Decoding The California Pay Stub: Rights, Details, and Common Mistakes

[00:00:00] It impacted 19,000 workers. That equated to a $9 million settlement.

[00:00:08] Damn.

[00:00:09] It's a big hit.

[00:00:11] Welcome back folks. It's episode 131 and 42 as we talk about California pay stubs and what is necessary and required on these stubs.

[00:00:24] But before we get, we be stubborn before we get into all that.

[00:00:29] I do.

[00:00:29] I'm good man. Good. How about you?

[00:00:32] I'm alright man. I'm alright bro.

[00:00:35] Yeah man.

[00:00:36] That's good bro.

[00:00:36] As we, at the time of this recording, we are the night before election day.

[00:00:43] But by the time you hear this it would have already.

[00:00:45] It would already be.

[00:00:46] Yeah. We will already have our new president elect. We'll see how that goes.

[00:00:52] Yeah.

[00:00:53] God bless us all.

[00:00:54] You.

[00:00:57] What's that? What's going on otherwise man?

[00:00:59] Nothing. I'm good bro. I'm good. No complaints.

[00:01:03] Just taking it day by day bro. Honestly. That's it.

[00:01:06] Holiday season is upon us. Holiday season is upon us.

[00:01:09] I'm hoping that nothing gets too wild and crazy with the election.

[00:01:14] Not all my, my daughters worry about that also. I had to calm her down the other day.

[00:01:18] And it's sad. I was talking to a colleague of ours that we know and I don't wanna put him on blast like that.

[00:01:26] But he, he was saying the same thing. He was just like, yo, it's scary that these conversations, I was telling the same thing.

[00:01:31] Hey, I had to talk to my, tell my, talk to my daughter about this thing. He's that's crazy. Yeah. You gotta do that. And he actually said that I had, cause I had posted a TikTok about some stuff.

[00:01:42] He was like, yo, you really spoke to me about like, it really hit home. And he was, you know what I mean? So just thought provoking for everyone.

[00:01:51] But other than that, man, like I'm looking forward to the holiday season. I'm looking forward to my girl, Mariah.

[00:01:58] I carry. You know, she's ready. Gotta break out the song. I love it.

[00:02:06] And they gotta stress, stress the vocals.

[00:02:08] Yep. Yep. What else? That's really it, man. That's really it. It's getting ready. You know?

[00:02:15] Yeah, sir.

[00:02:17] All right. Well, let's get into it then. We got some pay news for us. Start us off with a good article here.

[00:02:23] Yeah. We're talking about pay stubs in California. I did some research and found out if there's any, were any cases out there.

[00:02:32] Well, cause there are fees and penalties that employers. Yep.

[00:02:35] Can accrue. Yep.

[00:02:37] If they're not careful. And there were some, there were two substantial ones that did occur in the state of California, actually.

[00:02:43] And this article that I have by lawsuit legit.com talks about a couple of different things and it gives these two examples.

[00:02:53] So the first one was Verizon. Verizon had a $15 million settlement.

[00:02:59] Okay.

[00:02:59] Because of pay stub violations.

[00:03:02] What?

[00:03:03] Yeah.

[00:03:04] Yeah.

[00:03:04] So.

[00:03:05] Ooh.

[00:03:06] It was in 2014 that it happened.

[00:03:09] 2014.

[00:03:10] Dang.

[00:03:10] Yeah.

[00:03:10] It was, look, it was a huge hit financially.

[00:03:14] It may have impacted their reputation beyond the monetary laws.

[00:03:18] Yeah.

[00:03:19] Some may say, Hey, I want to work there for them.

[00:03:21] Maybe in California.

[00:03:22] I love to meet.

[00:03:22] This is the first time I hear it.

[00:03:24] And it may have given them a bad reputation with the regulatory services.

[00:03:29] Oh, for sure.

[00:03:29] Hey, we got to watch.

[00:03:30] We're not.

[00:03:31] We're not.

[00:03:32] But you know, the bad thing about California sidebar is that lawyers, because they're so

[00:03:39] employee centric, lawyers just look for companies to, they're actively looking basically like

[00:03:48] how.

[00:03:49] We're.

[00:03:49] What's that?

[00:03:49] I think there's, I think that's everywhere, but I think I get what you're saying.

[00:03:53] Probably in California is more prevalent, right?

[00:03:55] Like they're chomping at the bit to like.

[00:03:57] Yes.

[00:03:58] Exactly.

[00:03:58] Right.

[00:03:59] Exactly.

[00:03:59] Right.

[00:04:00] I think of, it made me think of like how some lawyers chase ambulance, like how they talk

[00:04:06] about that ambulance chases or whatever.

[00:04:08] So that's how I picture them in Cali, but yeah.

[00:04:11] And what was the other one?

[00:04:13] The other one was a temp agency, right?

[00:04:15] This temp agency failed to provide accurate itemized wage statements to work slide to a

[00:04:21] class action lawsuit.

[00:04:22] It could be impacted 19,000 workers.

[00:04:26] Mm.

[00:04:27] Oh, that equated to a $9 million settlement.

[00:04:31] Dang.

[00:04:32] So these.

[00:04:33] It's a big hit.

[00:04:34] Yeah.

[00:04:34] These fees are, these violations are serious.

[00:04:37] So you gotta make sure you're doing the right thing in the, in the state of California.

[00:04:42] Wow.

[00:04:43] Yeah.

[00:04:44] So what do we have for us now?

[00:04:44] Yeah.

[00:04:47] Yeah.

[00:04:52] So I think that's a big hit.

[00:04:55] Yeah.

[00:05:00] Yeah.

[00:05:01] Yeah.

[00:05:03] Yeah.

[00:05:09] So I think that's a big hit.

[00:05:19] Yeah.

