|
|

Illinois Deductions from Pay: What you need to know

Employers may make deductions from employees' pay only if the deductions are (IL Comp. Stat. Ch. 820 Sec. 115/9):
For a Limited Time receive a FREE HR Report on the "Critical HR Recordkeeping”.  This exclusive special report covers hiring records, employment relationships, termination records, litigation issues, electronic information issues, tips for better recordkeeping, and a list of legal requirements.  Download Now
• Required by law (such as state and federal taxes and Social Security contributions);
• For the benefit of the employee;
• In response to a valid wage assignment agreement or wage deduction order; and
• Made with the express written consent of the employee.
An advance on wages may be repaid through payroll deductions only when both the employer and employee have signed a prior written agreement specifying the amount of the advance, a repayment schedule, and the method of repayment (IL Admin. Code Tit. 56 Sec. 300.750). The repayment schedule may not call for a deduction of more than 15 percent of the employee's gross wages per paycheck (IL Admin. Code Tit. 56 Sec. 300.800). However, if upon termination the employee owes an amount that is more than 15 percent of his or her gross wages, that amount may be withheld from the final paycheck, but only if such an arrangement was specifically included in the prior agreement (IL Admin. Code Tit. 56 Sec. 810).
Unearned vacation pay. If an employer lets an employee take vacation that has not yet been earned, and the employee terminates employment, the employer may not deduct the unearned pay from final compensation unless there is a written agreement as required for deduction of cash advances (IL Admin. Code Tit. 56 Sec. 300.760).
Tuition advances. An employer may not deduct tuition advances from wages or final compensation unless there is a written agreement as required for deduction of cash advances (IL Admin. Code Tit. 56 Sec. 300.770).
If the employer makes an overpayment of wages to an employee and the employee ...

>> Read more about Deductions from Pay

Related Topics

More on this topic:

State Requirements

National | Alabama | Alaska | Arizona | Arkansas | California | Colorado | Connecticut | Delaware | District of Columbia | Florida | Georgia | Hawaii | Idaho | Illinois | Indiana | Iowa | Kansas | Kentucky | Louisiana | Maine | Maryland | Massachusetts | Michigan | Minnesota | Mississippi | Missouri | Montana | Nebraska | Nevada | New Hampshire | New Jersey | New Mexico | New York | North Carolina | North Dakota | Ohio | Oklahoma | Oregon | Pennsylvania | Rhode Island | South Carolina | South Dakota | Tennessee | Texas | Utah | Vermont | Virginia | Washington | West Virginia | Wisconsin | Wyoming |

Illinois Deductions from Pay Resources

Deductions from Pay Products

Free Special Reports
Get Your FREE HR Management Special Report. Download Any One Of These FREE Special Reports, Instantly!
Featured Special Report
Claim Your Free Copy of Critical HR Recordkeeping

Record retention is complex and time consuming. However, in addition to complying with various federal and state laws, keeping good, well-organized records can be very helpful in documenting and supporting an organization’s employment actions.
Download Now!


This special report will discuss how you can ensure your records are in good order, and establish a record-retention policy.

Topics covered:
1. Hiring Records
2. Employment Relationships
3. Termination Records
4. Litigation Issues
5. Electronic Information Issues
6. Tips for Better Recordkeeping
7. A List of Legal Requirements

Make sure you have the information you need to know to keep your records in order.