Beyond the recruitment, compensation and tax implications there are infrastructure costs associated with hiring an employee based in the US.
Working from Home
There are three places that a US employee can based from. Their home, an office or on the road (particularly in sales roles).
Employees based from home will expect, at a minimum, a company to provide a computer or laptop (more common), an internet connection, and either a company cell phone or reimbursement against their personal cell phone usage.
Services such as Skype provide free video-conferencing, more advanced video conferencing, file sharing etc. And as paid services will be required, this also adds to the infrastructure costs.
Work from an Office
An organization that envisages short to medium term growth of its presence in the US may opt to lease an office space. The most flexible solution is to rent from office space provider such as:
These companies offer a range of options including fully serviced office spaces that include reception areas, conference rooms, the use of a receptionist who will answer and route calls using the company name and receive and handle mail.
Leasing a standalone office space has different challenges including the provision of utilities (including water, electric and internet access, among others), maintenance arrangements and the potential for building modification for the layout and purpose of the company. This path is better suited to more established organizations or those who have a team of employees.
On the Road
For organizations with full-time sales employees, it is not uncommon for them to be based out of hotels during the week while they travel to potential or existing clients, returning home at the end of the week. Businesses should expect to cover all expenses (including a company car or mileage reimbursement and hotel accommodation) and provide a per diem to cover the costs of meals and other out of pocket expenses.
One common method for covering employee costs is to provide the employee with a company credit card and then have them submit receipts with each monthly statement.