[00:05:19] Yeah.

[00:05:21] So what, during an interview, if he realizes that you're all about the title and how, what,

[00:05:25] who do I rule over?

[00:05:27] You know what I mean?

[00:05:28] And that's what it is about for some folks, right?

[00:05:30] It's about the titles, about that status.

[00:05:32] It's about a power.

[00:05:33] And that's a turnoff for him when he's hiring.

[00:05:36] Right.

[00:05:37] Wow.

[00:05:37] And the good, right.

[00:05:39] What he does look for is as opposed to that characteristic, he says that when people

[00:05:45] are invested in the collective success, it makes a huge difference.

[00:05:49] And that's easy to say, Hey, why did you take this job?

[00:05:51] Oh, wow.

[00:05:52] I really want to impact change.

[00:05:53] And I love working with people and serving people as opposed to, Hey, yeah, I want to

[00:05:58] be a regional manager now.

[00:06:01] And I've managed 20 people.

[00:06:03] Now I want to go to a hundred or a fit.

[00:06:05] Then it's, Oh, okay.

[00:06:06] It's about different things.

[00:06:08] Yeah.

[00:06:08] You're right.

[00:06:09] You just said it.

[00:06:10] That's exactly what I was going to say.

[00:06:11] It's different goals for different people.

[00:06:13] Like you may go through those different phases in your life when you start out and you're,

[00:06:17] and you're maybe just, you're new into a career.

[00:06:19] I don't necessarily think that it matters your age.

[00:06:23] Cause you can get into a new career even when you're older and be like headhunting and really

[00:06:28] going after it to try to get that thing.

[00:06:30] And I'd like to make a correction, sir.

[00:06:31] You do have Raising Kings in Florida.

[00:06:34] Oh, where is it?

[00:06:35] There's one in Pompano beach.

[00:06:36] No way.

[00:06:37] Yes.

[00:06:38] Off of North Federal highway.

[00:06:40] No way.

[00:06:41] He's got this there.

[00:06:42] Yo, my son done led me wrong.

[00:06:44] Is it?

[00:06:45] Cause we remember we were talking about Dave's hot chicken and all right.

[00:06:50] Cause he said that my son was like, there's nothing here in Florida.

[00:06:53] There's no Raising Cane.

[00:06:54] So Dave's hot chicken got us talking about Raising Cane's.

[00:06:57] Dang.

[00:06:57] I'm gonna have to take them.

[00:06:59] Maybe.

[00:07:00] Yeah.

[00:07:01] Next weekend we have to go to Raising Cane's.

[00:07:03] Yep.

[00:07:03] Yep.

[00:07:04] There is one.

[00:07:05] And then I think I know there's a Dave's hot chicken somewhere later.

[00:07:08] Oh no, we went to Dave's hot chicken.

[00:07:10] Yeah.

[00:07:10] There's one down here in South Florida.

[00:07:12] Now, apparently it was only in central Florida.

[00:07:14] It just came down to South Florida.

[00:07:16] The first time we went, there was a, a, a line around the block.

[00:07:21] Oh wow.

[00:07:22] Yeah.

[00:07:22] There's Raising Kings all over the place down there, bro.

[00:07:25] Oh, really?

[00:07:26] Yeah.

[00:07:27] Pompano beach.

[00:07:28] There's one in.

[00:07:28] That's what happens when you listen.

[00:07:30] Near Miami.

[00:07:31] There's two down near Miami.

[00:07:33] One near Delray, Boca area.

[00:07:35] Yeah.

[00:07:37] See.

[00:07:38] Thank you very much.

[00:07:40] Yes, sir.

[00:07:41] All right.

[00:07:42] Cool.

[00:07:42] Let's pay the bills.

[00:07:43] Time to pay the bills.

[00:07:45] Shout out to Time Track Go.

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[00:08:15] So by automatically calculating standard 40 hour work weeks and accurately determining overtime

[00:08:20] when necessary, Time Track Go ensures precise keyword precise employee time while maintaining

[00:08:29] accurate PTO balance.

[00:08:31] Those are two good words you like in payroll, right?

[00:08:33] For real.

[00:08:34] Accurate and precise.

[00:08:35] Accurate and precise words.

[00:08:37] And on time.

[00:08:38] Yeah.

[00:08:38] On time.

[00:08:39] Yes.

[00:08:39] Especially on time.

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[00:08:47] have reached that 40 hour threshold.

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[00:09:01] That is T-I-M-E-T-R-A-K-Go.com.

[00:09:07] Let's go.

[00:09:09] Let's go.

[00:09:10] I'm Brian.

[00:09:12] I was just checking with them too, to see how the webinar was that we were promoting last

[00:09:16] week.

[00:09:17] They said they had a great turnout.

[00:09:18] Good stuff folks.

[00:09:19] Yeah.

[00:09:20] If you want to learn more about Time Track Go, hit up their website.

[00:09:23] Always running good promotions.

[00:09:25] Always have good things going.

[00:09:26] That customer services is just second to none.

[00:09:29] Yeah.

[00:09:30] Check them out.

[00:09:31] All right.

[00:09:32] Let's get into the main topic.

[00:09:33] As we talk about, we continue the conversation about California.

[00:09:37] And I think as we continue to frame states, right?

[00:09:41] Like it's right.

[00:09:42] As I like thinking about, okay, what's important in the state, right?

[00:09:48] Earnings, deductions, taxes.

[00:09:50] And for California is pay stub.

[00:09:53] Cause they're really strict about what, how their pay stub is.

[00:09:57] Um, all the things that are on their pay stub.

[00:10:00] And as we'll highlight it with the news, they're hitting companies that that violate it.

[00:10:05] So you're an employee in California.

[00:10:09] Listen up.

[00:10:10] We'll got some gems for you.

