What are the rules surrounding final pay of a terminated employee? Do I have to provide payment within a certain amount of time? What am I required to pay out? What can I deduct?
These are a few of the common questions that come up from our clients. As an employer it is important to know the requirements upon termination of an employee. Important note: Depending on your state, regulations may vary. Click the hyperlink to view a list of Wage and Hour Divisions by state.
The following resources are from the State of California Department of Industrial Regulations (DIR):
CA rules on paydays, pay periods, and final wages (with Q&A):
- CA final pay (Former Gov. Brown): click here
- Q&A on final paychecks: click here
- More on final payments: click here
Additional information about California Wage Payment Laws can be found
from the Employment Law Handbook webiste. View by clicking here
The U.S. Department of Labor's (DOL) page on final paychecks:
- List of Wage and Hour Divisions by state: click here
Disclaimer: These materials are provided for informational purposes only and are not intended as legal or tax advice. Readers of the IBS Blog should contact their legal or tax professionals to discuss how these matters relate to their individual circumstances.