What I-9 Mistakes Can Put Your Medical Practice at Risk?

Medical Answer

Common I-9 mistakes can create significant compliance risk for physician practices.

Form I-9 is the federal employment eligibility verification form used to document an employee’s identity and authorization to work in the United States. Employers have specific responsibilities for completing, maintaining, and, when appropriate, updating these records.

Some of the most serious I-9 mistakes are also the easiest to make: using the wrong form, completing it late, leaving information blank, mishandling remote verification, requesting specific documents from employees, improperly reverifying work authorization, and assuming an outside HR vendor is responsible for compliance.

Also, the enforcement environment has become more aggressive and that errors employers previously may have viewed as minor can create significant exposure. This makes proactive I-9 auditing particularly important – a seemingly small administrative mistake can become much more important when your records are inspected.

Practices need to pay close attention to reverification, temporary work authorization, record retention, and the work performed by third-party HR vendors. Regular internal I-9 audits and consistent written procedures can help practices identify and correct problems before a government inspection.

Mistake #1: Using the Wrong Form I-9

One of the easiest mistakes to prevent is using an obsolete version of Form I-9. Don’t assume your HR software or outside vendor has automatically updated its process.

When a new Form I-9 edition becomes applicable, check every place the form could exist:

• Printed new-hire packets
• Shared HR folders
• Electronic onboarding systems
• Payroll software
• HR platforms
• Third-party onboarding vendors

Remove obsolete copies from circulation so an employee or manager doesn’t accidentally use the wrong version.

Mistake #2: Completing the Form Too Late

Form I-9 has specific completion deadlines. The employee generally completes Section 1 no later than the first day of employment, while the employer generally must complete Section 2 within three business days of the employee’s first day of employment. That’s easy to miss in a busy medical office.

A new medical assistant starts Monday. The practice manager gets pulled into a staffing shortage, patient complaint, physician meeting, and payroll problem. Suddenly, several days have passed and the I-9 hasn’t been completed.

Don’t rely on memory. Build the I-9 deadlines directly into your new-hire checklist and assign responsibility to a specific person.

Mistake #3: Leaving Required Information Incomplete

Incomplete forms are another avoidable problem. An I-9 shouldn’t be filed without someone first reviewing it for completeness.

Create a quality-control step in your onboarding process. Before the form is considered complete, verify that required information has been provided and that the appropriate sections have been completed and signed.

Catching a missing field during onboarding is much easier than discovering the problem years later during an internal or government review.

Mistake #4: Telling Employees Which Documents to Bring

This is an especially important mistake because an HR employee may think they’re being helpful.

Avoid telling a new employee: “Bring your driver’s license and Social Security card.”

Instead, provide the employee with the appropriate list and allow them to select qualifying documentation. Employees must be allowed to choose which acceptable documentation they present from the Form I-9 Lists of Acceptable Documents.

Your onboarding staff should understand the difference between acceptable combinations of documents rather than routinely requesting the same documents from everyone.

Mistake #5: Asking for Too Many Documents

More documentation isn’t necessarily better. Once an employee has presented acceptable documentation that satisfies the applicable Form I-9 requirements, don’t automatically request additional identity or work authorization documents simply because you’d prefer to have them in the file.

This practice is sometimes referred to as over-documentation. Train employees responsible for onboarding to understand what is required rather than collecting every identification document a new hire happens to bring.

Mistake #6: Rejecting a Document Simply Because It Looks Unfamiliar

Your HR employee may occasionally encounter an acceptable document they’ve never seen before. That can make staff nervous, but unfamiliar doesn’t automatically mean invalid.

Your staff should understand the standard that applies when examining documents rather than making decisions based solely on familiarity. This is an excellent example of why I-9 training matters. Employees responsible for document examination need to know what they’re expected to evaluate and when a question should be escalated.

Mistake #7: Mishandling Remote I-9 Document Examination

Remote employment has made I-9 compliance more complicated for many physician practices. Your organization may employ remote:

• Medical billers
• Coders
• Credentialing specialists
• Schedulers
• Revenue cycle employees
• Administrative staff

Don’t assume that because an employee works remotely, you can automatically examine I-9 documents over a video call. An alternative procedure for remote document examination is available to certain qualifying employers, including requirements connected with participation in E-Verify.

