remote workers in Idaho while based in other states, or when Idaho employers hire remote workers in other states, various compliance issues arise.

Key Compliance Areas

1. Business Registration

  • Out-of-state employers with Idaho employees may need to register with Idaho Division of Corporations
  • May need Idaho registered agent
  • Nexus considerations for tax purposes

2. Workers’ Compensation

  • Out-of-state employers with Idaho remote workers must carry Idaho-endorsed workers’ compensation coverage
  • Coverage required regardless of employee status (full-time, part-time, occasional)
  • See Workers’ Compensation section in Part 3

3. Unemployment Insurance

  • Unemployment insurance taxes generally paid to state where work is performed
  • Idaho employers must register and pay UI taxes for Idaho-based remote workers
  • Contact Idaho Department of Labor for registration

4. Wage and Hour Compliance

  • Minimum wage: State where work is performed generally controls
  • Overtime: Federal FLSA applies, state law where work is performed may add requirements
  • Break requirements: State where work is performed

5. Leave Laws

  • State-specific leave laws apply based on work location
  • Federal laws (FMLA, etc.) apply regardless of work location for covered employers

Remote Work Policies and Best Practices

Employers with remote workers may wish to consider the following (these are recommendations, not legal requirements):

Written Remote Work Policy:

  • Define eligibility for remote work
  • Specify work hours and availability expectations
  • Address equipment and technology provisions
  • Outline expense reimbursement
  • Define workspace and safety requirements
  • Address data security and confidentiality
  • Include productivity and performance metrics

Time Tracking:

  • Clear procedures for recording hours worked
  • Systems to track overtime for non-exempt employees
  • Documentation of breaks and meal periods
  • Addressing work outside scheduled hours

Communication Standards:

  • Expected response times
  • Communication channels and protocols
  • Meeting schedules and attendance expectations
  • Time zone considerations for multi-state teams

Equipment and Reimbursement:

  • Who provides computer, phone, internet
  • Reimbursement for work-related expenses
  • Maintenance and support procedures
  • Return of equipment upon separation

Data Security:

  • VPN and secure connection requirements
  • Password and authentication policies
  • Handling of confidential information
  • Device security requirements

Home Office Safety Considerations

Employer Considerations:

  • Consider providing ergonomic guidance
  • Consider safety training for home workers
  • Consider home office assessment options
  • Document safety communications

Employee Considerations:

  • Set up dedicated, safe workspace
  • Ensure adequate lighting and ergonomics
  • Keep work area free of hazards
  • Report safety concerns to employer

While Idaho law does not specifically require home office safety programs, workers’ compensation coverage applies to remote workers, making workplace safety relevant.

Wage and Hour Challenges for Remote Workers

Common Issues:

Off-the-Clock Work:

  • Answering emails or calls outside scheduled hours
  • Working during unpaid breaks
  • Working beyond scheduled shift without reporting

Solutions:

  • Clear policies prohibiting unauthorized overtime
  • Regular communication about time reporting
  • Systems to track actual hours worked
  • Supervisor oversight and approval processes

Compensable Time:

  • Required training (including online/virtual)
  • Required meetings (including virtual)
  • Travel time for remote workers (varies by situation)
  • On-call time (depends on restrictions)

Privacy and Monitoring

General Principles:

Employers have legitimate interest in monitoring work performance, but must balance against privacy expectations.

Best Practices:

  • Disclose monitoring practices in writing
  • Limit monitoring to work-related activities
  • Be consistent in application
  • Consider privacy laws and expectations
  • Consult legal counsel before implementing monitoring

Idaho Law: Idaho does not have comprehensive workplace privacy statute, but federal laws and common law privacy principles may apply.

Tax Information

Idaho State Income Tax

Current Tax Structure (2025)

According to the Idaho State Tax Commission, Idaho has a flat income tax rate as of 2025.

2025 Tax Rate: 5.3%

This rate was reduced from 5.695% effective January 1, 2025, following passage of HB 40 in March 2025.