[00:10:11] Yeah.

[00:10:12] So what I want you to think about in terms of the fees, I don't know if you remember who

[00:10:16] called me the clown was from living colors.

[00:10:18] I just saw a clip the other day.

[00:10:21] Yes.

[00:10:21] Thanks.

[00:10:22] Hi, I'm Steven Rothberg.

[00:10:24] And I'm Jeanette Leeds.

[00:10:25] And together we're the co-hosts of the High Volume Hiring Podcast.

[00:10:28] Are you involved in hiring dozens or even hundreds of employees a year?

[00:10:32] If so, you know that the typical sourcing tools, tactics and strategies, they just don't scale.

[00:10:38] Yeah.

[00:10:39] Our biweekly podcast features news, tips, case studies, and interviews with the world's leading

[00:10:44] experts about the good, the bad, and the ugly when it comes to high volume hiring.

[00:10:50] Make sure to subscribe today.

[00:10:53] Hold me don't play that.

[00:10:54] Hold me don't play that.

[00:10:55] Yeah.

[00:10:56] That's how California is with these space though.

[00:10:58] Yes.

[00:10:59] As I agree with that.

[00:11:00] You're right.

[00:11:01] All right.

[00:11:01] So here, we're going to talk about some key points and takeaways that, you know, you as

[00:11:06] the employee may want to consider or you should know, right?

[00:11:10] And even if you're a payroll pro or HR pro or an employer listening to this, you could

[00:11:15] take away some, some banks from this as well.

[00:11:17] California law mandates that each stuff must contain specific information, including an

[00:11:24] employee's full name, the last four digits of their social or their employee ID, the pay

[00:11:31] period dates, gross, those gross to net earnings.

[00:11:35] That can include PTO, whatever those hours are coded, OT, all those different things need

[00:11:41] to be itemized and broken out.

[00:11:43] Yep.

[00:11:43] Total hours worked even for salary, even folks, even for salary folks.

[00:11:48] And even for those non-exempt employees as well.

[00:11:51] So you want to make sure that the, have the applicable hourly rates in total hours worked at each rate.

[00:11:58] So there notice has said at each rate, you have split shifts or anything like that.

[00:12:02] What are they called?

[00:12:04] Shift differentials.

[00:12:04] Shift differentials.

[00:12:05] Yeah.

[00:12:06] Premium rates.

[00:12:07] Doing different things.

[00:12:08] Yeah.

[00:12:08] Yeah.

[00:12:09] Those different things and stuff you want to look at those deductions, right?

[00:12:12] Ooh.

[00:12:12] Those things listed like Brian started discussing saying benefits, taxes.

[00:12:17] So those are different things you want to have listed there.

[00:12:19] Paid sick leave.

[00:12:21] The balance needs to be on there when applicable, right?

[00:12:24] So those are things you want to make sure that you do.

[00:12:27] And want to make sure that you're aware of those things as the employee and the payroll pro or HR pro.

[00:12:34] You want to make sure that you give easy access to pay stubs.

[00:12:38] So employees must receive a pay stub either electronically with easy access to a printable version, or they may, they must receive it in paper form.

[00:12:48] So they elect sometimes companies, a lot of companies nowadays, they give the option to where their employee can choose to do it electronically to get it on paper form.

[00:12:59] Yeah.

[00:13:00] So this ensures that they have full access to payment details, which is protected under California strict wage and law, uh, hour laws.

[00:13:10] So, and you also want to make sure that you understand that you have a right to accurate and timely pay information.

[00:13:17] So that means you want you employees in the state of California, you have the right to inspect their pay stubs and to ensure their accuracy.

[00:13:24] Look, and not just in California, you should do this.

[00:13:27] No matter where you reside, we encourage you to really take ownership of your pay, right?

[00:13:34] Yes.

[00:13:35] Don't be afraid to ask them the questions.

[00:13:37] Yeah.

[00:13:37] It's the last one before I hand it off.

[00:13:39] And Brian gets into some comparisons with other states and get into his thing.

[00:13:43] Employees have the right to inspect their pay stubs.

[00:13:47] Like I said, and that the new have any discrepancies arise.

[00:13:50] Employees are encouraged, encouraged in the state of California to address them promptly.

[00:13:57] So Mr. Misrepresentations on pay stubs can lead to costly penalties for employers and may impact pay transparency.

[00:14:07] Think about Verizon, that $15 million lawsuit, that temp agency, $9 million.

[00:14:12] Man, like that's, man, that's crazy.

[00:14:15] Yup.

[00:14:16] Yup.

[00:14:17] This last one's for you too.

[00:14:18] Okay.

[00:14:19] Unlike California, many states only require partial wage information on pay stubs.

[00:14:24] For instance, Texas and Florida only mandate that the gross slash net earnings appear without itemized deduction or, or deductions or hourly details.

[00:14:36] California's detailed approach underscores it, its commitment to waste transparency and employee rights.

[00:14:42] See, and that's a great call.

[00:14:44] I love that the comparison was for Texas and Florida, cause we've been saying in the show, that's the difference between, yes, you don't pay income tax in Texas and Florida.

[00:14:53] And there's eight or nine other states that you don't pay income tax in, but you lose that advocacy, that governing body, that employee centric.

[00:15:03] That's why can I say the word anymore?

[00:15:06] Employee centric.

[00:15:07] Governing government, right.

[00:15:09] That's protecting your rights.

[00:15:11] Florida.

[00:15:12] We don't pay income tax, but guess what?

[00:15:15] We don't have all these rules either.

[00:15:16] Cause there's no staff.

[00:15:18] There's no people actually doing that, right?

[00:15:21] Actually going out and policing the employers and making sure that they're doing it and making sure they're compliant.

