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Audits Rising: I-9 Compliance Checklist: 5 Things You Need to Know for 2025

Publication date: January 16, 2025

 

If you’ve been in HR for any amount of time, you know what an I-9 is—and that it’s been around for over 30 years (well, maybe you just learned that part today). So why is there so much buzz around this process now? Here’s why: the new Trump Administration is expected to focus heavily on immigration compliance, and the business and HR world is bracing for a significant uptick in I-9 audits. Translation? It’s more important than ever to ensure your files are audit-ready!

A Quick History Lesson

How did we get here, and why does it matter? The Immigration Reform and Control Act of 1986 (IRCA) was designed to address illegal immigration in the United States. The law requires employers to verify that individuals they hire are eligible to work in the United States. The method? Completing a Form I-9 for every employee. It’s straightforward, but the stakes are high. 

What to Expect in 2025

  • Increased focus on compliance: The new Administration is expected to ramp up audits. 
  • Updated rules for remote verification: Stay informed about recent DHS guidance. 
  • Higher penalties for non-compliance: Don’t risk hefty fines or reputational damage. 

If you’re starting to panic about whether or not you’re in compliance, fear not, CPG always has your back. Here are 5 steps to help ensure you’re rocking your I-9s like a pro! 

Step 1: Know Who Needs an I-9

Your organization might have a variety of people under its umbrella: volunteers, employees, independent contractors, board members, etc. But here’s the key: you only need an I-9 for current employees performing work in the U.S. You shouldn’t have I-9s for non-employees such as volunteers, independent contractors, or consultants. If you do, remove those forms from your official I-9 file immediately.

Step 2: Complete Your Forms Correctly

  • Section 1: New hires must complete this by their first day of work. Employers must ensure employees sign and date the form—any missing information could land you in hot water. 
  • Section 2: Employers must complete this within three business days of hire. Pro tip: write your company name and ID at the top of every document in case pages get separated. 
  • Double-check for errors. Common mistakes include: 
    • Failing to complete Section 1 
    • Leaving the immigration status box unchecked 
    • Missing signatures or dates 
    • Missing full address 
    • Missing Social Security numbers (if using E-Verify

Step 3: Verify Employee Documents

  • Accept only unexpired documents. Expired documents are a no-go. 
  • Familiarize yourself with the lists of acceptable documents (found at the end of Form I-9 or by following this link). 
  • Inspect documents physically, unless you use E-Verify. For more info on how to remotely examine documents, check out this resource. 
  • Don’t over-document. Asking for more than what is required is illegal. 
  • Don’t specify which documents employees should provide. As long as documents are unexpired, genuine-looking, and on the list of acceptable documents, they’re good to go. 
  • Don’t accept photocopies. Originals only. 
  • If an employee reveals they’re unauthorized to work or provides false documentation, you must terminate their employment. 

Step 4: Maintain & Store I-9s Properly 

  • Keep I-9s for active employees and for three years after hire or one year after termination (whichever is later). After that, you can purge them. 
  • Use secure storage to protect sensitive information. 
  • Store I-9s and supporting documents separately from personnel files. While federal law doesn’t require keeping copies of supporting documentation, doing so is often recommended (and may be required by some state laws). For example, if you forgot to record a driver’s license expiration date, having a copy handy could save you during an ICE or DHS inspection. Whichever route you choose, be consistent. 

Step 5: Audit Your Records Regularly 

Auditing I-9s isn’t glamorous, but it’s essential. Make a plan once a year to: 

  • Check for errors and follow strict IRS guidelines for making corrections:
    • Employers should create an audit log to show good-faith efforts toward compliance. 
    • Ideally, audits should be performed by someone other than the person who originally filled out the forms.
    • For employer errors, refer to official guidance on self-corrections, found here. 
    • For employee errors in Section 1, ask the employee (or their preparer/translator) to correct the form. 
  • Stay prepared for audits. Federal agents can only inspect I-9s in person or via certified mail. You’ll be notified of any inspection and given at least three days to produce documents. 

Why Does This Matter?

It’s not just paperwork—it’s the law. Failing to comply can lead to: 

  • Hefty fines. 
  • Legal penalties. 
  • Damage to your organization’s reputation. 

Need help? The team at CPG is here to assist. And don’t forget, I-9 Central from USCIS offers excellent resources for navigating I-9 documentation and audits. 

Are your I-9s audit-ready? If not, let’s get to work!