Still sitting on an old payroll check and not sure what to do with it?


Let’s face it, sometimes information changes, like addresses for employees who are no longer employed with your company.  

 

If an employee doesn’t pick up his or her last wages within 24-48 hours after date of pay, mail the paycheck to the last known address you have on file. If the check returns, leave it in the envelope and save it in a safe place. Leaving it in the unopened envelope shows attempt to mail wages. Each state varies on the length of time required to hold the unclaimed wages, so you should contact your state treasurer/controller for more information.



For example, California laws state that after attempting to deliver wages, you must send an additional notice letting them know their money is in danger of being turned over to the state. This letter should include a return slip for them to fill out containing information on the proper delivery address and a signature line. Once received, you can mail out the unpaid wages to the proper address.

It’s always best to email, send certified mail and call the employee about the unclaimed wages before turning it over to the state. Once the state receives the check they will cash it and hold the funds for said employee.

 

If you would like more information regarding each State Escheat laws or Payroll Services, please contact us at Back Office Remedies.

 

 

 


Written by Erica Davis - Safety Coordinator

Updated on May 8, 2017 11:49