Final paycheck by state guide for 2023
The Federal Labor Standards Act regulation is clear on the matter of issuing paychecks after termination — employers must issue final paychecks to all terminated employees, the latest on the next scheduled payday.
However, state laws can (and many of them do) require final paychecks to be due within a specific, shorter deadline.
For example, a Colorado employee who quits must be compensated for what they’re due on the next scheduled payday. But, for employees who get fired in the same state, different rules apply — their final paychecks are due immediately, at the time of termination notice.
Naturally, both employers and employees benefit from knowing the state requirements. If you’re interested in learning more details, read on, as we’ve meticulously researched the topic and compiled the most recent final paycheck laws by state data.
So, here’s everything you need to know about the US final paycheck laws, including:
- What final paychecks are (and must include),
- Final paycheck laws by state, and
- FAQ about final paycheck laws.
Table of Contents
What are final paychecks?
The last earned wages of a former employee usually count as final pay. However, following the FLSA regulations, the amount of money on final paychecks is often higher than the earned wages.
So, once both the FLSA and state regulations are taken into account, final paychecks usually contain some (or all, if you’re lucky enough) of the following items:
- Unpaid wages, including overtime (since the previous payroll transaction),
- Unused PTO and/or vacation days (if applicable),
- Commissions owed (if applicable),
- Bonus pay (if applicable), and
- Severance pay (if applicable).
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Not sure how to calculate the accrued PTO? It can be tricky, but we’ve got you — here’s a comprehensive guide on the topic:
Deadlines for issuing final paychecks
Obviously, there’s a myriad of reasons for contract termination coming from both sides — from voluntary resignation of an employee due to relocation to termination due to gross misconduct. However, specific reasons won’t impact the deadlines for issuing final paychecks, as ultimately, it all comes down to who made the decision to terminate the employment.
That’s because, in the majority of cases, different rules apply to the following 2 categories of employees:
- Employees who give notice and resign at their own will, and
- Employees whose employers terminate their contract for any reason.
The deadlines for issuing the final paychecks differ depending on the reason above. For example, in the District of Columbia, employees who resign at their own will are due final paychecks within 7 days or on the next scheduled payday, whichever comes first. However, final paychecks for employees who have been fired are due on the next business day.
Now let’s go over specific final paycheck laws by state.
Final paycheck laws by state
As we’ve mentioned, the US federal law dictates that all final paychecks are due the next regularly scheduled payday if a shorter period is not specified by the specific state regulation.
For instance, some states require immediate payment to each employee whose contract has been terminated by the employer.
In California, for example, employers are required to provide the final paycheck while giving notice of termination, regardless of whether:
- They are firing (voluntary decision due to inadequacy), or
- Laying off (involuntary, due to budget cuts, redundancies, mergers, acquisitions, etc.) employees.
If an employer fails to issue the final paycheck within the specified deadline, the amount they owe to a former employee may increase, as they may be required to pay additional penalties and fines. In some instances, e.g. in Arkansas, former employees who haven’t been adequately compensated are legally entitled to twice the amount of their regularly calculated final paycheck.
At the time of filing the complaint, employees who believe they’ve been wronged should check all the details with their local or state labor offices in charge of workers’ complaints.
The table below contains all the information you need regarding final paycheck laws in individual US states, so let’s move on to it.