[00:15:28] So that's the trade all.

[00:15:29] So I think that was a good one.

[00:15:30] Those all of the, all again, that section was for our employees, mainly, those are the things you need to think about now for our payrollers and all the folks that are responsible to actually get those paychecks out the door in whatever fashion.

[00:15:44] Right.

[00:15:45] And there is some overlap here, of course, but for the employers, here's here, the things that you should know, the covered employers, meaning the employers that have to abide by these rules are all employers, except local government organizations, school districts, and not for profit schools that employ students.

[00:16:08] Right.

[00:16:09] Weird exceptions, but those are the exceptions in California.

[00:16:13] Yeah.

[00:16:14] The non for profit schools that employ students is like, what?

[00:16:17] But okay.

[00:16:18] Look up.

[00:16:18] And, but this isn't the reason you got to go look up the exceptions, right?

[00:16:21] If you're not a local government or school district or not for profit school, then you pretty much have to abide by the law.

[00:16:29] Um, now payments can be made in Cali paycheck, cash, a paper check or direct deposit, of course.

[00:16:41] But it also goes as far as to say anything that was a method that can be fully cashed on demand at the business location in this.

[00:16:51] Yeah.

[00:16:51] Yeah.

[00:16:52] I want to go back to something because I'm just thinking about like the covered employers, how it said all employers accept.

[00:16:59] And this kind of threw me for a loop, except for some local government organizations.

[00:17:03] I'm like, wait, why would, I understand it's a little bit different, but I know the state is mandating it.

[00:17:08] Yeah.

[00:17:09] Like when you want the local government to be like transparent with the stuff that makes it seem shady to me, but yeah, I don't know.

[00:17:16] Yep.

[00:17:17] Yep.

[00:17:18] But honestly, that's how it is at the federal level too.

[00:17:22] Mm hmm.

[00:17:22] Right.

[00:17:23] That'd be like, oh, but it works both ways.

[00:17:25] Cause then sometimes they do a law and it's like only the federal government is impacted by it and not all businesses.

[00:17:34] So it works both ways, but yes, good call out.

[00:17:37] What threw me off was, and this speaks to how old these laws are.

[00:17:43] Yeah.

[00:17:43] Right.

[00:17:44] That they just, they're so old.

[00:17:45] Cause it said basically it's okay.

[00:17:48] You can get paid in cash, check direct deposit or anything that's on demand that you can solve at the location.

[00:17:54] Hey, I'm going to say, give you this card and this is the pay card.

[00:17:58] You gotta come back and hand this card in for pay.

[00:18:01] It's not, it's crazy.

[00:18:02] Any of the check.

[00:18:04] Uh, in that payment method, the check must show the business's name and address.

[00:18:09] And if it's drawn on a bank, again, how old these rules are, right?

[00:18:15] Cause I had to read this several times to understand what it said.

[00:18:18] If it's drawn the bank name and address don't have to be on the check, but it must be able to get cashed at any branch of that bank.

[00:18:27] Hi there.

[00:18:29] I'm Peter Zollman.

[00:18:30] I'm a cohost of the inside job boards and recruitment marketplaces podcast.

[00:18:35] And I'm Steven Rothberg.

[00:18:36] And I guess that makes me the other cohost.

[00:18:38] Every other week we're joined by guests from the world's leading job sites.

[00:18:42] Together.

[00:18:43] We analyze news about general niche and aggregator job board and recruitment marketplaces sites.

[00:18:48] Make sure you sign up and subscribe today.

[00:18:54] Weird.

[00:18:55] Right.

[00:18:56] Yeah.

[00:18:57] So.

[00:18:58] How's that?

[00:18:59] Exactly.

[00:18:59] And I get it that you don't have to put the bank name on it or whatever, but.

[00:19:04] Any who.

[00:19:05] And then now here's some of the, the overlapping information.

[00:19:08] Walt shares some of this stuff.

[00:19:09] What has to be on the pay statement, the gross and net wages.

[00:19:13] So it's always good to give a good reminder.

[00:19:16] Absolutely.

[00:19:16] No, especially because again, we're repeated for our payroll pros, right?

[00:19:20] Taking notes and we just, oh my gosh, I didn't know that.

[00:19:23] The gross and net wages, the applicable hours and rates in effect during the pay period,

[00:19:29] the number of hours worked by each employee and their each hourly rate, number of peace rate units earned and any applicable peace rates.

[00:19:41] Right.

[00:19:41] You may get a different rate for doing widget A than widget B.

[00:19:45] Then you gotta, it's gotta say that.

[00:19:48] Deductions.

[00:19:49] Pay periods, start and end dates.

[00:19:53] Employees name.

[00:19:55] Employee.

[00:19:55] Only the last four of the social.

[00:19:58] This keyword's only the last four of the social.

[00:20:01] Mm-hmm.

[00:20:03] Or another employee ID other than the social security number, right?

[00:20:08] You cannot.

[00:20:09] Point being, you cannot put somebody's whole social on their check.

[00:20:13] Nope.

[00:20:14] Employers name and address.

[00:20:16] And then overtime hours may be itemized as corrections on the regular pay stub with identified dates of the pay period for any corrections.

[00:20:24] Meaning, I think what that means is if they owe you overtime from another pay period, it still has to be like, right?

[00:20:32] And then this is something that I was always a stickler with or still am a stickler with retro.

[00:20:38] Right?

[00:20:38] If you do retro hours, I like to break it out.

[00:20:42] Hey, here's retro hours regular, retro hours OT.

[00:20:46] Mm-hmm.

[00:20:47] Some folks just dump it in all retro.

[00:20:50] Mm-hmm.

[00:20:50] But you really can't tell, especially if, cause then you gotta argue.

[00:20:54] Then you, then I feel like you gotta, you gotta explain, you gotta explain anyway, right?

