Payment of Wages: Minnesota
Federal law and guidance on this subject should be reviewed together with this section.
Author: Megan Anderson, Gray Plant Mooty
- The term wages is only generally defined in the Minnesota wage payment law in the pay frequency provisions. See Definition of Wages.
- Minnesota employers may pay employees in cash or by check, direct deposit or electronic paycard, if certain requirements are met. Penalties are imposed for employer violations. See Wage Payment Methods.
- Most Minnesota employees must be paid at least once every 31 days on a regularly scheduled payday. Migrant workers, workers on transitory projects and employees of public service corporations must be paid more frequently. Penalties are imposed for employer violations. See Pay Frequency.
- Employers are either permitted to make, or prohibited from making, certain types of deductions from the wages of employees. Deductions must not result in an employee earning less than the applicable minimum wage. Except in limited circumstances, the amount of any permitted deduction may not exceed the amount established by law for wage garnishment. Civil penalties are imposed for noncompliance. See Permitted and Prohibited Wage Deductions.
- Employers must provide each employee an itemized pay statement for each payment of wages containing certain information required by Minnesota law. Employers may issue earnings statements electronically if certain conditions are met. The Minnesota Department of Labor and Industry is authorized to file a claim against a noncompliant employer. See Pay Statement Requirements.
- At the start of employment, an employer must provide each employee with a written wage notice containing specific information. An employer must keep a copy of each wage notice signed by each employee acknowledging receipt, and also must notify an employee of any changes to the information contained in a wage notice in writing prior to the date the changes take effect. Wage notices and notices of changes must be provided to each employee in English or in the language requested by an employee. See Employee Notification Requirements.
- Minnesota law includes provisions defining the crime of wage theft and provides related enforcement and antiretaliation provisions. See Wage Theft Provisions.
- When employment ends, an employee must be timely paid all final earned wages. When employees must be paid depends on whether the employee resigned or was involuntarily terminated. See Termination Pay.
- Upon an employee's death, final earned wages must be paid in accordance with rules that vary depending on whether the employee's estate is a probate estate. See Deceased Employee Wages.
- Wages are considered abandoned property if unclaimed for one year. Employers must file a report of unclaimed wages, notify the affected employee and remit the wages to the state according to specific procedures. See Unclaimed Wages.
- Localities including Duluth, Minneapolis and St. Paul have requirements pertaining to the payment of wages. See Local Requirements.