Q & A on Wage Deductions

Q. As an employer, what am I allowed to deduct from wages?

A. The Fair Labor Standards Act (FLSA) restricts the types of deductions from pay an employer can make from an employee’s wages. Many states uphold individual regulations with wage and hour laws (i.e. minimum wage and overtime) that do require employers to have written authorization to take money from employees’ paychecks for various purposes.

However, state laws may have other rules to follow that imply no deduction can be made except appropriate state, federal, and social security taxes without a written authorization from the employee or a court order.

Please consult your AdvanStaff Human Resources Department if you have any questions regarding what type of notifications are needed to deduct wages for other types of charges.