Overview  Understanding Pay Stub Laws

Pay stub laws govern what must appear on wage statements, how they are delivered, and how long records are retained. These laws ensure employees receive accurate documentation of their earnings, deductions, and taxes. Pay stubs, also known as wage statements, are legal documents that reflect how an employee’s pay is calculated for each pay period. Requirements vary by state and country, including information disclosure, electronic consent rules, and employer obligations. Employers and employees must follow pay stub laws to ensure compliance and avoid disputes. For practical examples, see our Pay Stub Retrieval Guide.

For official federal guidelines, visit the U.S. Department of Labor (DOL) and for employee rights, refer to the SHRM guide on pay stubs.

Core Elements Employers Must Include on a Pay Stub

Understanding pay stub laws helps employers ensure compliance. Most jurisdictions require pay stubs to contain clear, readable information that allows employees to verify pay and deductions. Typical elements include:

• Employee identification: name and sometimes ID or partial SSN.
• Pay period and pay date: start and end dates and payment date.
• Gross wages: total earnings before deductions.
• Itemized deductions: taxes, insurance, retirement contributions, garnishments, and other deductions.
• Net pay: take-home pay after deductions.
• Hours and rates: regular and overtime hours for hourly workers.

Employers should confirm local requirements to comply with pay stub laws. Learn more about record retention requirements.

Electronic Pay Stubs: Consent & Access Rules

Many companies now follow pay stub laws that allow electronic delivery of pay stubs. Key requirements often include:

• Employee consent: employees must opt in for electronic stubs or choose between paper and digital.
• Reasonable access: stubs must be accessible and printable for a reasonable period.
• Security: protect sensitive data with encryption, unique logins, and password protection.

Document consent and provide alternatives. See our Pay Stub Generator for compliant electronic stubs.

Record Retention Requirements for Pay Stubs

Pay stub laws often dictate how long employers must keep payroll records. Best practices include:

• Keep records 3–7 years; confirm local laws.
• Securely store paper and electronic records with backups.
• Include W-2s, 1099s, timecards, and benefit enrollments with pay stubs.

Check our guide on best practices for pay stub archiving.

Final Pay & Termination Rules

Employers must provide final pay and itemized stubs after employment ends, in accordance with pay stub laws. Obligations typically include:

• Delivering final pay within statutory timeframe or next scheduled pay date.
• Listing accrued unpaid wages like vacation or overtime.

Maintain documented off-boarding procedures. See our Employee Rights on Final Pay guide.

Penalties & Enforcement

Failure to follow pay stub laws may result in:

• Fines for missing or inaccurate stubs.
• Wage recovery claims and civil damages.
• Regulatory audits, back taxes, and interest.

Read about state-specific penalties in our Pay Stub Penalties Guide.

State & Local Variations

Pay stub laws vary by state, so employers must map rules for each location. Best practices include:

• Use the most protective rule as a baseline.
• Employ payroll software for state-specific formatting; see Payroll Tools.

Employer Compliance Checklist

1. Confirm required pay stub fields per jurisdiction.
2. Document electronic consent.
3. Ensure payroll systems capture deductions and YTD totals.
4. Provide secure employee self-service (logins, MFA, printing).
5. Establish record retention and backup procedures.
6. Train HR/payroll staff for final pay and off-boarding.
7. Audit payroll records quarterly or annually.

Practical Advice for Employees

• Save pay stub copies (download PDFs).
• Verify gross pay, deductions, and net pay each period.
• Request written stubs if portal access is unavailable.
• Know final pay timelines to follow up post-separation.

Learn more in our Employee Pay Stub Tips.

Payroll Tools for Compliance

Modern payroll platforms and pay stub generators help employers comply with pay stub laws by formatting stubs correctly, supporting multi-state rules, and maintaining secure archives.

• Review sample formats in our Pay Stub Retrieval Guide.
• Create temporary, accurate pay statements when official copies are unavailable.

Frequently Asked Questions

Do employers have to give a pay stub every pay period?

Many jurisdictions require it each pay period to comply with pay stub laws. Elsewhere, pay information must be provided upon request. Verify local rules.

Can employers send pay stubs only by email?

Email is acceptable if employees consent and access/security rules are met. Document consent and provide alternatives.

How long should I keep pay stubs?

Keep stubs for the legally required period (commonly 3–7 years). Employees should also keep copies for taxes and loans.