Onboarding a new hire in Nigeria: the complete compliance checklist

Good onboarding does two jobs at once: it makes a new hire productive and welcome, and it closes every compliance obligation that attaches the moment someone joins. Skip the compliance half and you accumulate quiet liabilities — an un-enrolled pension, a missing PAYE registration. This checklist covers both, in order, for a Nigerian employer.

Onboarding checklist at a glance

Sources: Labour Act (Cap L1 LFN 2004); PenCom; NSITF; relevant State Internal Revenue Service.

1. Before day one — documents to collect

Gather the new hire's key identifiers and details before they start, so payroll and statutory setup can proceed:

• National Identification Number (NIN)
• Tax Identification Number (TIN) (or help them obtain one)
• Pension RSA PIN and their Pension Fund Administrator (or arrange RSA opening)
• Bank account details and BVN
• Next of kin / beneficiary details (also needed for group life and pension)
• Educational/professional certificates and references
• A signed copy of the employment contract

2. Issue a compliant contract

Give the new hire a written employment contract covering the statutory particulars — parties, job, pay, hours, leave, notice, and termination — and get it signed. The Labour Act expects the written terms within three months of engagement; issuing them on or before day one is best practice and removes any ambiguity from the start. Store the signed copy against the employee's record.

3. Complete the statutory registrations

This is the compliance core of onboarding:

• Pension — enrol the employee in the Contributory Pension Scheme. Confirm their RSA and PFA, and set up the monthly contribution (minimum 18% of Basic + Housing + Transport, split employer ≥10% / employee ≥8%), remitted within seven working days of paying salaries.
• NSITF — add the employee to your Employee Compensation Scheme cover (employer contributes 1% of payroll).
• PAYE — add the employee to your payroll schedule with the State Internal Revenue Service for their state of residence, so PAYE is deducted and remitted from their first month.
• Group life — ensure the employee is covered under your group life policy (minimum 3× annual total emoluments under the Pension Reform Act 2014).

4. Set up payroll correctly

With the statutory pieces in place, configure the employee in payroll:

• Salary structure (basic, housing, transport, allowances).
• Bank details for net-pay transfer.
• Tax position — including any rent relief declaration under NTA 2025, and their NHF choice (voluntary for private-sector staff from 2026).
• Confirm the first payslip will itemise earnings and deductions correctly.

Getting the structure right on setup means every future run is correct.

5. The first week — orientation and policies

Compliance done, focus on making the hire effective:

• Workspace, equipment, and system access ready on day one
• Introduce the team and the manager; set 30/60/90-day expectations
• Walk through key policies (leave, code of conduct, expenses, IT/security)
• Confirm how and when they'll be paid, and how to view payslips
• Schedule an end-of-week manager check-in

6. Why the order matters

Front-loading the statutory steps means the new hire's first payroll run is compliant — PAYE deducted and remitted to the right state, pension enrolled, NSITF covered. Employers who "sort it out later" often discover months of back-obligations and penalties. A tight onboarding checklist turns that risk into a routine.

AnooreHR turns onboarding into a guided flow: collect the new hire's documents, generate and e-sign the contract, enrol them in pension and NSITF, and add them to state-aware PAYE — with a checklist that doesn't let a statutory step slip. Book a demo or sign up free to run a compliant onboarding.

Frequently asked questions

Related: Hire your first employee in Nigeria under NTA 2025 · Employment contracts in Nigeria (+ free template) · See pricing