It’s Friday afternoon, and you’re finally clearing off your desk when you unearth a stack of job applications from a hiring round six months ago. Can you toss them? What about the safety logs from last year? These small decisions carry significant weight, as Washington’s record retention laws are both strict and specific. Forgetting to keep the right file or shredding something too soon can put your business in a tough spot during an audit. The rules can feel confusing, especially since washington law requires licensees to keep records for at least different lengths of time for different industries—from real estate to healthcare. Here’s a clear, actionable breakdown of what you need to hold onto, helping you stay compliant and organized.

Washington employers are required to keep the following records in addition to, or in tandem with, those required under federal law.

Employment of Minors

Pursuant to Wash. Rev. Code Ann. §§ 49.12.121 – 49.12.124, Washington employers must create and maintain records on each minor employed. These records must be maintained for three years from the last date of the minor’s employment and must contain the following for each minor:

Employee name, address, and occupation.
Dates of employment.
Rate(s) of pay.
Amount paid each pay period and hours worked.
Proof of age. The date of birth must be supported by proof. Acceptable forms of proof are:
- A driver’s license or passport.
- A Social Security card along with either a birth certificate or a baptismal record.
- A notarized statement of a parent or guardian.
A copy of the completed parent/school authorization form with any attachments.
A copy of any variance obtained by the employer.

GET STARTED

Hiring Minors? What Are the Work Permit Rules?

Washington employers employing any minor under the age of 18 must obtain a work permit and keep it on file during the employment of the minor. Upon termination of the minor, the employer must return the permit to the Department of Labor and Industries.

Fair Employment Practices

How to Handle Applicant Records and Protected Data

Pursuant to Wash. Admin. Code 162-12-160, data on protected status may not be recorded on any record that is kept in the applicant’s pre-employment file, nor in any other place or form where it is available to those who process the application. Application records that identify the protected status of a particular person must be kept confidential, except to the extent necessary to implement an affirmative action program as authorized by law, to permit the compilation of statistics, and to permit verification of the statistics by top management or by the Washington State Human Rights Commission.

Managing Records After an Employee Leaves

According to Wash. Admin. Code 162-12-180, employers may make and keep post-employment records regarding a person’s protected status if the records are not used for discriminatory purposes. Employers must keep confidential all pre-employment and post-employment records regarding a person’s protected status.

Running an Apprenticeship Program? Here’s What to Keep

Pursuant to Wash. Admin. Code 296-05-318, Washington employers utilizing apprenticeship or training programs must keep records on selected and rejected applicants for a minimum of five years. These records must allow the identification of minority and female applicants and include the following:

Selection of applicants:
- A summary of the qualifications of each applicant.
- The basis for evaluation and for selection or rejection of each applicant.
- The records pertaining to the interviews of applicants.
- The original application for each applicant.
Operation of the apprenticeship program:
- On-the-job training assignments.
- Promotion, demotion, layoff, or termination.
- Rates of pay or other forms of compensation or conditions of work.
- Hours of training provided on-the-job by work process and in related/supplemental instruction in accordance to the sponsor’s approved plan.
- Signed and approved training agency agreement forms.
- Any other records needed by Washington State Apprenticeship and Training Council to determine compliance with these rules.
Equal employment opportunity plans:
- A copy of the program’s complete equal employment opportunity plan. All data and analysis made to determine enrollment deficiencies.
- Evidence that equal employment opportunity plans are reviewed on an annual basis.
- Evidence that equal employment opportunity plans, goals and timetables are updated when necessary.
Documentation necessary to establish a sponsor’s good faith effort in implementing its equal employment opportunity plan:
- Who was contacted.
- When the contacts were made.
- Where the contacts occurred.
- How the contacts were made.
- The content of each contact.
Qualification standards: Evidence that the sponsor’s qualification standards meet the requirements of Wash. Admin Code 296-05-316.