State | If an employee was terminated | If an employee quit |
---|---|---|
Alabama | Not regulated by the state law. Federal law applies (final paycheck due on the next scheduled payday). | Not regulated by the state law. Federal law applies (final paycheck due on the next scheduled payday). |
Alaska | Final paycheck must be issued within 3 business days of the employee’s last day of work. | Final paycheck due on the next scheduled payday — which is at least 3 days apart from the employee’s notice of termination. |
Arizona | Final paycheck due within 7 business days of the employee’s last day of work or on the next scheduled payday (whichever option occurs first). | Final paycheck due on the next scheduled payday. |
Arkansas | Final paycheck due within 7 days of the employee’s last day of work. If an employer fails to issue the final paycheck within that deadline, the amount they owe to a former employee doubles. | Final paycheck due on the next scheduled payday. If an employer fails to issue the final paycheck within that deadline, the amount they owe to a former employee doubles. |
California | Final paycheck must be issued immediately. If an employer fails to issue the final paycheck within that deadline, waiting time penalties will be added to the amount. | Final paycheck due within 72 hours, except if the employee provided notice at least 72 hours ahead, in which case the final paycheck is due immediately. |
Colorado | Final paycheck due immediately unless the payroll unit is closed (deadline extends to up to 6 hours into the next business day) or the accounting unit is based offsite (deadline extends to 24 hours). | Final paycheck due on the next scheduled payday. |
Connecticut | Final paycheck due on the next business day. If an employer fails to issue the final paycheck within that deadline, the amount they owe to a former employee doubles. | Final paycheck due on the next scheduled payday. |
Delaware | Final paycheck due on the next scheduled payday. | Final paycheck due on the next scheduled payday. |
District of Columbia | Final paycheck due on the next business day. | Final paycheck must be issued within 7 days of the employee’s last day of work or on the next scheduled payday (whichever option occurs first). |
Florida | Not regulated by the state law. Federal law applies (final paycheck due on the next scheduled payday). | Not regulated by the state law. Federal law applies (final paycheck due on the next scheduled payday). |
Georgia | Not regulated by the state law. Federal law applies (final paycheck due on the next scheduled payday). | Not regulated by the state law. Federal law applies (final paycheck due on the next scheduled payday). |
Hawaii | Final paycheck due immediately unless the conditions don’t allow for it, in which case the deadline extends to the next business day. | Final paycheck due on the next scheduled payday, except if the employee gave notice at least one regular pay period ahead, in which case the final paycheck is due immediately. |
Idaho | Final paycheck due on the next scheduled payday, or within 10 days of the employee’s last day (weekends and holidays excluded), unless the employee submits a written request for early last payment, in which case the final paycheck is due within 48 hours. If an employer fails to issue the final paycheck within that deadline, they may be required to pay a penalty of up to $750. | Final paycheck due on the next scheduled payday, or within 10 days of the employee’s last day, unless the employee submits a written request for early last payment, in which case the final paycheck is due within 48 hours. If an employer fails to issue the final paycheck within that deadline, they may be required to pay a penalty of up to $750. |
Illinois | Final paycheck is to be issued immediately, preferably, but if not possible, no later than on the next scheduled payday. | Final paycheck is to be issued immediately, preferably, but if not possible, no later than on the next scheduled payday. |
Indiana | Final paycheck due on the next scheduled payday. | Final paycheck due on the next scheduled payday. |
Iowa | Final paycheck due on the next scheduled payday. | Final paycheck due on the next scheduled payday. |
Kansas | Final paycheck due on the next scheduled payday, at the latest. | Final paycheck due on the next scheduled payday, at the latest. |
Kentucky | Final paycheck due on the next scheduled payday or within 14 days of the employee’s last working day (whichever option occurs later). | Final paycheck due on the next scheduled payday or within 14 days of the employee’s last working day (whichever option occurs later). |
Louisiana | Final paycheck due on the next scheduled payday or within 15 days of the employee’s last working day (whichever option occurs first). | Final paycheck due on the next scheduled payday or within 15 days of the employee’s last working day (whichever option occurs first). |
