Payment of Wages: Pennsylvania
Federal law and guidance on this subject should be reviewed together with this section.
Author: Vicki M. Lambert, The Payroll Advisor
- Employers in Pennsylvania may pay wages to employees in cash or by check, direct deposit or payroll card under certain conditions. See Wage Payment Methods.
- In Pennsylvania, employees must be paid at least twice a month, but employers may set more frequent paydays. See Pay Frequency.
- With employees' consent, Pennsylvania law allows employers to make various deductions from employees' pay. See Permitted and Prohibited Wage Deductions.
- The City of Philadelphia has a wage theft ordinance under which an employer may be liable for penalties for failing to pay employees the full amount of wages they have earned, in addition to any applicable state penalties for failing to pay wages in full. See Philadelphia Wage Theft Ordinance.
- Employers must provide each employee with a pay statement with every payment of wages which must include specific information. See Pay Statement Requirements.
- Terminated employees must be paid their final wages, including unused vacation time, according to certain rules. Employers are subject to penalties for failure to comply. See Termination Pay.
- After the death of an employee, employers must follow a very specific set of rules in order to properly turn over any compensation owed to the deceased employee's estate or survivors. See Deceased Employee Wages.
- Unclaimed wages are considered abandoned property after two years. Employers must remit the unclaimed wages and file an annual report with the state. Penalties are imposed for noncompliance. See Unclaimed Wages.