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 Can I deduct expenses from Pennsylvania Final check?

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Elizabeth Alfaro, CPP's profile image
Elizabeth Alfaro, CPP posted 03-28-2024 12:45

I have a terminated employee that charged his notary exam fees to the company right before giving his 2-week notice. I was asked to deduct the cost from his final check. Am I allowed to do that in the state of PA?

Cassandra Tennant, CPP's profile image
Cassandra Tennant, CPP posted 03-28-2024 13:00

I would not take them unless you have the employee's permission. Here is some information from the state of PA on what payments and collections from a pay check, https://www.dli.pa.gov/laws-regs/regulations/Pages/Wage-Payment-and-Collection-Law.aspx

Siouxrita Clarke, CPP's profile image
Siouxrita Clarke, CPP posted 03-29-2024 13:38

If not part of your company policy, you will need to obtain authorization in writing from the employee. It is best practice to always verify if you have a company policy in place. Does your company have a Notary program or is it part of an education program where there is a statement relating to termination and the fees reimbursement. An email is sufficient, so long as the employee authorizes the company to withhold payment on the final paycheck.

Dennis Pearson's profile image
Dennis Pearson posted 03-29-2024 17:19

These questions should be something one should know before processing a payroll. (Mr. Blunt strikes again!). Not the specifics with code numbers, but at least (and really best) by knowing where to look for the current rules. There are many which give basic information for every state, with most importantly, code links so you can verify yourself. 5 minutes of search engine time should do the trick.