If you hire remotely, make sure your onboarding team understands exactly which procedure your organization uses and whether your practice qualifies to use it.

Mistake #8: Assuming You’re Properly Enrolled in E-Verify

Don’t rely on institutional memory.

Someone may say: “We’ve always used E-Verify.”

Verify it. This becomes especially important if your practice relies on its E-Verify participation when using an authorized alternative procedure for remote document examination.

Determine:

• Whether your practice is enrolled.
• Which hiring sites are covered.
• Who is authorized to use the system.
• Whether required procedures are being followed.
• Whether your onboarding workflow matches your actual enrollment.

If you use an HR or payroll company, don’t assume the vendor’s participation automatically means your practice satisfies every applicable requirement.

Mistake #9: Reverifying Employees Incorrectly

Reverification is an area where well-intentioned HR teams can create unnecessary risk. Not every expiring document requires reverification.

Conversely, certain employees with temporary employment authorization may require action when their work authorization expires.

Your HR process should clearly identify:

• Which employees require reverification.
• Which documents should not be reverified.
• When reverification must occur.
• How Supplement B should be used when applicable.
• Who is responsible for monitoring deadlines.

Don’t create a blanket policy of asking every employee for new documents whenever something in the original I-9 file reaches an expiration date.

Mistake #10: Applying Your Procedures Inconsistently

Consistency is one of the most important principles in an effective I-9 process. Similar employees should go through the same verification procedures based on objective requirements.

Your process should never vary because of assumptions about someone’s:

• Citizenship
• National origin
• Accent
• Name
• Appearance
• Perceived immigration status

Written procedures help remove guesswork and make it easier for managers to apply the rules consistently.

When auditing your I-9 files, don’t selectively review employees based on perceived citizenship or immigration status. Establish an objective audit method and apply it consistently.

For example, you might review all retained I-9s, all I-9s completed during a defined period, or another objectively selected group.

The purpose should be to evaluate your compliance process, not particular employees.

Mistake #11: Assuming Your HR Vendor Is Responsible for Everything

This is particularly relevant for smaller physician practices. You may outsource parts of onboarding to:

• Payroll companies
• HR platforms
• Professional employer organizations
• HR consultants
• Outside administrators

But outsourcing administrative work doesn’t mean your practice should stop monitoring compliance. Know exactly what your vendor does.

Ask who:

• Provides the form.
• Reviews the documents.
• Completes the employer portion.
• Handles remote examination.
• Tracks reverification.
• Maintains records.
• Corrects identified errors.

Your vendor should be part of your compliance system—not a substitute for oversight.

Mistake #12: Having No Organized I-9 Recordkeeping System

Ask yourself a simple question: If we needed our I-9 records tomorrow, could we quickly locate them?

You don’t want some forms stored in personnel files, others in payroll software, a few in an old filing cabinet, and several sitting in a former manager’s email. Establish an organized I-9 recordkeeping system and assign responsibility for maintaining it.

Many employers choose to maintain I-9 records separately from general personnel files, which can also make auditing and production easier.

Mistake #13: Keeping I-9s Forever—or Destroying Them Too Soon

I-9s have specific federal retention requirements. For former employees, employers generally retain Form I-9 for three years after the date of hire or one year after employment ends, whichever is later.

That means the destruction date won’t necessarily be the same for every employee. Consider creating a recurring HR process for reviewing former employee I-9 records and determining which have reached the appropriate destruction date.

Don’t simply keep everything forever because it’s easier. And don’t automatically destroy the I-9 when an employee leaves.

Mistake #14: Waiting for an Inspection to Find Your Problems

This may be the most important mistake of all.

Don’t assume: “We’ve never had a problem, so our I-9s must be fine.”

If multiple employees have handled onboarding over the years, procedures may have changed without anyone realizing it. A periodic internal audit allows you to identify:

• Missing information
• Late forms
• Inconsistent procedures
• Outdated forms
• Remote verification problems
• Reverification issues
• Recordkeeping problems
• Vendor workflow gaps

More importantly, an audit helps you identify why errors occurred so you can correct the underlying process.