[00:20:58] Yeah.

[00:20:58] Just.

[00:20:59] Cause what if the employee challenges you?

[00:21:01] Yeah.

[00:21:01] You didn't pay me all my OT for this year.

[00:21:03] That's what I was saying.

[00:21:04] You gotta explain it to the employer anyway.

[00:21:06] You gotta.

[00:21:07] Might as well break it out nicely.

[00:21:08] Make it easy for yourself as the payroll professional and the organization to just break this stuff out.

[00:21:14] Yeah.

[00:21:14] And then Walt said the paid sick leave or paid time off.

[00:21:17] And not only what you've used, but your current balance has to show.

[00:21:22] Mm-hmm.

[00:21:23] And believe me, employees will hold you to this in Cal.

[00:21:26] I remember Cali employees being like, Hey, where is it all?

[00:21:31] Where's my balance?

[00:21:32] My balance is not right.

[00:21:33] It's not on here.

[00:21:34] Yep.

[00:21:34] Yep.

[00:21:34] Don't think that they don't know and they're not paying attention.

[00:21:36] Some of them are very savvy.

[00:21:38] All of us Cali employees need to be, but so keep that in mind.

[00:21:44] And then the last, oh, a couple more points.

[00:21:46] I'm sorry.

[00:21:47] Farm labor contractors.

[00:21:48] If you are a farm labor contractor, you must include the name and address of the legal entity

[00:21:54] that secured the employer's services on the farm labor's pay statement.

[00:21:59] And then payment for mandated break time and other non-productive time must be listed separately

[00:22:08] on peace rate workers pay statement.

[00:22:12] I don't know what all that means, but if you, if this applies to you, you need to follow up

[00:22:16] and look that up.

[00:22:17] I know what the mandated break time is.

[00:22:19] I get that.

[00:22:19] But like the non-productive time, that was interesting to me.

[00:22:23] Yeah.

[00:22:23] Cause you're a peace worker, you get paid by a piece and then they gotta live.

[00:22:27] So look that up.

[00:22:28] If this is a applies to you as a payroll or go look it up, go follow up.

[00:22:33] This is all that I included in here.

[00:22:35] I don't know.

[00:22:36] This is all on the California's websites and stuff like it's in there.

[00:22:40] And now real quick, the penalties, the penalties that are applicable.

[00:22:46] The penalties that are available is let's see pay a payment, a payment method violation.

[00:22:50] If you violated the pay method law laws, it's a hundred dollars civil penalty for the first

[00:22:56] violation, 200 for each additional violation plus 25% of the amount due.

[00:23:06] Yep.

[00:23:07] Pay statement violation.

[00:23:08] So that was pay method violation.

[00:23:10] This is pay statement violations is penalty of either actual damages or $50 for the first

[00:23:18] violation, a hundred dollars per employee for each additional violation up to $4,000 plus

[00:23:26] costs and reasonable attorneys fees.

[00:23:28] Wow.

[00:23:30] So that's where it racks up because it's like penalty of either actual damages or the $50.

[00:23:37] Then a hundred dollars per employee up to $4,000.

[00:23:40] So imagine if you have thousands and thousands of employees times $4,000 plus attorney's fees.

[00:23:46] That's why they got hit for the nine and 15 million on those companies.

[00:23:50] And they add up over time.

[00:23:52] It adds up.

[00:23:53] And then a separate section is failure to itemize deductions and provide statements is a misdemeanor

[00:24:00] with a fine up to a thousand dollars or a year in jail.

[00:24:04] And which, my God, that's crazy.

[00:24:08] Excuse me.

[00:24:09] You're making me a joke.

[00:24:09] A civil penalty, $250 per employee for the first violation, unless due to clerical error

[00:24:16] or mistake.

[00:24:18] You gotta be able to prove that folks be, but that's why documentation is a pillar of payroll.

[00:24:24] You and transparency, we gotta update it and make radical transparency a pillar of payroll.

[00:24:31] Because if you're, if you report your error and you document your errors fearlessly, meaning, and then this is not every environment that you could probably do it.

[00:24:41] Because now I'm sure not all employees feel this comfortable, but it's the right way to do it.

[00:24:46] You, as an employer, you really want to get your staff to a point where, please let's report errors.

[00:24:54] Let's be transparent.

[00:24:55] One, cause you're fixing your system.

[00:24:56] You'll get better at fixing.

[00:24:57] And two, you have the documentation to back yourselves up later to say, oh, what happened here?

[00:25:04] Oh gosh, that was an error we made, but look, here's all the backup.

[00:25:08] Here's what we did to correct it.

[00:25:10] Here's boom.

[00:25:10] Here's all the backup, the corrective action, the results, all that good stuff.

[00:25:15] And then, and oh, under this same category, a thousand dollars per employee for each additional violation.

[00:25:21] So two 50 for the first one, but a thousand dollars for each additional per employee.

[00:25:28] So they're giving you that time to correct it.

[00:25:30] We warned you, we fight, but if you don't fix it, we coming back really hard.

[00:25:35] It'd be a pizza.

[00:25:36] Give me a trigger.

[00:25:37] Me, man.

[00:25:38] Reminded me of those.

[00:25:39] I know it's different.

[00:25:40] It reminded me of the bank fees that we used to get back in the day.

[00:25:43] Dude, you can't say bank fees.

[00:25:45] I immediately think of bank of America.

[00:25:46] Sorry, bank of America.

[00:25:48] Y'all kill me back in a day.

[00:25:49] Well, Swerdo got me.

[00:25:51] It was, but not for nothing.

[00:25:54] And we've talked about this many times.

[00:25:56] Those predatory fees back then is why they changed the law.

[00:26:01] It don't happen again the same way, but still they would kill.

