Idaho Deductions from Pay laws & HR compliance analysis

Idaho Deductions from Pay: What you need to know

Employers in Idaho may make deductions from an employee's wages under the following conditions (ID Code Sec. 45-609(1)):
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• The employer is required or allowed to do so by state or federal law; or
• The employer has a written authorization from the employee for the deductions and the deductions are lawful.
The following types of payroll deductions are permitted by Idaho law:
• Those required by state and federal law for tax purposes
• Lawful deductions for the benefit and convenience of the employee, including deductions for insurance premiums, payments to a qualified pension plan, union dues, voluntary contributions, payments to a credit union, and deductions under a savings or bond purchase plan
• Deductions for board and lodging, provided such deductions do not reduce the employee's earnings below the minimum wage
If the employee has given written consent, employers may make deductions from an employee's wages for the following:
• Cash shortages
• Damaged or lost property
• The cost of uniforms or necessary equipment
• Dishonored or bad checks
• Any similar deductions
In most cases, even if the employer has an employee’s written authorization to make deductions, the deduction cannot reduce wages below the minimum wage. If an employer gives an employee an advance or draw against future wages, the employer can withhold the entire amount of that advance or draw from any future paycheck.
Employers must give employees a statement of all deductions made for each pay period. Failure to comply with this rule is a misdemeanor (ID Code Sec. 45-609(2)).
In the event of a wage dispute, employers must pay all wages due ...

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