Keeping Payroll Records for Prevailing Wage Projects

According to Wash. Admin. Code 269-127-320, each contractor must keep accurate payroll records for three years from the date of acceptance of the public works project by the contract awarding agency, showing the name, address, Social Security number, trade or occupation, straight time rate, hourly rate of usual benefits as defined by Wash. Admin. Code 296-127-014(1), and overtime hours worked each day and week, including any employee authorizations executed pursuant to Wash. Admin. Code 296-127-022, and the actual rate of wages paid, for each laborer, worker, and mechanic employed by the contractor for work performed on a public works project.

Unemployment Compensation

According to the Washington Employment Security Department, Washington employers must keep the following information on file for each employee for at least four years from the date taxes were paid:

Employee name and Social Security number.
Dates of employment.
Basis of pay (such as hourly or monthly).
Location of work.
Daily record of hours worked.
Gross pay for each pay period.
Payroll reductions for each pay period.
Reason for discharge or for quitting, if applicable.

Employers must also keep records for each employee that the employer is not required to report for at least four years from the end of the year in which the employee was paid.

Wage and Hour

Record-Keeping Under the Minimum Wage Act

Pursuant to Wash. Admin. Code 296-128-010, employers must keep the following records for employees covered by the Minimum Wage Act:

Name in full, and on the same record, the employee’s identifying symbol or number if such is used in place of name on any time, work, or payroll records. This must be the same name as that used for Social Security record purposes.
Home address.
Occupation in which employed.
Date of birth if under 18.
Time of day and day of week on which the employee’s workweek begins. If the employee is part of a workforce or employed in or by an establishment all of whose workers have a workweek beginning at the same time on the same day, a single notation of the time of the day and beginning day of the workweek for the whole workforce or establishment will suffice. If, however, any employee or group of employees has a workweek beginning and ending at a different time, a separate notation must then be kept for that employee or group of employees;
Hours worked each workday and total hours worked each workweek. A workday is any consecutive 24 hours).
Total daily or weekly straight-time earnings or wages; that is, the total earnings or wages due for hours worked during the workday or workweek, including all earnings or wages due during any overtime worked, but exclusive of overtime excess compensation.
Total overtime excess compensation for the workweek; that is, the excess compensation for overtime worked which amount is over and above all straight-time earnings or wages also earned during overtime worked.
Total additions to or deductions from wages paid each pay period. Every employer making additions to or deductions from wages must also maintain a record of the dates, amounts, and nature of the items which make up the total additions and deductions.
Total wages paid each pay period.
Date of payment and the pay period covered by payment.
Paid sick leave accruals each month, and any unused paid sick leave available for use by an employee.
Paid sick leave reductions each month including, but not limited to: Paid sick leave used by an employee, paid sick leave donated to a co-worker through a shared leave program, or paid sick leave not carried over to the following year.
The date of commencement of employment.

Employers may use symbols where names or figures are called for so long as such symbols are uniform and defined. The records must be kept for three years and open for inspection or transcription by the Director of Labor and Industries or an authorized representative at any reasonable time.

Complying with the Industrial Welfare Act

Pursuant to Wash. Rev. Code Ann. §§ 49.12.005 – 49.12.903, employers covered by the Industrial Welfare Act (IWA) must keep records of the following:

The names of all employees.
The address and occupation of each employee.
Dates of employment.
Rate or rates of pay, amount paid each pay period, and the hours worked.

Records must be kept for three years. These records include the original time records, including dates and hours worked, recorded on time sheets, time clocks, time cards, computer-generated time records, video camera (if used as a means of record keeping by the employer), or any other method of recording hours worked.

Workers’ Compensation

Essential Payroll and Tax Records to Keep on File

Pursuant to Wash. Admin. Code 296-17-35201, employers must keep records that will allow the Department of Labor and Industries to compute premiums. These records must be kept for three years and be open for inspection or duplication by the department. Records must include the following information on each employee:

Employee name, address and Social Security number.
Date hired (and terminated, if applicable).
Job title and type of work performed.
Type of compensation (hourly, salary, commission, etc.).
Pay period.
Actual hours worked each day.
Gross pay.
Deductions from earnings and the purpose of each deduction.
Net pay.
Check numbers of checks issued.