[00:26:05] Oh God.

[00:26:06] They made so much money on people like us.

[00:26:09] And what I mean by people like us, broke folks back in the house, young and broke and ignorant.

[00:26:15] And then they also have a right to correct section that I found in the law.

[00:26:20] Yeah.

[00:26:20] Employers can correct violations of provide, of providing pay period dates and employers legal entity information before facing civil action.

[00:26:28] Okay.

[00:26:29] Employee must send a written complaint by certified mail to the department of labor and workforce development and the employer.

[00:26:37] Ooh, that actually should have been up in the employee section.

[00:26:41] Mm-hmm.

[00:26:42] And then department of labor workforce development will notify the employer and the employer has 30 days to correct the issue if notified and 33 days to correct the issue if department of labor does not notify.

[00:26:58] Either way, you got it correct.

[00:27:00] Yeah.

[00:27:00] Either way, you got it corrected.

[00:27:03] Have you ever been to a webinar where the topic was great, but there wasn't enough time to ask questions or have a dialogue to learn more?

[00:27:09] Well, welcome to HR and payroll 2.0, the podcast where those post webinar questions become episodes.

[00:27:14] We feature HR practitioners, leaders, and founders of HR, payroll, and workplace innovation and transformation, sharing their insights and lessons learned from the trenches.

[00:27:23] We dig in to share the knowledge and tips that can help modern HR and payroll leaders navigate the challenges and opportunities ahead.

[00:27:30] So join us for highly authentic, unscripted conversations, and let's learn together.

[00:27:35] Well, that's it.

[00:27:36] Yeah, it's so interesting.

[00:27:38] And look, if you're an employee in Cali, call up a lawyer.

[00:27:42] They're gonna, they're gonna, they will, I'm sure they will get it going for free because those lawyers love some violent, some business violations out there.

[00:27:52] So yeah, man, as we wrap it up, I see we got a nice, we got a fun little this or that for the holiday.

[00:27:58] Yeah.

[00:27:59] We haven't done it in a while now.

[00:28:00] We haven't had, we should do it.

[00:28:02] Yeah, we should do it.

[00:28:03] It's fun.

[00:28:03] You know what I mean?

[00:28:04] So I think we both have to give answers, right?

[00:28:07] Yeah, we both do.

[00:28:08] We should both be getting there.

[00:28:09] Okay.

[00:28:09] I wanna go first.

[00:28:10] You, I wanna ask you first.

[00:28:12] Okay.

[00:28:12] A Christmas story or Home Alone?

[00:28:15] Yeah.

[00:28:15] This one was easy for me, man.

[00:28:17] Which was it?

[00:28:17] It's Home Alone for me.

[00:28:20] Okay.

[00:28:20] A Christmas story?

[00:28:22] Go ahead.

[00:28:22] Go ahead.

[00:28:23] No, go ahead and say your answer and then we'll talk about why.

[00:28:26] Mine is neither.

[00:28:28] Die Hard.

[00:28:29] Die Hard for Christmas.

[00:28:30] Okay.

[00:28:31] I get it.

[00:28:32] I get it.

[00:28:32] Cause Home Alone was like growing up.

[00:28:34] I think about being a kid growing up and that's what, that's what we will watch and stuff like that.

[00:28:39] So between those two.

[00:28:41] If I had to make a choice, it would be them.

[00:28:43] I don't watch either now, but yeah, I don't watch.

[00:28:47] I watch all of them now.

[00:28:48] No, I haven't.

[00:28:50] No, man.

[00:28:51] Die challenge this.

[00:28:52] I watch sports.

[00:28:54] Watch basketball.

[00:28:54] No.

[00:28:55] It's a must.

[00:28:56] This season, you must watch them all.

[00:28:58] Do all the Christmas movies.

[00:29:00] The Grinch.

[00:29:01] The new Grinch is bomb.

[00:29:03] Yep.

[00:29:04] The new animated Grinch is awesome.

[00:29:06] You gotta watch them all this season.

[00:29:08] No excuses.

[00:29:09] Okay.

[00:29:09] Gotcha, man.

[00:29:10] Gotcha.

[00:29:10] All right.

[00:29:10] On your, your in-house date nights.

[00:29:12] You know what I mean?

[00:29:13] Your movie nights.

[00:29:14] Movie nights.

[00:29:15] Chill.

[00:29:15] We'll be cooking it up.

[00:29:17] Yep.

[00:29:17] Yes.

[00:29:17] See what I'm saying?

[00:29:18] You gotta do it and watch the movies.

[00:29:20] All right.

[00:29:20] Second one is rum cake or coquito or eggnog for the non Latinos.

[00:29:26] Not first.

[00:29:27] Yeah.

[00:29:27] So for me, I'm going to have a deal with coquito.

[00:29:30] And I wore that.

[00:29:32] Okay.

[00:29:33] You got it.

[00:29:33] You can't do a store-bought rum cake.

[00:29:35] And if you don't do a store-bought rum cake, you got to make sure that you get it

[00:29:38] from a place or a person that, you know, it it's, it's on point.

[00:29:42] Cause sometimes man, it's, it'd be a hit over this bro.

[00:29:46] It agreed.

[00:29:47] See, that's how I feel about coquito too, that I don't get it usually from outside the house.

[00:29:51] Although Bacardi has a great bottled coquito.

[00:29:55] Don't tell my mom, I said that already.

[00:29:59] But, but it's funny cause so rum cake.

[00:30:02] So for me, both.

[00:30:04] Okay.

[00:30:05] Both.

[00:30:06] Yes.

[00:30:07] Because we do the coquito and my wife has a, I don't know if we're gonna, if she still

[00:30:14] knows the person that does the rum cake homemade.

[00:30:17] Bro.

