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State Business Expense Reimbursement Laws Chart: Overview

by Practical Law Labor & Employment

Law stated as of 09 October 2020 | Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, District of Columbia, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, USA (National/Federal), Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, Wyoming

A 50-state survey of business expense reimbursement laws and restrictions on wage deductions. This Chart summarizes state-specific requirements for reimbursing employees for work-related expenses, including costs for uniforms, tools, and equipment. It provides an overview of the federal Fair Labor Standards Act (FLSA), which limits deductions that would reduce an employee's earnings below minimum wage or required overtime pay, and details the unique rules in each state, addressing when employers must indemnify employees for necessary costs and the requirements for obtaining written authorization for payroll deductions. This resource helps employers and legal counsel navigate the complex landscape of wage and hour compliance across multiple jurisdictions outlining when reimbursement is mandatory and what limits apply to payroll deductions.

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