What To Know About Paying A Terminated Employee

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There are two main considerations an employer must contend with relating to the issuance of a final paycheck to a terminated employee. The two circumstances are the same, regardless of whether the employee was fired or voluntarily left their position.

They are:

When the check must be issued; and

What must be included in that final payment.

The laws of each state, not federal law, govern these two considerations. While some states require employers to issue the final paycheck on an employee’s final day of work, others allow the employer to issue that last check on the next regular payday, or within a specific period of time.  For example, in New Jersey, the paycheck must be issued no later than 10 days from the end of the work period in which wages were earned.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Beth Lincow Cole | Attorney Advertising

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