[00:30:18] And I think she soaks it in rum after it's baked.

[00:30:22] Wow.

[00:30:23] Yes.

[00:30:24] Not kids cannot eat this cake.

[00:30:27] It's no alcohol is burned off in the baking process.

[00:30:30] This is, it got rum in this cake.

[00:30:33] Dripping with a shot at each piece.

[00:30:35] Oh wow.

[00:30:36] Well, yes.

[00:30:38] Okay.

[00:30:38] Last one.

[00:30:39] Turkey or ham?

[00:30:40] I'm gonna go with turkey.

[00:30:41] What about you?

[00:30:42] Turkey.

[00:30:43] Yeah.

[00:30:45] Pretty much neither.

[00:30:47] Yerp.

[00:30:48] Which is a roasted roast pork shoulder.

[00:30:51] And it's so funny cause we were just talking about, oh wait, no, I had one more for you.

[00:30:56] Okay.

[00:30:57] What was that?

[00:30:57] Pumpkin pie or sweet potato pie?

[00:30:59] They're both good, but I always gotta go with the sweet potato.

[00:31:02] You always go with sweet potato.

[00:31:03] Okay.

[00:31:04] Yeah.

[00:31:04] What about you man?

[00:31:05] I do both, but I kinda, I think I lean toward pumpkin.

[00:31:10] Okay.

[00:31:11] Yeah.

[00:31:12] Actually like pecan pie.

[00:31:13] I do all pies.

[00:31:15] Holidays, I'll be trying to get all the pies.

[00:31:19] Yeah, man.

[00:31:20] As you can see, that's why I got the fat neck.

[00:31:23] Oh God, stop saying.

[00:31:24] Um, yeah.

[00:31:26] So yeah, man.

[00:31:28] Oh, I was gonna say, we were just talking about it.

[00:31:31] We had like turkey ends up being such a waste because they, and we keep trying to get smaller

[00:31:38] and smaller on the turkey.

[00:31:39] No, we don't eat the turkey.

[00:31:41] We're on our penne, we're on our get them ham and we're eating other things.

[00:31:45] Pasteles is a big part of our holiday season.

[00:31:48] So we, we eat everything but turkey, especially for Thanksgiving.

[00:31:52] So his wifey was like, how about no turkey?

[00:31:55] Oh, we agree.

[00:31:57] No turkey.

[00:31:58] Cause we just not.

[00:32:00] Not turkey fans.

[00:32:01] Not big turkey fans.

[00:32:02] Yeah.

[00:32:03] I kinda like the sandwich of the day after.

[00:32:05] It's good.

[00:32:06] A turkey sandwich as opposed to turkey.

[00:32:09] And so who knows?

[00:32:11] One year.

[00:32:12] I remember we did a, I, I did boneless turkey breasts and it was kind of, it was like, yeah.

[00:32:19] Yeah.

[00:32:20] All right.

[00:32:20] I do have one more for you.

[00:32:22] All right.

[00:32:23] Go here.

[00:32:23] Are you a stuffing or dressing person?

[00:32:28] Stuffing.

[00:32:29] I didn't even know what dressing was until I moved to the south.

[00:32:33] And I was like dressing.

[00:32:35] Yeah, sure.

[00:32:36] We got Italian.

[00:32:37] We got French.

[00:32:37] We got this.

[00:32:38] Like what?

[00:32:39] I was like, what's dressing?

[00:32:40] Uh, yeah.

[00:32:41] It's the same thing, right?

[00:32:43] No, I think stuffing is what, what the people actually put inside the bird.

[00:32:46] Cause sometimes people put the stuffing in the bird.

[00:32:49] They put it inside the bird.

[00:32:50] Yeah.

[00:32:50] And then the dressing is like when they do it on the side.

[00:32:54] Yeah.

[00:32:54] They call it the same thing.

[00:32:56] Like cornbread dressing.

[00:32:57] Like they, I would do it with cornbread, but she won't stuff the bird with it.

[00:33:00] She'll just bake it by itself on the side.

[00:33:02] My mom does both, but it's the same thing.

[00:33:07] She'll stuff it.

[00:33:08] Same mixture.

[00:33:09] She'll put the cornbread sauces, stuffing.

[00:33:12] Yeah.

[00:33:13] And then also make a tray of it on the side.

[00:33:14] Cause it's never enough.

[00:33:15] That I eat that and right.

[00:33:17] Yeah.

[00:33:17] It's the same to me.

[00:33:18] Cause I think the one in the bird gets a little, little wet.

[00:33:21] Too wet for me.

[00:33:22] But put it away.

[00:33:24] Fair.

[00:33:25] Fair.

[00:33:25] It is a little bit more.

[00:33:26] So yeah, it's fair.

[00:33:28] I'll take that.

[00:33:29] All right, man.

[00:33:30] So before we close it out, I wanted to ask what are some good perks that employers can

[00:33:39] give employees can get during the holidays?

[00:33:42] Right.

[00:33:42] Cause for instance, once upon a time, everybody got a free Turkey.

[00:33:47] I never got a free Turkey.

[00:33:49] Cause I think we're too young for it.

[00:33:51] I remember my mom always getting a free Turkey.

[00:33:55] Like she depended on it.

[00:33:56] And it was, and then at some point I feel like, I think it was like people, employees

[00:34:01] started complaining about getting sick or the bad to write.

[00:34:06] And that's why they stopped the actual literal Turkey.

[00:34:09] And then some employees would try to do the butterball gift certificate or gifts.

[00:34:15] It's a big turnaround.

[00:34:17] Yeah.

[00:34:17] But then it, but then even that becomes a problem because technically when we're talking payroll

[00:34:23] here, if you get a gift certificate for $25 or more, that should be added on to your earnings

[00:34:31] for the year and taxed.

