What is the subsidiary field in onboarding, and why is it required?

The subsidiary field is a required field in onboarding when a company has multiple payroll entities (also known as as multi-EIN).

For example: Company A owns companies B and C. Companies B and C are separate payroll subsidiaries with unique EINs linked to parent company A. An employee can work for company A, but be paid through company B, company C, or both.

The subsidiary field is required in onboarding so the new employee is paid from the correct payroll entity.