Source: Idaho State Tax Commission – https://tax.idaho.gov/

Who Must File Idaho Income Tax

According to Idaho State Tax Commission guidance, individuals must file Idaho income tax if they are:

Idaho Residents:

  • Required to file if Idaho-source income exceeds standard deduction
  • Taxed on all income regardless of source

Part-Year Residents:

  • Must file if income earned while Idaho resident or Idaho-source income exceeds threshold
  • Taxed on income earned while resident and Idaho-source income while non-resident

Non-Residents:

  • Must file if Idaho-source income exceeds threshold
  • Taxed only on Idaho-source income

Remote Worker Tax Considerations

General Principles:

For Remote Workers Living in Idaho:

  • Generally subject to Idaho income tax on all income
  • Must file Idaho return
  • May be entitled to credit for taxes paid to other states

For Remote Workers Living Elsewhere, Working for Idaho Companies:

  • Generally NOT subject to Idaho tax if work is performed outside Idaho
  • Physical presence and work location generally determine tax obligation
  • Specific situations may vary – consult tax professional

For Idaho Residents Working Remotely for Out-of-State Companies:

  • Generally subject to Idaho tax on income
  • May also owe tax to state where company is located (depends on that state’s rules)
  • May be entitled to credit for taxes paid to other states

⚠️ Complex Area: Multi-state tax situations can be complicated. Consult tax professional familiar with both states’ laws.

Idaho Tax Filing

2025 Key Dates:

  • Tax year 2024 returns due: April 15, 2025
  • Extension deadline: October 15, 2025 (extension to file, not extension to pay)

Filing Options:

  • Idaho participates in IRS Direct File program (starting January 2025)
  • Electronic filing through tax preparation software
  • Paper filing

Source: Idaho State Tax Commission – https://tax.idaho.gov/

Idaho Tax Credits and Deductions

Standard Deduction (2025):

  • Single filers: $15,000
  • Married filing jointly: $30,000

Common Credits and Deductions:

  • Grocery credit (to offset sales tax on food)
  • Idaho child tax credit
  • Retirement income deduction (for taxpayers 65+): Up to $53,710
  • Educational credits
  • Energy efficiency deductions

Social Security Benefits: Not taxed in Idaho

Source: Idaho State Tax Commission – https://tax.idaho.gov/

Federal Income Tax

Remote workers in Idaho are subject to federal income tax like all U.S. workers.

Key Points:

  • Federal tax rates range from 10% to 37% (2025)
  • FICA taxes: Social Security (6.2%) and Medicare (1.45%)
  • Additional Medicare tax (0.9%) on high earners
  • Federal withholding based on Form W-4

Source: Internal Revenue Service – https://www.irs.gov/

Employer Tax Obligations for Remote Workers

Employers with Idaho Remote Workers:

Withholding Requirements:

  • Must withhold Idaho income tax for Idaho-based remote workers
  • Use Idaho Form ID W-4 for withholding
  • Updated withholding tables available from Idaho State Tax Commission

Unemployment Insurance:

  • Register with Idaho Department of Labor
  • Pay Idaho UI taxes on wages of Idaho-based workers
  • Current UI tax rates: 0.352% to 5.4% (varies by employer)

Workers’ Compensation:

  • Must carry Idaho-endorsed coverage for Idaho remote workers
  • See Workers’ Compensation section in Part 3

Federal Taxes:

  • Federal income tax withholding
  • FICA (Social Security and Medicare)
  • FUTA (Federal unemployment tax)

Sales Tax Considerations

Idaho Sales Tax:

  • State rate: 6%
  • Local rates may apply in some jurisdictions
  • No sales tax on groceries

Nexus for Remote Workers: Having remote employees in Idaho may create sales tax nexus for out-of-state businesses, potentially requiring:

  • Sales tax registration
  • Collection of Idaho sales tax on sales to Idaho customers
  • Filing of sales tax returns

This is a complex area. Consult tax professional for specific guidance.

Source: Idaho State Tax Commission – https://tax.idaho.gov/

Tax Resources

Idaho State Tax Commission:

Internal Revenue Service:

Tax Professionals:

  • Certified Public Accountant (CPA)
  • Enrolled Agent (EA)
  • Tax Attorney

Resources

Idaho State Agencies

Idaho Department of Labor

  • Website: https://www.labor.idaho.gov/
  • Phone: (208) 332-3570
  • Address: 317 West Main Street, Boise, ID 83735
  • Purpose: Employment law, unemployment insurance, labor market information

Idaho Industrial Commission

  • Website: https://iic.idaho.gov/
  • Phone: (208) 334-6000 or (800) 950-2110
  • Address: P.O. Box 83720, Boise, ID 83720-0041
  • Purpose: Workers’ compensation, disability benefits

Idaho Human Rights Commission

  • Website: https://humanrights.idaho.gov/
  • Phone: (208) 334-2873 or (888) 249-7025
  • Address: 317 W. Main St., 2nd Floor, Boise, ID 83735-0660
  • Purpose: Discrimination complaints, civil rights

