|
|

Montana Deductions from Pay: What you need to know

Under Montana law, an employer may make deductions from employees' wages for:
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
• State and federal income taxes and Social Security.
• Reasonable cost of room, board, and incidentals supplied by the employer, as long as the employee had knowledge that such deductions were made a condition of employment (MT Code Sec. 39-3-2044). However, if the room and board are provided primarily for the benefit and convenience of the employer deductions are not permitted (MT Admin. Code Sec. 24.16.1505).
• Deductions that are authorized by the employee such as for union dues or health insurance premiums (MT Admin. Code Sec. 24.16.2533).
An assignment of wages is a method of debt repayment in which part of an employee's pay is withheld and paid over to a creditor. In Montana there are two types of wage assignments: an assignment to secure the purchase of goods on credit and an assignment for past due child or spousal support. There is additional information on the second type of assignment relating to child or spousal support.
Goods on credit. An assignment of wages made in connection with a purchase of goods on credit is limited to 10 percent of the employee's net wages (MT Code Sec. 32-5-310). Only if the employee defaults on the payments may the creditor send notice to the employer requesting assignment of the employee's wages. Notice must be signed by the employee and served on the employer or a managing agent of such employer, must be verified by the oath of the licensee or his agent, and must include:
• A correct copy of the assignment
• A statement of the amount of such loan and the amount due and unpaid thereon
• A copy of MT Code Sec. 32-5-310
The employer has the option of deciding whether to ...

>> 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 |

Montana 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.