Employers can withhold taxes, Social Security contributions, and other partial amounts for certain benefits. However, this does not include deductions that are not allowed by law. Not sure if the amount you receive in your paycheck is correct? You can review the list below to see if your employer has made any deductions that do not apply to you or are prohibited by law.
Your employer cannot:
- Reduce some amount of your paycheck to cover a shortage or lack of cash (which refers to cash reconciliation at the end of the day).
- Not give you the amount of a commission (if you are a seller) for a non-payment by a customer.
- Make deductions for unidentified returns made for the sales of a product or service that includes a commission.
- Deduct a bonus (if you are a manager) to cover losses in some other department or division.
- Deduct any amount of a tip left for employees.
- Deduct the cost of uniforms, materials, machines, or tools necessary to fulfill the tasks. This also includes physical or medical exams required for work.
Make sure you have accepted any deductions.
If you have accepted a deduction in writing, this must have happened before your employer wanted to make the deduction. For example, if you work in a restaurant and a customer leaves without paying, you must have a prior written agreement with your employer that deductions can be made from your salary for that fact.
If you did not receive your full salary, you should check your payroll and employment contract to see if they explain why.
If you believe that your employer has tried to make you pay for business expenses that are by law the employer’s responsibility, you may well have a claim. Take action now. Contact us today: Deborah Gutierrez, an expert in labor law.