Payment of Earnings
Introduction
Answer the questions listed in each step to find out if your business meets the basic requirements for Alberta's employment standards for payment of earnings. On the last page you’ll see results based on your answers, along with information about your rights and obligations as an employer.
Use the 'Previous' button to change your answers at any time. Or click 'Start again' to explore different employment scenarios.
Disclaimer: In the event of any discrepancy between this information and Alberta’s Employment Standards legislation, the legislation is considered correct.
Summary & Results
You indicated that:
Workers who either are the owner or a family member of the owner of the farm/ranch they are working on are exempt from all Employment Standards rules, including payment of earnings.
Non-family members working on the farm to help out or participate in 4-H activities are also exempt from Employment Standards rules.
For more information, see farm and ranch employment standards exceptions.
Please note that effective January 31, 2020, farm and ranch employers with 5 or fewer waged, non-family workers, are exempt from employment standards laws. Farm and ranch employers with 6 or more waged, non-family workers who work more than six months in a row will continue to be subject to existing Employment Standards laws. For more information and to identify if the information below applies to you, please visit the Farm and ranch – Employment standards exemptions website.
Length of Pay Period
You said that your standard pay period is .
This is not acceptable. According to the Code, employees must be paid at least monthly.
This pay period meets Alberta's minimum standards.
Please note that employer of salespersons and direct sellers are not required to keep record of regular and overtime hours and providing them on pay statements. They are however required to keep record of the total hours worked and provide this information on pay statements.
Timing of Payments
You said that you do pay all wages, overtime, and general holiday pay earned in a pay period within 10 days of the end of the pay period. This meets Alberta's minimum standards - all wages, overtime and general holiday pay earned in a pay period must be paid within 10 days of the end of that pay period.
You said that you do not pay all wages, overtime, and general holiday pay earned in a pay period within 10 days of the end of the pay period. This does not meet Alberta's minimum standards - all wages, overtime and general holiday pay earned in a pay period must be paid within 10 days of the end of that pay period.
You said that you do not pay all wages, overtime, and general holiday pay earned in a pay period within 10 days of the end of the pay period.
When employment is terminated, employees must receive their final pay within
- 10 consecutive days after the end of the pay period in which termination occurred, or
- 31 consecutive days after the last day of employment.
See Termination and termination pay for more information
Since you indicated that you are terminating the employee, you cannot reduce their wages.
Pay Statements
You said that you DO provide a pay statement at the end of every pay period. This meets Alberta's minimum standards - pay statements must be provided at the end of every pay period.
You indicated that your pay statement is delivered electronically. Please be aware that employees must have confidential access to view and print electronic versions of pay statements. Also, be aware that privacy legislation may require employers to maintain the confidentiality of the employee's payroll information.
You indicated that your pay statements include the following items:
You indicated that your pay statements DO NOT include the following information:
According to the Code, these items are mandatory and must be included on every pay statement.
Please note that you must pay your employees at least minimum wage.
You said that you DO NOT provide a pay statement at the end of every pay period. This does not meet Alberta's minimum standards - pay statements must be provided at the end of every pay period.
Deductions
You indicated that you do not deduct Federal income tax, Provincial income tax, CPP and EI premiums from your employees' paychecks.
Federal income tax, Provincial income tax, CPP, and EI premiums are mandatory deductions for all businesses.
You indicated that you do deduct Federal income tax, Provincial income tax, CPP and EI premiums from your employees' paychecks.
You indicated that you do not make any deductions from your employees' pay.
You indicated that you do not make any deductions other than Federal income tax, Provincial income tax, CPP and EI premiums from your employees' pay.
You indicated that you deduct the following items from your employees' pay:
- Court-ordered wage garnishes (e.g. child support, garnishes by Revenue Canada for unpaid taxes, etc.). This deduction is allowed by the Code.
- Other deductions authorized by a collective agreement (e.g. union dues). These deductions are allowed by the Code.
- Deductions for providing a place to stay (boarding). These deductions are allowed by the Code.
- Employers are able to deduct overpayments that were the result of a pay roll calculation error or if vacation pay was paid to the employee prior to it being earned. This deduction is allowed by the Code if advanced notice of the deduction is given to the employee, and the deduction is made with 6 months of the date when the overpayment initially occurred.
- Faulty Work (e.g. errors in a credit card transaction, etc.) These deductions are NOT allowed under any circumstances.
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Cash shortages (e.g. petty cash box, money missing from the till at the end of a shift).
Deductions for cash shortages or loss of property can’t be taken from the employee’s earnings if other persons have access to the cash or property. Examples of cash shortages, loss of property include failure to collect payment such as walkouts in a bar or restaurant, gas-and-dash at a service station, or breakage in a restaurant. Since you indicated that other people do not have access, this deduction is allowed by the Code.
In cases where cash is involved, the employee must be allowed to count their float, account for their sales, and finalize their accounting of the cash. Unless these conditions are met and the employee provides written authorization, you cannot make deductions for cash shortages or loss of property.
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Cash shortages (e.g. petty cash box, money missing from the till at the end of a shift).
Deductions for cash shortages or loss of property can’t be taken from the employee’s earnings if other persons have access to the cash or property. Examples of cash shortages, loss of property include failure to collect payment such as walkouts in a bar or restaurant, gas-and-dash at a service station, or breakage in a restaurant. Since you indicated that other people have access, this deduction is NOT allowed by the Code.
In cases where cash is involved, the employee must be allowed to count their float, account for their sales, and finalize their accounting of the cash. Unless these conditions are met and the employee provides written authorization, you cannot make deductions for cash shortages or loss of property.
- Loss of property (e.g. employee loses an employer's cell phone or laptop). Deductions for missing property are only allowed if no other person had access to the property that went missing. Since you indicated that other people do not have access, this deduction is allowed by the Code.
- Loss of property (e.g. employee loses an employer's cell phone or laptop). Deductions for missing property are only allowed if no other person had access to the property that went missing. Since you indicated that other people have access, this deduction is NOT allowed by the Code.
- The cost of uniforms or related expenses (e.g. uniform cleaning or replacement). These deductions are NOT allowed under any circumstances.
- You indicated that you deduct other items that were not on our list, and that you do have written permission from your employee to make this deduction. Since you have written permission, this deduction is allowed by the Code.
- You indicated that you deduct other items that were not on our list, and that you do not have written permission from your employee to make this deduction. Since you do not have written permission, this deduction is NOT allowed by the Code.
Next steps
- Print these results for your records
- To learn more, please refer to the relevant topics of the employment standards rules and regulations.
- Restart this payment of earnings tool to explore different scenarios.