New York Payroll Rules

Frequency of Payments

You must pay manual workers weekly. Payday must be no more than seven (7) days after the end of the pay period.

You must pay railroad workers on or before Thursday of each week the wages were earned during a seven (7) day period, ending on the Tuesday of the preceding week.

You must pay commissioned salespeople at least once per month and no later than the last day of the month following the month in which the wages were earned.

You must pay clerical and other workers at least semimonthly on regularly scheduled paydays.

Manner of Payments

You may pay your employees by cash or check. With an employee’s consent, you may pay them via direct deposit.

Payment Upon Separation

If you discharge an employee for any reason, you must pay them by the next regularly scheduled payday. You must notify the employee about the termination at least five (5) days in advance and tell them the ending date of any employee benefits.

Deductions

You can only make a deduction if

• permitted by state or federal law;
• the employee has consented in writing and the deduction is for:
  • insurance premiums;
  • prepaid legal plans;
  • pension or health and welfare benefits;
  • contributions to charitable organizations;
  • purchases made at an event sponsored by a charitable organization affiliated with the employer, where at least 20% of profits go to the charitable organization;
  • S. bonds, union dues or assessments;
  • discounts for parking, tokens, fare cards, vouchers, or other items allowing the employee to use mass transit;
  • fitness center, health club, or gym dues;
  • cafeteria or vending machine purchases or purchases made at employer-operated gift shops, if the employee works at a hospital, college, or university;
  • pharmacy purchases made at the employer’s place of business;
  • tuition, room, board, and fees for pre-school, nursery, primary, secondary, or post-secondary educational institutions;
  • day care and before and after-school care expenses;
  • payments for housing, if the employee works at a non-profit hospital or affiliate;
  • similar benefits that do not exceed 10% of the employee’s total gross pay for a pay period;
• the deduction is for an overpayment of wages due to a mathematical or clerical error; or
• the deduction is for a repayment of salary advances.

A collective bargaining agreement may serve as an employee’s written consent.

An employee can revoke their written consent at any time, and you must stop the deduction as soon as possible, no more than four (4) pay periods or eight (8) weeks after the revocation, whichever is sooner.

You must notify an employee as soon as practical before any substantial changes to their deductions are made.

You cannot make the following deductions from an employee’s paycheck:

• cash shortages,
• inventory shortages,
• loss of or damage to employer’s property,
• required uniforms, or
• required tools and other necessary items.

Uniforms & Other Required Equipment or Tools

New York does not have any laws about whether you can require an employee to purchase a uniform or equipment necessary for them to do their job.

Pre-Hire Medical, Physical, & Drug Tests

New York does not have any laws about whether you can require employees to pay for pre-hire exams.

Notice of Wage Reduction

You must notify an employee of a change to their wage rate at least seven (7) days before the new wage rate takes effect.

Paystubs

On each payday, you must provide each employee with a paystub, which must include the following:

• dates covered by the paycheck;
• name of employee;
• name of employer;
• employer’s address and phone number;
• rate(s) of pay and basis of pay (hour, shift, daily, salary, commission, etc.);
• gross wages earned;
• deductions taken;
• allowances taken (tips, meal, lodging, etc.);
• net wages earned;
• regular hourly rate(s) of pay;
• overtime rate of pay;
• number of regular hours worked;
• number of overtime hours worked;
• applicable piece rate(s) of pay;
• number of pieces completed at each piece rate; and
• the employee’s accrued total earning, taxes to date, and a listing of daily wages and how they were computed, if the employer is a railroad corporation.

Recordkeeping

For each employee, you must keep the following records for at least six (6) years:

• hours worked each week;
• rate(s) of pay and basis of pay (hour, shift, daily, salary, commission, etc.);
• net wages;
• regular hourly rate(s) of pay;
• overtime rate(s) of pay;
• number of regular hours worked;
• written acknowledgement that the employee received an initial notice concerning their employment; and
• number of overtime hours worked.

Notices

When you hire an employee, you must provide a written notice of:

• their rate of pay;
• their overtime rate of pay;
• the basis on which they are paid (hour, shift, daily, salary, commission, etc.);
• any allowances you intend to claim as part of the minimum wage (tips, meals, lodging, etc.);
• regular payday;
• employer’s name and DBA;
• physical address of the employer’s main office or principal place of business;
• employer’s mailing address; and
• employer’s telephone number.

If the employee’s primary language is not English, you must provide the notice in English and their primary language.

Each employee must give written acknowledgment, signed and dated, stating that they received the notice. You must provide a copy of the acknowledgement to the employee.

You must inform your employees of any changes in the terms and conditions of their employment at least seven (7) days in advance.

You must notify your employees in writing or by public posting of your policies on sick leave, vacation leave, personal leave, and holiday leave and hours.