Maine | Final paycheck due on the next scheduled payday. If an employer fails to issue the final paycheck within that deadline, and the court rules in the former employee’s favor, the amount they owe doubles. The total amount that employers found in violation will also include a reasonable rate of interest, and the cost of suit. | Final paycheck due on the next scheduled payday. If an employer fails to issue the final paycheck within that deadline, and the court rules in the former employee’s favor, the amount they owe doubles. The total amount that employers found in violation will also include a reasonable rate of interest, and the cost of suit. |
Maryland | Final paycheck due on the next scheduled payday. | Final paycheck due on the next scheduled payday. |
Massachusetts | Final paycheck due immediately. If an employer fails to issue the final paycheck within that deadline, they will be liable for treble damages — up to 3 times the original amount. | Final paycheck due on the next scheduled payday unless that payday happens within 5 days of the employee’s last working day, in which case the deadline is extended to 20 days after the employee’s last working day. If an employer fails to issue the final paycheck within that deadline, the amount may increase for up to 15 days’ worth of the employee’s wages. |
Michigan | Final paycheck due on the next scheduled payday (specific professions excluded, check sources for the table for more information). | Final paycheck due on the next scheduled payday. |
Minnesota | Final paycheck due within 24 hours of submitting a written payment request. If an employer fails to issue the final paycheck within that deadline, the amount may increase for up to 15 days’ worth of the employee’s wages. | Final paycheck due (almost) immediately, either within 4 hours of the employment termination or by the end of the business day (whichever option occurs first). Employers whose written company policies allow the deadline extension must issue final paychecks on the next scheduled payday, or within 15 days (whichever option occurs first). |
Mississippi | Not regulated by the state law. Federal law applies (final paycheck due on the next scheduled payday). | Not regulated by the state law. Federal law applies (final paycheck due on the next scheduled payday). |
Missouri | Final paycheck due immediately. | Not regulated by the state law. Federal law applies (final paycheck due on the next scheduled payday). |
Montana | Final paycheck due on the next scheduled payday. If an employer fails to issue the final paycheck within that deadline, the amount may increase for up to 30 days’ worth of the employee’s wages. | Final paycheck due on the next scheduled payday unless that payday happens within 15 days of the employee’s last working day, in which case the deadline is extended to 15 days of the employee’s last working day, regardless of the regular payroll date. |
Nebraska | Final paycheck due on the next scheduled payday or within 2 weeks of the employee’s last working day (whichever option occurs first). | Final paycheck due on the next scheduled payday or within 2 weeks of the employee’s last working day (whichever option occurs first). |
Nevada | Final paycheck due within 3 days of the employee’s last working day. | Final paycheck due on the next scheduled payday or within 7 days of the employee’s last working day (whichever option occurs first). |
New Hampshire | Final paycheck due within 72 hours of the employee’s last working day. | Final paycheck due on the next scheduled payday unless the employee gave notice at least one pay period ahead, in which case the deadline is up to 72 hours. |
New Jersey | Final paycheck due on the next scheduled payday. | Final paycheck due on the next scheduled payday. |
New Mexico | Final paycheck due within 5 days of the employee’s last working day, with the exception for commission-based employees in which case the deadline extends to 10 days. | Final paycheck due on the next scheduled payday. |
New York | Final paycheck due on the next scheduled payday. | Final paycheck due on the next scheduled payday. |
North Carolina | Final paycheck due on the next scheduled payday. | Final paycheck due on the next scheduled payday. |
North Dakota | Final paycheck due on the next scheduled payday. If an employer fails to issue the final paycheck within that deadline, the amount may increase for up to 30 days’ worth of the employee’s wages. | Final paycheck due on the next scheduled payday or within 5 business days of the employee’s last working day, unless the employee had given notice at least 48 hours prior to the last working day, in which case paycheck is due immediately. If an employer fails to issue the final paycheck within that deadline, they may be charged a penalty wage in the amount of 8 times the employee’s regular rate for each day of unpaid wages. |
Ohio | Final paycheck due on the next scheduled payday or within 15 days of the employee’s last working day (whichever option occurs first). | Final paycheck due on the next scheduled payday or within 15 days of the employee’s last working day (whichever option occurs first). |
Oklahoma | Final paycheck due on the next scheduled payday. | Final paycheck due on the next scheduled payday. |
