b'Deductions from PayWho, What, Why . . . Who does it apply to: Every employer without exception.Underunaccrued vacation money from the employees final pay.the Texas Payday Act and the federal Fair Labor Standards ActIn doing so, the employer must have written authorization (FLSA), there are requirements and limitations about what canfrom the employee. In another circumstance, employers be deducted from an employees pay. may advance an employee insurance premiums for unpaid leaveperiodswheretheemployeewouldotherwisebe Whattypesofallowabledeductionsarethere:Chargesinresponsible for the premiums. Employers must be careful thefollowingcategoriesmaybedeductedundertherightmaking this type of advance, however. Offering it to only circumstances: certain employees might generate a discrimination claim.ThecostofandcleaningMeals and Lodging: The reasonable cost of food and UniformCostsandCleaning: shelter provided by employers may be deducted from paychargesforcertainclothingrequiredforworkmay if it is primarily for the employees benefit.If the employerbedeductedfromanemployeeswagesandreduce providesthefoodorlodgingforitsbusinesspurposesthem below minimum wage so long as the deduction is (thinkapartmentcomplexmanager),thevaluecannotapproved in writing by the employee. Clothes meeting this bedeductedfromtheemployeeswages.Essentiallyrequirement must be provided solely as a convenience to the reasonable cost of these items is the cost to thethe employee and suitable for off-duty use. If the clothes employerwithnoprofit.Therearemanyrulesandhave a company logo, are of a distinctive style such as a regulationsregardingthedeductibilityoftheseitems.tuxedo, a specific type of jacket, or a security uniform, the Check with your lawyer before making deductions of thiscost may still be deducted (with written consent), but may type.not cut into the employees minimum wage. Voluntary Wage Assignments: Employers are authorized to Payroll Taxes: Federal Insurance Contributions Act (FICA) deduct from an employees wages and take them below(Social Security and Medicare) and income tax withholding minimum wage for payments made to programs, such asare permissible deductions which may bring an employees the employers health, dental, disability, and life insurancewages below minimum wage.plans.UnionDues:UnionduesmaybedeductedfromanLoans: Employers can make deductions to an employeesemployeespayevenifthedeductionreducesthepay taking the employees wages below minimum wage foremployees pay below minimum wage. Employers must loans made to the employee. Employers should be careful,have a written authorization for deduction of union dues. however, because any administrative fees or interest on the GarnishmentsandWageAttachments:Employersare loan may not be charged against the minimum wage portionrequired to follow appropriate garnishments and statutory of the employees wages. Employers should document anywage deductions for bankruptcy garnishments (no limit on loan just like a private promissory note to protect againstdeduction amount), court-ordered child support or spousal employees who quit, default, or try to avoid the debt so thatmaintenance (employer may add $10 administrative fee per they can seek recovery through the courts. month for child support and $5 for spousal), IRS tax leviesPay Advances: If an employee is allowed to take vacation(subjecttoIRSdeductionlimitations),andguaranteed before that vacation time has technically accrued, and thatstudent loans (employer may add up to $10 administrative employeequits,theemployermaydeductthepaidbutfee per month). 35'