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Deductions from Pay
National Summary
The federal law on deductions from pay contains few restrictions when compared to the laws in many states. Under federal law, almost any deduction is permitted, even if it reduces the employee's pay below the minimum wage in some cases. Certain deductions may specifically reduce pay below the minimum. However, there are a number of deductions that may not be made if they result in pay that is less than the minimum wage. These rules apply only to nonexempt employees who are covered by minimum wage requirements. In general, deductions from pay should be made only where required by law or authorized in writing by the employee.
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TypeTitleDateState
83717faqs.aspxQuestions & AnswersAn exempt employee took 2 half days off. Do we have to deduct 4 hours vacation for each day? This will leave him only 4 vacation days left. 11/11/2010National
85676faqs.aspxQuestions & AnswersCan vacation pay be withheld at termination until equipment is returned (NJ, PA, MD & DE)?.02/24/2011National
82452faqs.aspxQuestions & AnswersCan we dock a salaried employee's check because he was out for more time than he had paid leave available?06/08/2010National
81868faqs.aspxQuestions & AnswersCan we take 401k and flexible spending account deductions from a final paycheck in the states of California, Arizona, Washington, Minnesota, Iowa, Illinois, Oklahoma, Texas, Louisiana, Missouri, and Arkansas?03/08/2010National
80930faqs.aspxQuestions & AnswersCan we withhold commissions from sales people who refuse or fail to use the required recordkeeping system?10/07/2009National
16611timesavers.aspxPoliciesDeductions from Pay (Alternative or Additional) National
10258timesavers.aspxPoliciesDeductions from Pay Policy (Standard) National
16612timesavers.aspxPoliciesDeductions from Pay--Consent to Payroll Deductions I National
2282state_comparison_charts.aspxGuidance DocumentsDeductions from Pay/Garnishment, by State National
91358state_comparison_charts.aspxGuidance DocumentsDeductions from Pay/Garnishment, by State (PDF) National
10234timesavers.aspxChecklistsFLSA Audit: Disciplinary Deductions National
81433faqs.aspxQuestions & AnswersIf an exempt employee wants to take a week off but only has 3 hours of PTO left, can I dock the employee's salary for the remaining 4 days and 5 hours (assuming no work is done)?12/22/2009National
81199faqs.aspxQuestions & AnswersIn the states of CA, FL, and GA, is it legal to deduct negative vacation balances from an employee's final paycheck?11/12/2009National
1192timesavers.aspxPoliciesPayroll Deductions (Standard) National
1565timesavers.aspxFormsTraining Expense Agreement National
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