Deductions from Pay

An employer does not withhold or divert any part of an employee's wages unless state or federal law or a court order requires or permits it, or the employee has given written authorization for a lawful purpose that benefits the employee.

• Iowa Code § 91A.5StatuteDeductions from wagesOpens legis.iowa.gov ↗

• Cash shortages in a till run by two or more employees, or by an employee and the employer, are not deducted, except under a signed agreement with a full time manager covering 45 days before the latest payday.
• Bad checks the employee had discretion to accept, and did not abuse that discretion, are not deducted.
• Breakage, damage to property, and unpaid customer credit are not deducted unless they come from the employee's willful or intentional disregard of the employer's interests.
• Lost or stolen property is not deducted, unless it was equipment assigned to the employee who acknowledged receiving it in writing.
• Tips from customers, and the cost of protective equipment needed against workplace hazards, are not deducted.

• Iowa Code § 91A.5StatuteDeductions from wagesOpens legis.iowa.gov ↗