In addition to payroll and time records, the following tax records must be maintained for at least three years:

Unemployment tax returns from the Employment Security Department.
State excise tax returns from the Department of Revenue.
Internal Revenue Service forms and tax returns. For example, W-2 statements, Form 941 (quarterly report), Form 1099 (miscellaneous income), Form 1065 (partnership return), Form 1040 (Schedule C).

Other records and information that may need to be referenced include:

Check registers.
Canceled checks.
Cash disbursement journal (materials and supplies; miscellaneous contract labor).
Corporation documents, articles of incorporation, bylaws, and minutes of meetings.
Contracts, invoices, financial statements, worksheets maintained for industrial insurance reports, and subcontractor records, specifically:
- Legal name.
- Registration or license number.
- UBI or L&I account ID number.

What Accident and Safety Records Are Required?

According to the Wash. Admin. Code 296-17-35201, employers must maintain accurate records of work-related deaths and of injuries and illnesses requiring treatment beyond first aid. Accident-related records that should be kept are:

The injured worker’s Report of Accident.
The supervisor’s Report of Accident.
Industrial insurance claim log.
Claim date record.
OSHA 300 log, if the employer has 10 or more employees at all times during the calendar year at all of its business locations combined.

Employers must keep and make available to the Department of Labor and Industries records of the employers’ activities related to employees’ health and safety. Employers are also required to maintain accurate records of employees’ exposure to potentially toxic materials or harmful physical agents.

Industry-Specific Record-Keeping Requirements

Beyond the general employment laws that apply to everyone, many industries in Washington have their own specific rules for retaining records. These regulations often relate to the nature of the business, client confidentiality, and state licensing requirements. Failing to follow these industry-specific mandates can lead to serious compliance issues, so it’s crucial to know what applies to your business. Understanding these nuances helps you protect your company, your clients, and your license to operate. Here’s a look at the requirements for several key sectors across the state, including general business, real estate, law, healthcare, and more.

General Business and Tax Records

For most businesses, the Washington Department of Revenue sets a straightforward baseline. You are required to keep your general business and tax records for at least five years. This includes things like income statements, expense reports, and tax filings. Think of this as the minimum standard for demonstrating compliance and running a sound operation. While five years is the general rule, remember that other regulations, especially those tied to your specific industry or federal laws, might require you to hold onto certain documents for much longer. It’s always best to confirm if more stringent rules apply to your field.

Real Estate Licensees

If you operate a real estate firm, your record-keeping duties are tied directly to your transactions. Washington state law requires firms to maintain all transaction folders for a minimum of three years. These folders are the complete history of a deal and should contain everything from purchase and sale agreements to correspondence and closing statements. Proper retention ensures you have the necessary documentation on hand in case of any future disputes or audits, protecting both your brokerage and your clients. Keeping these files organized and accessible is a core part of maintaining your professional license and reputation.

Attorneys

For legal professionals, the standards for record-keeping are particularly high, reflecting the sensitive nature of their work. The Washington State Bar Association mandates that attorneys must hold onto trust account records and any records of client property for at least seven years. This extended period is designed to protect client funds and property, ensure transparency, and uphold the ethical obligations of the legal profession. Meticulous record-keeping is not just a compliance task; it’s fundamental to building and maintaining client trust and the integrity of your practice.

Healthcare Providers

In the healthcare field, patient record retention is governed by strict rules designed to ensure continuity of care and protect patient information. For adult patients, you must maintain records for three years after their services have ended. The rule for minors is more complex, requiring records to be kept for either three years after the client turns 18 or five years after discharge, whichever period is longer. This specific requirement ensures that a young person’s complete medical history is available well into their adulthood, which is critical for long-term health management and treatment decisions.

Keeping these records straight is not just about compliance; it’s fundamental to patient care and simplifies processes like insurance claims and benefits administration. Organized, accessible patient histories allow for seamless coordination between providers and are essential for accurate billing and claim submission. At WHIA, we often see how good data management at the provider level leads to a smoother experience for employees using their benefits. A streamlined administrative process is key to a successful benefits program, and it all starts with accurate, well-maintained records that support your team’s health journey.