Oregon | Final paycheck due on the next business day. If an employer fails to issue the final paycheck within that deadline, they may be charged a penalty wage in the amount of 8 times the employee’s regular rate for each day of unpaid wages. | Not regulated by the state law. Federal law applies (final paycheck due on the next scheduled payday). If an employer fails to issue the final paycheck within that deadline, they will be liable for treble damages — up to 3 times the original amount, plus the cost of the suit. |
Pennsylvania | Final paycheck due on the next scheduled payday. | Final paycheck due on the next scheduled payday. |
Rhode Island | Final paycheck due on the next scheduled payday. | Final paycheck due on the next scheduled payday. |
South Carolina | Final paycheck due within 48 hours of the employee’s last working day or on the next scheduled payday (the period in-between mustn’t exceed 30 days). If an employer fails to issue the final paycheck within that deadline, they will be liable for treble damages — up to 3 times the original amount, plus the cost of the suit. | Final paycheck due within 24 hours of the employee’s last working day. If an employer fails to issue the final paycheck within that deadline, the employee’s wages will continue at the same rate, for up to 60 days. |
South Dakota | Final paycheck due on the next scheduled payday, or if applicable, when the employee returns all company property. | Final paycheck due on the next scheduled payday, or if applicable, when the employee returns all company property. |
Tennessee | Final paycheck due on the next scheduled payday or within 21 days of the employee’s last working day (whichever option occurs later). | Final paycheck due on the next scheduled payday or within 21 days of the employee’s last working day (whichever option occurs later). |
Texas | Final paycheck due within 6 days of the employee’s last working day. | Final paycheck due on the next scheduled payday. |
Utah | Final paycheck due within 24 hours of the employee’s last working day. If an employer fails to issue the final paycheck within that deadline, the employee’s wages will continue at the same rate, for up to 60 days. | Final paycheck due within 24 hours of the employee’s last working day.If an employer fails to issue the final paycheck within that deadline, the employee’s wages will continue at the same rate, for up to 60 days. |
Vermont | Final paycheck due within 72 hours of the employee’s last working day. | Final paycheck due on the next scheduled payday (in case there are no scheduled paydays, the deadline is Friday the week after the employee’s last day). |
Virginia | Final paycheck due on the next scheduled payday. | Final paycheck due on the next scheduled payday. |
Washington | Final paycheck due on the next scheduled payday. | Final paycheck due on the next scheduled payday. |
West Virginia | Final paycheck due on the next scheduled payday. If an employer fails to issue the final paycheck within that deadline, the amount they owe to a former employee doubles. | Final paycheck due within 5 business days of the employee’s last working day. If an employer fails to issue the final paycheck within that deadline, the amount they owe to a former employee may increase by $200 per day of the missed deadline, as the court determines. |
Wisconsin | Final paycheck due on the next scheduled payday or within one month (whichever option comes first), except for instances where the termination cause was business relocation, a merger, and liquidation, in which case final paychecks are due within 24 hours of the employee’s last day. | Final paycheck due on the next scheduled payday. |
Wyoming | Final paycheck due within 5 business days of the employee’s last working day. If an employer fails to issue the final paycheck within that deadline, the amount they owe to a former employee may increase by $200 per day of the missed deadline, as the court determines. | Final paycheck due within 5 business days of the employee’s last working day.If an employer fails to issue the final paycheck within that deadline, the amount they owe to a former employee may increase by $200 per day of the missed deadline, as the court determines. |
🎓 Clockify Pro Tip
Interested in other aspects of legal and regulatory compliance in your state? Select it on the list and read the comprehensive labor laws guide:
Final paycheck laws by state — Frequently asked questions
As the table above clearly shows, final paycheck laws vary from state to state and can be quite specific, so it’s vital to check regularly for updates. You never know what tomorrow brings, so try to follow the “Better safe than sorry” principle, and be aware of both your rights and responsibilities.
To help you stay up-to-date, we’ll provide answers to the most frequently asked questions regarding final paychecks in the next section.
1. What are the federal final paycheck laws?
We’ve already covered the answer to this question, but it surely can’t hurt to reiterate (repetitio est mater studiorum).
Under federal law and the FLSA Act, employers are required to issue final paychecks to all terminated employees on the next regularly scheduled payday, if not sooner.
Take a look at the list below and see which states rely solely on federal law, having no additional, state-specific regulations:
- Alabama,
- Florida,
- Georgia,
- Mississippi, and
- Missouri (no state regulations for the employees who quit).