[00:34:33] Technically.

[00:34:33] Yeah.

[00:34:34] Technically.

[00:34:35] Sorry to be the bearer of bad news here, folks.

[00:34:37] But so then it's like, what do employers do?

[00:34:42] If you have the budget for it?

[00:34:44] I like, I've always liked receiving a holiday bonus.

[00:34:48] I was very real as an employee was dad's stuff during the holidays.

[00:34:52] And look, a holiday bonus could be 50 bucks, a hundred bucks, two 50, whatever it look,

[00:34:59] it's going to get taxed at that bonus rate and stuff like that.

[00:35:02] So you're going to pay the potentially pay the supplemental.

[00:35:05] Maybe potentially.

[00:35:06] Thank you for saying potentially.

[00:35:07] Right.

[00:35:07] Look, I'm going to give you some work, the money that's going to go towards something

[00:35:11] that I need or something for the holidays.

[00:35:12] Right?

[00:35:13] So for me, I feel like more people may appreciate that.

[00:35:17] Look, there's some companies I worked for where they didn't do any of that.

[00:35:20] And you say, Hey, early release day.

[00:35:23] Oh, oh, I'll take that.

[00:35:26] Right.

[00:35:26] I'll take that only because only because more recently, I just, you think about the cash

[00:35:33] register, right?

[00:35:34] Mm-hmm .

[00:35:34] And it's like, if you, if it has to be earnings to the employee, the employer, it has to incur more costs for that.

[00:35:45] It's if you can avoid it being a earning to the employee, then the employer actually saves money.

[00:35:54] I do.

[00:35:55] I do.

[00:35:55] Of course, cash is king.

[00:35:57] I'll take cash, but I would take days off half days.

[00:36:02] Shoot.

[00:36:02] Work from home because our business, our world, we should all have the ability to work from home.

[00:36:09] I'm not, it was an interesting question.

[00:36:11] What pay rollers out there?

[00:36:13] What scenario would they actually have to be on site?

[00:36:17] That's I'm curious.

[00:36:18] But if you work in an industry where you can actually work from home, you know what?

[00:36:23] Hey, let our, let your employees work from home those weeks, especially parents.

[00:36:27] The kids are off the week of Thanksgiving.

[00:36:29] Kids are off the week of Christmas.

[00:36:31] It's a big help for them to, you know, have that time home.

[00:36:35] I'll work, but hey, let me work from home.

[00:36:37] Yep.

[00:36:38] So I like that the half days or days, early days, early release.

[00:36:42] I was going to say, look, and I'm not a, I'm not opposed to a good party either.

[00:36:46] I'm going to holiday party, good meals, some free drinks, something like that.

[00:36:51] I'm not opposed to that at all.

[00:36:53] No company sponsored or like company.

[00:36:55] Oh, okay.

[00:36:57] No, God.

[00:36:58] No.

[00:36:58] Thanks for saying that.

[00:36:59] No potluck people.

[00:37:02] No potlucks.

[00:37:03] I'm not doing potlucks.

[00:37:05] That could be an episode in itself there, sir.

[00:37:07] Yes, you're right.

[00:37:09] And we look next safe talk.

[00:37:12] To potluck or not.

[00:37:14] Yep.

[00:37:15] My luck for you.

[00:37:16] Because we in the holiday season for two months, so we can cover it.

[00:37:18] Yeah.

[00:37:19] Let's go.

[00:37:19] Yeah, let's do it.

[00:37:20] Let's do it.

[00:37:20] Oh man.

[00:37:21] That was fun, man.

[00:37:22] Thanks for the episode, partner.

[00:37:25] Yes, sir.

[00:37:25] Likewise.

[00:37:26] Yeah, man.

[00:37:27] To the rest of y'all have a great, safe holiday season.

[00:37:31] We're going to see you next week.

[00:37:32] Just getting everybody ready.

[00:37:33] Gear up.

[00:37:33] It's time folks.

[00:37:34] It is the time of this recording.

[00:37:36] It is November 4th.

[00:37:38] We are the holiday season is upon us.

[00:37:40] Get your life together.

[00:37:42] Start planning.

[00:37:43] And hey, if you plan to be broke, then hey, that's the plan.

[00:37:47] Make sure you avoid parties and make a plan.

[00:37:51] How you want to avoid.

[00:37:52] As long as you're happy.

[00:37:53] That's all I'm saying.

[00:37:54] Oh, heck yeah.

[00:37:55] You can be broken and happy.

[00:37:58] I saw a post.

[00:38:01] I'm sure everybody has seen.

[00:38:02] Oh, I did the budget.

[00:38:03] Looks like everybody's getting a hug this year.

[00:38:06] Yeah.

[00:38:08] High five.

[00:38:09] And a high up.

[00:38:10] What was true?

[00:38:10] Air five.

[00:38:11] Yep.

[00:38:12] COVID still exists.

[00:38:13] Oh, my God.

[00:38:16] Wait.

[00:38:17] Okay.

[00:38:17] We got to save it for the potluck.

[00:38:19] Yeah, we're going to save it for the potluck.

[00:38:20] Let's save it for the potluck.

[00:38:21] Oh, my God.

[00:38:22] All right, folks.

[00:38:23] We love you.

[00:38:23] Peace.

[00:38:24] Peace.

[00:38:26] Before we sign off, here are a couple of quick things.

[00:38:29] Don't forget to follow.

[00:38:31] It's about payroll on LinkedIn and it's about your paycheck on Facebook and TikTok.

[00:38:36] Thank you for being part of our payroll community and thank you for being a part of this journey

[00:38:42] with us until the next time.

[00:38:44] Keep learning.

[00:38:45] Keep growing.

[00:38:46] And most importantly, keep going.