Home Care Agencies

Home care agencies fall under the same healthcare regulations, with specific attention paid to the continuity of care in a home setting. You must keep client records for three years after services end for adults. For minors, the requirement is to hold records for three years past their 18th birthday or five years after discharge, whichever is longer. Given the close, ongoing relationships home care providers have with clients, these records are vital for tracking patient progress, coordinating with other medical professionals, and ensuring consistent, high-quality care over time. Accurate documentation is the backbone of effective in-home care.

Mortgage and Loan Licensees

For mortgage brokers and loan licensees, record retention involves navigating both state and federal rules. In Washington, you are generally required to keep records for three years after the final entry. However, this can be influenced by federal requirements, which may mandate a different timeline. For instance, some mortgage transaction records only need to be kept for 25 months. Because of this variability, it’s essential to understand both sets of regulations to ensure you are fully compliant and prepared for any audits from state or federal agencies. Staying on top of these overlapping rules is a key part of risk management in the financial industry.

Liquor and Cannabis Licensees

Businesses in the liquor and cannabis industries operate under tight regulatory scrutiny, and record-keeping is a major component of compliance. For both liquor and cannabis licensees in Washington, you are required to preserve all business records for a period of three years. This includes everything from purchase invoices and sales data to compliance documentation. Maintaining accurate and complete records is not optional—it’s a condition of your license. Regular audits are common in these industries, so having your paperwork in order is essential for smooth operations and staying in good standing with the state.

Frequently Asked Questions

Is there a simple rule of thumb for how long to keep general employee records? While there isn’t a single magic number for everything, a good baseline is to plan on keeping most core employment, payroll, and wage records for at least three to four years after an employee leaves. However, this is just a starting point. Records related to taxes, workers’ compensation, or legal matters often have longer retention periods, so it’s important to identify which documents fall into those more specialized categories and treat them accordingly.

What’s the biggest risk if my business doesn’t follow these retention rules? Failing to keep proper records can leave your business vulnerable during an audit from a state agency like the Department of Labor & Industries. Beyond potential fines, not having the right documentation makes it incredibly difficult to defend your company’s actions if a former employee files a claim or lawsuit related to wages, discrimination, or a workplace injury. Proper record-keeping is your best evidence that you acted fairly and in compliance with the law.

Do I have to keep stacks of paper files, or are digital copies acceptable? Digital records are perfectly acceptable, and frankly, much easier to manage. The key is to ensure your digital files are secure, legible, and can be easily accessed and printed if a state agency requests them. Make sure you have a reliable backup system in place to protect against data loss and that any sensitive employee information is stored with strong security measures to maintain confidentiality.

What about the applications for people we didn’t end up hiring? Do we need to keep those? Yes, you should hold onto those records. For general job applicants, keeping their applications and any related hiring documents for at least two years is a smart practice to protect your business from potential discrimination claims. If you run an apprenticeship program, the rules are even stricter—you must keep records on all applicants, both selected and rejected, for a minimum of five years.

My specific industry wasn’t mentioned in the article. How do I find out which rules apply to me? If your industry wasn’t listed, start by following the general state requirements for all employers, such as those from the Department of Revenue and Labor & Industries. From there, check with your industry’s specific licensing board or professional association in Washington. These organizations almost always have their own set of record-keeping standards you’ll need to follow to maintain your license and stay in good standing.

Key Takeaways

Know the specific retention periods for different employee records: Washington law sets distinct timelines for everything from payroll and minor employment files to unemployment and workers’ comp documents, most of which must be kept for at least three years.
Look beyond general rules for industry-specific mandates: Your business sector—whether it’s healthcare, real estate, or law—likely has its own unique record-keeping requirements that go beyond standard employment laws. Staying compliant means knowing both.
Establish a formal record retention policy: The best way to manage compliance is to create a clear, documented system that outlines what to keep, where to store it, and when it’s safe to dispose of it. This removes guesswork and prepares you for any potential audits.