Federal employment laws establish rights and responsibilities for all US employees, while state laws apply only within the particular state borders. So, which one governs if both exist?
Provided that the state law doesn’t conflict federal regulations, state law governs, overriding federal law. Only in rare instances when there’s a conflict between the two, making it impossible to comply with both, The Supremacy Clause dictates that federal law takes precedence over state laws and even constitutions.
2. What is the Wage Payment and Collection Act?
Put simply, the Wage Payment and Collection Law regulates employers’ rights, limitations, and requirements regarding:
- Compensation and benefits,
- Payroll period and processes, and
- Deductions.
The law was introduced in Pennsylvania in 1961 to ensure all employees are fairly and timely compensated for their work. Specifically, it refers to the right of an employee to request help in the recovery of unpaid wages, as set forth in an employment contract.
In essence, the law is an extension of the FLSA, and is still in force today. Even though it doesn’t apply on the federal level, many other US states have adopted this Act since Pennsylvania introduced it in 1961.
3. Can an employer withhold a final paycheck?
Technically, the answer is yes, but that applies only if the employee has previously agreed to certain terms and conditions, enabling the employer to take deductions from the final paycheck.
Below are a couple of examples of when employers are legally allowed to withhold a final paycheck from former employees:
- Employers are claiming a debt/reimbursement (e.g., for cash shortages, lost, broken, or missing equipment, etc.), or
- Employers have authorized the employee by signing a contract in which they agree to certain deductions (e.g., court-ordered wage garnishments, insurance payments, personal loans, etc.).
In such (and similar) instances, employers are entitled to hold onto the amount in question, provided they have proof of such an agreement.
4. Can an employer hold your last paycheck if you quit?
Cut to the chase — the answer is a simple no.
In essence, regardless of the state and the reason for the role termination, all US employers are legally required to issue final paychecks to their (at the moment former) employees.
Even though there’s no exception to the rule, conditions and legal requirements for final paychecks vary by state. Therefore, being familiar with the ones applicable to our situation should be imperative for each member of the global workforce.
5. When should an employee receive their final pay?
Well, there’s no one-size-fits-all answer to this, as several plausible scenarios exist, depending on:
- Relevant state regulations (or the lack of them, in which case federal law applies — final paychecks are due on the next scheduled payday, or sooner), and
- The reason for the end of employment — was the employee fired, laid off, or resigned voluntarily — which further dictates the deadline for issuing the final paycheck.
Depending on the scenario, some employees are eligible for immediate payment, while others can expect their final paycheck on the next scheduled payday.
6. Will an employee’s last paycheck be directly deposited?
This matter depends on how you’ve previously been issued your payroll — you will receive the payment in the same manner as before, when you received your all previous paychecks.
Meaning, if you’ve been receiving payment via direct deposit, your last paycheck will also be directly deposited. Just as state laws override federal regulations — as long as they aren’t completely opposing them — company policy can offer employees an additional choice of payment type for the final paycheck only.
So, for example, even an employee who’s usually been receiving checks via mail can opt for the direct deposit option for the final paycheck.
As we’ve mentioned, this is regulated by the company policy, and bear in mind — employers are only allowed to add more options. Employees who are unsure of what is applicable to their situation should simply revise their employment contract.
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7. I quit my job and never got my last paycheck. What can I do?
The fact that it was an employee’s decision to terminate the contract doesn’t change the fact that it is illegal for employers to withhold unpaid wages from former employees. If such an instance occurs, employees are eligible to file an official complaint to the Wage and Hour Division of the US Department of Labor.
Employees who want to recover unpaid wages must fill out the Workers Owed Wages application and submit it to the government database for processing.
For any additional questions and inquiries, it’s best to reach out to your state labor office directly.
8. How long can an employer hold your last paycheck if you quit?
Once again, the answer depends on the state of employment in question.
Employees whose contract has been terminated — both voluntarily and involuntarily — may be due their final paycheck:
- Immediately,
- Within 72 hours,
- On the next scheduled payday, or
- Once they have returned all company equipment.
