Deductions from wages - Connecticut

Summary of differences between federal and state regulations

Federal regulations restrict the types of deductions that can be made from an employee’s wages or salary. Deductions can be made in certain cases, but the legality often depends on the nature and purpose of the deductions, as well as the status of the employee as exempt or non-exempt.

Employers may not withhold or divert wages unless provided specifically by law. This includes cases where an employee owes money to the employer, and when the employer wishes to deduct from wages for employee errors.

If an employer wants permission to deduct from wages for specific reasons, the employer can submit a sample deduction form to the Wage and Workplace Standards Division for consideration. Typical deductions are for employee loans or purchases, credit union, uniforms, and advances on fringe benefits.

State

Contact

Connecticut Department of Labor

Regulations

chapter 558, sec. 31-71e, Withholding of part of wages

No employer may withhold or divert any portion of an employee's wages unless (1) the employer is required or empowered to do so by state or federal law, or (2) the employer has written authorization from the employee for deductions on a form approved by the commissioner, or (3) the deductions are authorized by the employee, in writing, for medical, surgical or hospital care or service, without financial benefit to the employer and recorded in the employer's wage record book.

www.cga.ct.gov/current/pub/chap_558.htm#sec_31-71e

Federal

Contact

Wage and Hour Division

Regulations

For non-exempt employees:

29 CFR Part 531, Wage Payments under The Fair Labor Standards Act of 1938

For exempt employees:

29 CFR Part 541, Subpart G, Salary Requirements