Mastering Payroll Deductions: Compliance & Best Practices for 2025

Calculating gross wages is just the beginning—determining what must, can, or cannot be deducted to arrive at an employee’s net paycheck requires careful adherence to strict regulations. Mistakes in deductions, such as improper handling of taxes, fringe benefits, or overpayments, can lead to significant penalties from the IRS, federal, or state Department of Labor. This webinar will provide clear guidance on navigating these complexities, including special considerations for final paychecks and state-specific anti-wage theft laws.

Areas Covered

• Taxes: Mandatory deductions, courtesy deductions, and employee-controlled deductions.
• Child Support: Understanding limits and compliance requirements.
• Tax Levies: Processing federal and state tax levies correctly.
• Creditor Garnishments: How many can be honored and how often?
• Voluntary Wage Assignments: When “payday loan” deductions must be honored.
• Fringe Benefits: Deducting for health insurance, group-term life, and more.
• Uniforms: When employers vs. employees cover costs.
• Meals and Lodging: When they count as wages or perks.
• Shortages and Breakage: Legal considerations for deductions.
• Overpayments: Can you recover overpaid amounts, and how?
• Advanced Vacation Pay: Rules for deductions upon termination.
• Employee Loans: Terms for active and terminated employees.
• Employee Purchases: Handling for active and terminated employees.
• Anti-Wage Theft Laws: State-specific regulations and compliance.
• Final Paychecks: Special rules for deductions when employees leave.
  

Why Attend?

• Ensure Compliance: Avoid penalties from the IRS and Department of Labor.
• Clarify Complex Rules: Understand mandatory, permissible, and prohibited deductions.
• Minimize Audit Risks: Learn best practices to stay audit-ready.
• Navigate State Differences: Address variations in federal vs. state regulations.
• Practical Guidance: Get actionable strategies for regular and final paychecks.
• Live Q&A: Address your specific payroll challenges with our expert.