Article

Smarttalks Recording

Sucess Story

Article

Technical Article

Video

Trade Show

Webinar

Tutorial

Demo

July 8, 2022

The Laws that Govern Final Termination of Employees

Employers must pay Final Termination Checks in accordance with state laws. Generally, federal law requires employers to make payment of the Final Termination Check on the next scheduled payroll. If employers fail to comply with these laws, they may face serious penalties. Furthermore, the employee may be able to obtain other forms of relief, such as liquidated damages and attorneys' fees, in addition to the unpaid wages. It is therefore essential that employers pay Final Termination Checks in a timely manner in accordance with all applicable laws.

Do you know the laws that govern Final Termination Checks?

Final Termination Checks and how they are to be paid vary by state.  Some states required immediate payment while others allow those payments to be made in the next regular pay cycle.  Federal law does not require final payments to be made until the next scheduled payroll.

Employers can be face stiff consequences for failing to heed the dispositions of final paychecks.  For example, in California the penalty can be as much as 30 additional days of pay due the employee.  To avoid any non-compliance please use the chart below as a reference but double check the state requirements before issuing the final pay to ensure they have not been updated to different requirements since the date of this posting.

Alabama

Voluntary resignation: There's no law.

Involuntary resignation: There's no law.

Alaska

Voluntary resignation: Next scheduled payday that's at least 3 days after the employee gives notice.

Involuntary resignation: Within 3 working days of termination.

Arizona

Voluntary resignation: Next scheduled payday.

Involuntary resignation: Whichever is first: within 7 working days or next payday.

Arkansas

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Within 7 working days.

California

Voluntary resignation: Within 72 hours or immediately if the employee gave at least 72 hours notice.

Involuntary resignation: Immediately

Colorado

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Immediately

Connecticut

Voluntary resignation: Next scheduled payday.

Involuntary resignation: Next business day.

Delaware

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Immediately

District of Columbia

Voluntary resignation: Whichever is first: within 7 days or next payday.

Involuntary resignation: Next business day.

Florida

Voluntary resignation: There's no law.

Involuntary resignation: There's no law.

Georgia

Voluntary resignation: There's no law.

Involuntary resignation: There's no law.

Hawaii

Voluntary resignation: Immediately or next scheduled payday, depending on date of final notice.

Involuntary resignation: Immediately or next business day if conditions warrant.

Idaho

Voluntary resignation: Whichever is first: within 10 days or next payday. If employee makes a written request for earlier payment, within 48 hours of receiving the request.

Involuntary resignation: Whichever is first: within 10 days or next payday. If employee makes a written request for earlier payment, within 48 hours of receiving the request.

Indiana

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Next Scheduled Payday

Iowa

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Next Scheduled Payday

Kansas

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Immediately

Kentucky

Voluntary resignation: Whichever is later: within 14 days or next scheduled payday.

Involuntary resignation: Whichever is later: within 14 days or next scheduled payday.

Louisiana

Voluntary resignation: Whichever is first: next scheduled payday or within 15 days.

Involuntary resignation: Whichever is first: next scheduled payday or within 15 days.

Maine

Voluntary resignation: Whichever is first: next scheduled payday or within 2 weeks of a demand from the employee.

Involuntary resignation: Whichever is first: next scheduled payday or within 2 weeks of a demand from the employee.

Maryland

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Next Scheduled Payday

Massachusetts

Voluntary resignation: Whichever is first: next paycheck or the Saturday that follows an employee’s resignation.

Involuntary resignation: Immediately

Michigan

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Immediately

Minnesota

Voluntary resignation: Next payday that’s at least 5 days after an employee’s last day but no more than 20 days after the last day worked.

Involuntary resignation: Within 24 hours of demand.

Mississippi

Voluntary resignation: There's no law.

Involuntary resignation: There's no law.

Missouri

Voluntary resignation: There's no law.

Involuntary resignation: Immediately

Montana

Voluntary resignation: Whichever is first: next scheduled payday or within 15 days.

Involuntary resignation: Immediately, but employer can maintain a written policy that extends this time to the next payday or within 15 days.

Nebraska

Voluntary resignation: Whichever is first: next scheduled payday or within two weeks.

Involuntary resignation: Whichever is first: next scheduled payday or within two weeks.

Nevada

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Immediately

New Hampshire

Voluntary resignation: Next scheduled payday or within 72 hours (if employee gave at least one pay period’s notice).

Involuntary resignation: Within 72 hours.

New Jersey

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Next Scheduled Payday

New Mexico

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Within 5 days for fixed amounts and within 10 days for variable amounts (commission etc.)

New York

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Next Scheduled Payday

North Carolina

Voluntary resignation: employers must send final paychecks through regular pay channels or by traceable mail if requested by an employee in writing.

Involuntary resignation: employers must send final paychecks through regular pay channels or by traceable mail if requested by an employee in writing.

North Dakota

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Next Scheduled Payday

Ohio

Voluntary resignation: Whichever is first: next scheduled payday or within 15 days.

Involuntary resignation: Whichever is first: next scheduled payday or within 15 days.

Oklahoma

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Next Scheduled Payday

Oregon

Voluntary resignation: Immediately if the employee gave 48 hours’ notice. Otherwise within 5 days.

Involuntary resignation: Next business day.

Pennsylvania

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Next Scheduled Payday

Rhode Island

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Next Scheduled Payday

South Carolina

Voluntary resignation: Within 48 hours or next scheduled payday.

Involuntary resignation: Within 48 hours or next scheduled payday.

South Dakota

Voluntary resignation: Next scheduled payday or when employee returns company property.

Involuntary resignation: Next scheduled payday or when employee returns company property.

Tennessee

Voluntary resignation: Within 21 days or the next regular payday whichever occurs later.

Involuntary resignation: Within 21 days or the next regular payday whichever occurs later.

Texas

Voluntary resignation: Next Scheduled Payday.

Involuntary resignation: Within 6 days.

Utah

Voluntary resignation: Within 24 hours (exceptions apply).

Involuntary resignation: Within 24 hours.

Vermont

Voluntary resignation: Whichever is first: next scheduled payday or next Friday. Involuntary resignation: Within 72 hours.

Virginia

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Next Scheduled Payday

Washington

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Next Scheduled Payday

West Virginia

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Next Scheduled Payday

Wisconsin

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Whichever is first: next scheduled payday or within one month.

Wyoming

Voluntary resignation: Next Scheduled Payday

Involuntary resignation: Next Scheduled Payday

Author