Paystub

What is a paystub?

A paystub is a document issued by an employer that breaks down an employee’s gross earnings, deductions from those earnings, and net pay. Paystubs are created with paychecks, so each employee gets a new paystub for each pay period.

Paystubs may be created as a separate part of a paper paycheck, or they may exist in electronic form. Electronic paystubs are commonly emailed to employees or made available online to confirm direct deposits of their paychecks.

A paystub can also be called a paycheck stub, salary statement, earnings statement, or pay slip.

What information is on a paystub?

A paystub shows the total amounts an employee has earned, amounts deducted from those earnings, and the remaining take-home pay after deductions. Some paystubs also show the remaining sick leave and vacation leave hours the employee is entitled to during the current year. Separate columns show figures for the current pay period and year-to-date.

Most paystubs include some of the following details.

Dates and contacts

The top of a paystub will normally show details of both the employer and the employee, which may include:

• Employer’s name and address
• Employee’s name and address
• The pay period (beginning and end dates)
• Identification number

Gross earnings

A paystub will detail the total amount (gross wages) earned, which may include:

• Regular wages (salary or hourly earnings)
• Commissions
• Bonuses
• Sick pay
• Holiday pay
• Vacation pay
• Payroll advances

Deductions and contributions

Deductions on a paystub are the amount of money taken out of an employee’s gross wages, which may include:

• Federal taxes
• State taxes
• Local taxes
• FICA taxes (Social Security)
• Medicare
• Employee insurance premiums
• Retirement or pension plan contributions
• Garnishments
• Loan payments
• Charitable contributions

Pay rates and hours

Workers paid by the hour and salaried non-exempt employees will see more details about their gross wages when applicable, including:

• Hourly rate of pay
• Number of hours worked at a regular pay rate
• Overtime
• Shift differential
• Tips

Net pay

The net pay on a paystub shows an employee’s take-home pay following deductions and contributions. The net pay may differ from gross pay depending on how much is deducted every pay period.

Do employers have to provide a paystub?

In the United States, no federal law requires employers to give employees paystubs, but many states require them as part of the pay transparency laws in place. Details of those requirements vary from state to state, so it’s important to consult with your state labor office, especially if your organization does business in more than one state.

Depending on your state or jurisdiction, there are certain requirements for issuing an electronic or paper paystub to keep in mind:

• No requirement states: Employers in states with no requirements can decide whether to provide paper or electronic paystubs without government oversight.
• Access/print states: Employers using electronic paystubs must ensure employees can easily view and print them.
• Opt-in states: Employees in opt-in states receive printed paystubs unless they approve an electronic version.
• Opt-out states: Employers can issue an electronic paystub, but must provide a paper pay statement to employees that request them.