The DealWith Final Paychecks
First of all, what is a final pay check? A final paycheck is, as the name implies, the final or last payment that a former employee receives after they have been terminated or have resigned from the company. This payment not only includes the wages the former employee is owed but also any vacation pay, commissions, or bonus payments that may be owed and has not been paid to the former employee. More information about final paychecks can be found in a blog here if you want to know other information regarding paychecks.
The Legal Options Regarding Withheld Final Paychecks
But what are you to do when your boss or company purposefully withhold your final paycheck? By law, they are required to give you your final paycheck and will suffer legal consequences on the occasions you have the legal right to claim such and are denied or your payment is willfully delayed.
Legal options regarding withheld final paychecks include filing a complaint within a certain period after the final paycheck was due. The length of the period can differ from one place to another though some state that filing should be done one year.
The complaint may or may not, depending on the laws in the area, include a Waiting Time Penalty Claim which is the penalty imposed on the company or boss that withholds the final paycheck of a former employee. The penalty claim is the compensation with regards to the delay of the payment to the employee. They are to be calculated per day and usually encompass a maximum of 30 days. This blog here can help with how to properly calculate how much waiting time penalty the former employee is owed. Furthermore, there is also a civil penalty for employers who withhold final paychecks.