Real Practice Example

Imagine a multi-location physician group that moved many administrative employees to remote work. Over several years, the practice hires billers and schedulers in multiple states. Managers continue examining documents remotely because that’s how onboarding has been handled for years.

A new practice administrator eventually asks whether the organization actually qualifies to use its current remote document examination process.

No one knows. Instead of continuing because “that’s how we’ve always done it,” the administrator reviews the practice’s E-Verify status, remote verification procedures, existing I-9 records, vendor responsibilities, and staff training. The review uncovers several inconsistencies that can now be addressed systematically.

That’s the value of an internal audit: it can uncover processes that have continued for years simply because no one stopped to verify that they’re correct.

Should We Correct Old I-9 Mistakes If We Find Them?

Don’t ignore errors simply because the employee was hired years ago.

When an internal audit identifies a problem, determine the appropriate correction method for that particular error. Corrections should be transparent and properly documented rather than attempting to conceal when the original error occurred.

Some errors are more complicated than others, so significant issues may warrant guidance from qualified employment or immigration counsel.

The bigger goal is to correct both the record and the process that caused the mistake.

I-9 Compliance Checklist for Medical Practices

Use this checklist to review your current process:

☐ Confirm the correct Form I-9 edition is being used.

☐ Remove obsolete paper forms from onboarding materials.

☐ Confirm electronic onboarding systems are current.

☐ Verify outside vendors are using the correct process.

☐ Review completed forms for missing information.

☐ Confirm I-9s are completed within required deadlines.

☐ Provide employees with the Lists of Acceptable Documents.

☐ Allow employees to choose which acceptable documents to present.

☐ Avoid requesting unnecessary additional documents.

☐ Review remote document examination procedures.

☐ Confirm E-Verify enrollment when applicable.

☐ Establish a reliable reverification process.

☐ Apply verification procedures consistently.

☐ Maintain an organized I-9 recordkeeping system.

☐ Calculate retention dates for former employees.

☐ Establish a recurring internal audit process.

☐ Properly document corrections.

☐ Train everyone involved in hiring and onboarding.

Bottom Line

I-9 mistakes are easy to make because Form I-9 can look like routine onboarding paperwork. But late completion, missing information, improper document requests, remote verification problems, reverification errors, inconsistent procedures, and poor recordkeeping can expose your medical practice to unnecessary compliance risk.

Don’t wait for an inspection to find out whether your process works.

Build a consistent workflow, train the people responsible for it, audit your records periodically, and address problems when they’re identified. The goal isn’t simply to have an I-9 for every employee—it’s to have a reliable compliance process behind every form.

Key Takeaways

• Don’t treat Form I-9 as just another piece of new-hire paperwork.
• Make sure your practice is using the correct Form I-9 for new hires.
• Complete the employer portion within the required timeframe.
• Don’t leave required fields incomplete.
• Never tell an employee which acceptable document to provide.
• Remote I-9 document examination has specific requirements and shouldn’t be handled informally.
• Reverification can create compliance and discrimination risk when handled incorrectly.
• Using an HR vendor doesn’t eliminate your practice’s responsibility for I-9 compliance.
• Keep I-9 records organized so they can be produced when required.
• Conduct periodic internal audits instead of waiting for a government inspection to uncover problems.

Continue Building Your Human Resources Expertise I-9 compliance is only one of the many HR responsibilities that can create risk for a busy physician practice. Your team also needs to stay current on employee documentation, hiring requirements, workplace policies, compliance, management responsibilities, and changing employment rules. Healthcare Training Leader’s All-Access Pass gives your entire team access to expert-led guidance covering human resources and the other critical operational issues physician practices manage every day. Whether you’re responsible for onboarding new employees, updating policies, training managers, or reducing HR compliance risk, you’ll have practical expert guidance available when your practice needs it. Why Trust Healthcare Training Leader? Healthcare Training Leader has helped physician practices strengthen compliance, improve operations, train employees, and navigate the constantly changing requirements of healthcare practice management for more than 15 years. Our educational content represents the combined expertise of more than 200 training programs led by experienced professionals in human resources, compliance, medical billing, coding, reimbursement, credentialing, and physician practice management. We turn complicated requirements into practical guidance practice managers and their teams can put into action.