Idaho State Tax Commission

Idaho Division of Human Resources (for state employees)

Federal Agencies

U.S. Department of Labor – Wage and Hour Division

  • Website: https://www.dol.gov/agencies/whd
  • Phone: (866) 487-9243
  • Regional Office (Portland, covers Idaho): (503) 326-3057
  • Purpose: FLSA, FMLA, federal wage and hour laws

U.S. Equal Employment Opportunity Commission (EEOC)

Internal Revenue Service (IRS)

Occupational Safety and Health Administration (OSHA)

Legal and Professional Resources

Idaho State Bar Association

  • Website: https://isb.idaho.gov/
  • Phone: (208) 334-4500
  • Lawyer Referral Service: Available through website
  • Purpose: Attorney referrals

Idaho Society of CPAs

Idaho Legal Aid Services

Idaho State Law Library

Important Idaho Labor Law Posters

Employers must display required labor law posters. Idaho-specific posters include:

  • Idaho Minimum Wage Notice
  • Idaho Unemployment Insurance Notice
  • Workers’ Compensation Notice
  • Federal posters (OSHA, EEOC, FLSA, etc.)

Source for Posters: Idaho Department of Labor – https://www.labor.idaho.gov/

Note for Remote Workers: Federal guidance allows electronic posting for fully remote workers. Consult U.S. Department of Labor guidance on electronic posting requirements.

Frequently Asked Questions

General Employment Questions

Q: What is the minimum wage in Idaho for 2025?

According to the Idaho Department of Labor, Idaho’s minimum wage is $7.25 per hour, which matches the federal minimum wage. This rate applies to most employees with some exceptions for specific categories of workers.

For current rate information, verify with the Idaho Department of Labor at https://www.labor.idaho.gov/

Q: Does Idaho require employers to provide paid sick leave?

Idaho does not have a state law requiring private employers to provide paid sick leave. Employers may choose to offer sick leave as a benefit, and if they do, they must comply with their established policies.

Certain federal protections like FMLA may provide unpaid leave for eligible employees. School district employees have limited sick leave provisions under Idaho Code § 33-1216.

Q: Are breaks required for employees in Idaho?

Idaho does not have state laws requiring meal or rest breaks for adult employees. However, if employers choose to provide breaks, federal Fair Labor Standards Act rules apply regarding whether breaks must be paid.

Short breaks (5-20 minutes) are generally paid, while bona fide meal periods (30+ minutes) may be unpaid if the employee is completely relieved of duties.

Q: Is Idaho an “at-will” employment state?

Yes. According to the Idaho Department of Labor, employment in Idaho is generally “at-will,” meaning employers can terminate employees without notice or cause (subject to exceptions), and employees can leave without notice.

Exceptions include: discrimination-based terminations, retaliation for protected activities, violations of public policy, and employment contracts providing otherwise.

Remote Work Questions

Q: If I work remotely from Idaho for a company based in another state, which state’s labor laws apply?

Generally, the state where you physically perform the work (Idaho) governs most employment law matters including minimum wage, overtime, workers’ compensation, and leave laws. However, this can vary by specific law and circumstance.

The employer’s state may have requirements for out-of-state employees. This is a complex area requiring consultation with legal and tax professionals familiar with both states’ laws.

Q: Does my employer need Idaho workers’ compensation insurance if I work remotely from Idaho?

According to Idaho Industrial Commission guidance, yes. Out-of-state employers with employees working from home in Idaho are required to carry workers’ compensation insurance endorsed for Idaho, regardless of whether the employee is full-time, part-time, seasonal, or occasional.

Source: https://iic.idaho.gov/employer-compliance-division/employer-information/

Q: Am I covered by workers’ compensation if I’m injured while working from home?

Coverage depends on whether the injury “arose out of and in the course of employment.” This is a fact-specific determination made by the Idaho Industrial Commission based on the circumstances of the injury.

Generally, injuries occurring while performing work duties may be covered, while injuries during personal activities or outside work hours typically are not. Each case requires individual analysis. Report work injuries promptly to your employer and consult with the Industrial Commission or legal counsel for specific situations.

Q: Can my employer monitor my computer activity while I work remotely?

Idaho does not have comprehensive workplace privacy laws specifically addressing remote work monitoring. However, employers generally have the right to monitor work-related activities on employer-provided equipment or systems.

