California Paychecks laws & compensation compliance analysis

California Paychecks: What you need to know

The California Labor Code sets out requirements for the frequency of paydays, wage statement that must accompany wage and salary payments, and the form in which wages and salaries may be paid. There are also requirements for payment of wages upon termination and resolving wage disputes. The law applies to all employers, except counties, school districts, and quasi-municipal corporations. It is also inapplicable to students working for nonprofit educational institutions and where collective bargaining agreements provide otherwise.
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Twice-monthly. Generally, employers must pay wages at least twice a month on paydays designated in advance. Wages earned between the 1st and the 15th of the month must be paid between the 16th and the 26th of the month; those earned between the 16th and the last day of the month must be paid between the 1st and the 10th of the following month (CA Lab. Code Sec. 204).
Weekly/biweekly. Employers may pay employees weekly or biweekly on regular paydays within 7 days of the end of the pay period.
Agricultural employees employed by farm labor contractors must be paid weekly.
Monthly. Employers may make monthly payments for the following employees:
• Executive, administrative, and professional employees
• Commission wages of employees of motor vehicle dealers
• Agricultural employees who are boarded and lodged by their employers
At the time of each wage payment, employers must furnish each employee, either as a detachable part of the check, draft, or voucher paying the employee's wages, or separately when wages are paid by personal check or cash, an accurate itemized statement in writing showing (CA Labor Code Sec. 226):
• Gross wages earned
• Total hours worked by the ...

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