Helpful Reminder on Wage Deductions

June 9th, 2012 by JBWK

At Wage & Hour Insight, a helpful guide on how to recover money from employees without violating the Fair Labor Standards Act. The bottom line for the FLSA is that employees must generally receive free and clear the minimum wage for their hours worked. Obviously, certain deductions like payroll taxes may be made, but others generally can’t.

Virginia law adds another layer: Employers cannot withhold money from employees’ paychecks without a signedvoluntary authorization that specifically allows the deduction. Blanket authorizations aren’t enough, and the employee cannot be fired for failing to authorize a withholding.

The basic rule of thumb: unless you have specific, written, voluntary authorization from an employee, don’t withhold any money from their paychecks. You may have to simply sue them instead.


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