Best practices include providing clear written notice of monitoring practices and limiting monitoring to work-related purposes. Employees should review employer policies and consult legal counsel if they have concerns about specific monitoring practices.

Tax Questions

Q: Do I pay Idaho income tax if I work remotely from Idaho?

Generally yes, if you are an Idaho resident or if you physically perform work in Idaho. Idaho residents pay Idaho income tax on all income regardless of source. Non-residents pay Idaho tax only on Idaho-source income.

The location where work is physically performed typically determines whether income is Idaho-source income for tax purposes. Consult tax professional for specific situations.

Source: Idaho State Tax Commission – https://tax.idaho.gov/

Q: What is Idaho’s income tax rate for 2025?

As of January 1, 2025, Idaho has a flat income tax rate of 5.3% for individual income. This was reduced from 5.695% through legislation passed in March 2025.

Source: Idaho State Tax Commission – https://tax.idaho.gov/

Q: If I live in Idaho but work remotely for an out-of-state company, do I pay taxes in both states?

Potentially yes. As an Idaho resident, you generally owe Idaho income tax on all income. The other state may also claim tax if you have sufficient connection to that state (though typically states tax based on where work is performed, not where the employer is located).

Idaho provides a credit for taxes paid to other states to avoid double taxation. This is a complex area requiring consultation with a tax professional familiar with both states’ laws.

Classification Questions

Q: How do I know if I should be classified as an employee or independent contractor in Idaho?

Idaho uses different tests depending on the purpose:

For workers’ compensation: Idaho applies the “right to control” test examining factors like who controls how work is done, who provides tools and equipment, payment methods, and permanency of relationship.

For unemployment insurance: Idaho Code § 72-1316 establishes criteria that must generally be met for independent contractor status.

Classification is fact-specific and should be determined with guidance from legal counsel or the relevant Idaho agency (Industrial Commission for workers’ comp, Department of Labor for unemployment insurance).

Q: What happens if a worker is misclassified?

Misclassification can result in various consequences depending on the context:

Potential consequences may include back payment of unemployment insurance taxes, workers’ compensation premium adjustments, wage and hour claim liability, tax penalties at state and federal levels, and administrative penalties.

Actual consequences depend on specific facts, severity, and which agency discovers the misclassification. Consult legal counsel if you have concerns about worker classification.

Leave Questions

Q: Am I entitled to leave under the Family and Medical Leave Act (FMLA)?

You may be entitled to FMLA leave if you:

  • Work for a covered employer (50+ employees within 75-mile radius, or public agency)
  • Have worked for the employer for at least 12 months
  • Have worked at least 1,250 hours in the 12 months before leave
  • Need leave for a qualifying reason (serious health condition, new child, military family leave)

FMLA provides up to 12 weeks of unpaid, job-protected leave per year for eligible employees.

Source: U.S. Department of Labor – https://www.dol.gov/agencies/whd/fmla

Q: Does Idaho require paid family or parental leave?

No. Idaho does not have a state law requiring paid family or parental leave for private employers. Eligible employees may use federal FMLA for unpaid leave. Many employers choose to provide paid parental leave as a benefit.

Discrimination Questions

Q: What should I do if I believe I’ve experienced workplace discrimination?

If you believe you’ve experienced discrimination based on a protected characteristic (race, color, religion, sex, national origin, age, disability), you may:

  1. Follow internal complaint procedures if your employer has them
  2. File a charge with the Idaho Human Rights Commission within 1 year: (208) 334-2873 or https://humanrights.idaho.gov/
  3. File a charge with the federal EEOC within 300 days: (800) 669-4000 or https://www.eeoc.gov/
  4. Consult with an employment discrimination attorney

Q: Are remote workers protected from discrimination the same as on-site workers?

Yes. Anti-discrimination laws protect remote workers in the same manner as on-site employees. Discrimination based on protected characteristics is prohibited regardless of work location. This includes virtual workplace conduct, online harassment, and discriminatory treatment in remote work arrangements.

Additional Information

For questions not answered here:

  • Review the relevant sections of this guide
  • Contact the appropriate Idaho state agency
  • Consult with licensed legal, tax, or HR professionals
  • Verify current law before making decisions

Others

Utah
Montana
Wyoming
Washington
Oregon

Legal Disclaimer: This guide provides general background information only and does not constitute legal, tax, or professional advice. Employment laws are complex and subject to interpretation. Consult licensed legal counsel and official state agencies for guidance specific to your situation.