What Payroll Records Do I Need to Keep?
Under the Fair Labor Standards Act (FLSA), every employer must keep certain accurate records for each non-exempt worker that has proof of hours worked and wages earned. This backup information is essential to have on-hand in event of a wage-and-hour audit.
Required Payroll Recordkeeping
The following is a listing of the basic records that an employer must maintain:
1. Employee’s full name and social security number.
2. Address including zip code.
3. Birth date, if younger than 19.
4. Gender and occupation.
5. Time and day of week when employee’s workweek begins.
6. Hours worked each day.
7. Total hours worked each workweek.
8. Basis on which employee’s wages are paid (e.g., $15 per hour, $800 a week)
9. Regular hourly pay rate.
10. Total daily or weekly earnings.
11. Total overtime earnings for the workweek.
12. All additions to or deductions from the employee’s wages.
13. Total wages paid each pay period.
14. Date of payment and the pay period covered by the payment.
How Long Should You Save These Payroll Records?
The FLSA requires employers to save payroll records, collective bargaining agreements, sales and purchase records for at least three years. Records on wage computations, work schedules, time cards, and backup of wage deductions or additions should be saved for a minimum of two years.
Department of Labor Guidelines
Learn more about what is expected of employers directly from the source at DOL.gov.
What about HR employee files?
For a more comprehensive list of what else needs to be kept on each employee, read our article “Employee Records: What, When, and Where to Keep.“
If you have questions or need assistance, the Abacus Payroll team is here to keep your workforce as streamlined as possible. Request a quote today!