The table we’ve provided in the section above contains all the relevant information regarding individual states.
🎓 Clockify Pro Tip
Business owners have 2 options to avoid disputes regarding final paychecks — either to keep up-to-date with the law and act in accordance, or hire an accountant to take care of it. Anyhow, it all comes down to workforce management, so this seems to be a good place to recommend an article on the topic:
US final paycheck laws — Conclusion and disclaimer
We hope that our thorough guide helped you get familiar with all the relevant information about final paycheck laws in the United States. You can get more data on final paycheck laws for each state by following the official links we either:
- Provided as sources and linked to the states in the table, and
- Used as sources in the State Labor Laws guides linked earlier in this guide.
Please bear in mind — this final paycheck laws guide was written in Q2 of 2023. Thus, it may not include changes introduced after it was published.
We strongly advise you to consult the appropriate institutions and/or certified representatives before acting on any legal matters.
Clockify is not responsible for any losses or risks incurred should this guide be used without legal guidance.
Sources for the table:
- Alaska Labor Standards and Safety Division, Wage and Hour
- Arizona Payment of wages of discharged employees
- Arkansas Department of Labor and Licensing
- California Labor Code, Payment of Wages
- Colorado Department of Labor and Employment
- Connecticut Department of Labor, Wage payment laws
- Delaware Division of Industrial Affairs, Wage Payment
- District of Columbia Code, Payment of Wages
- Hawaii, Wage Standards Division
- Idaho Department of Labor, FAQs
- Illinois Department of Labor, Wage Payment and Collection Act
- Indiana Department of Labor, Wage & Hour, Payment
- Iowa Legislation, Wage Payment Collection Law
- Kansas Statute, Payment of Compensation
- Kentucky Education and Labor Cabinet, Wages & Hours
- Louisiana State Legislature, Payment of Employees
- Maine Department of Labor, FAQs
- Maryland Department of Labor, Termination Pay
- Massachusetts law about employment termination
- Michigan Bureau of Employment Relations, Payment of Wages at Termination
- Minnesota Department of Labor and Industry, Making a demand for final wages
- Missouri Department of Labor, Termination of Employment Labor Standards
- Montana Department of Labor and Industry, Employment Standards Division, Wage and Hours
- Nebraska Department of Labor, Labor Standards FAQs
- Nevada Department of Business and industry Office of the Labor Commissioner FAQs
- New Hampshire Department of Labor, Wages and Work Hours FAQ
- New Jersey Department of Labor and Workforce Development, Payment of Wages
- New Mexico Department of Workforce FAQs
- New York State Department of Labor, Wages and Hours FAQs
- North Carolina Department of Labor, Payment of Final Wages to Separated Employees
- North Dakota Department of Labor, Wage & Hour and Equal Employment Laws
- Ohio Laws & Administrative Rules, Legislative Service Commission
- Oklahoma Department of Labor, Wage and Hour FAQs
- Oregon Bureau of Labor & Industries, Paychecks
- Pennsylvania Department of Labor & Industry, Wage FAQs
- Rhode Island Labor and Training Workforce Regulation and Safety Division, Labor Standards Guide
- South Carolina Office of Wages and Child Labor FAQs
- South Carolina Legislature, Code of Laws
- South Dakota Labor and Employment Laws
- Tennessee Department of Labor & Workforce Development, Wages, Fringe Benefits, Paychecks & Breaks
- Texas Workforce Commission, Employee Rights & Laws
- Utah State Legislature, Payment of Wages
- Vermont Department of Labor, Wage and Hour Laws
- Virginia Law, Labor and Employment, Protection of Employees
- Washington State Department of Labor & Industries, Workers’ Rights, Wages
- West Virginia Division of Labor, Wage & Hour
- West Virginia Division of Labor, Wage Payment & Collection FAQ
- Wisconsin Department of Workforce Development, Wage Payment and Collection
- Wyoming Workforce Services, Labor Standards FAQs