Tuesday Too Small for HR - California Pay Stub Requirements
Don’t let your business be interrupted by expensive legal fees that can be avoided. California law requires employers to give employees an itemized written statement with every paycheck. Even if you use an outside payroll service they may not be aware of each State’s laws so check and confirm. Under California’s law there are 10 specific items that must be included on your employees’ wage-earning statements. Employers paying via piece work (production-based) compensation system have additional pay stub disclosures. The pay stub law applies to all employers big and small.
Mandatory items to be listed on a pay stub:
- Gross wages earned
- Total hours worked by the employee (unless the employee is exempt from OT)
- Number of piece-rate units earned, if applicable
- All deductions made from wages
- New wages earned
- Pay period beginning and end dates
- Employee’s name and last four digits of his/her SSN (employee’s identification number can be used in place of the SSN)
- Employer’s company legal name and address
- All applicable hourly rates in effect during the pay period and number of hours the employee worked at each hourly rate
- How many days of sick leave an employee has available
Quick note: This is not to be taken as legal or HR advice. Since employment laws change over time and can vary by location and industry, consult a lawyer or HR expert for specific guidance.