Final Paycheck Laws by State After Employee Termination

When an employee is terminated, state laws determine how quickly they must receive their final paycheck and if PTO must be paid out. See the laws here.

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When an employee separates from your company, whether they quit, are laid off, or are terminated, you are required by law to issue their final paycheck within a specific timeframe. But final pay laws vary widely from state to state, and getting it wrong can lead to penalties, lawsuits, or wage claims.  

For example, several states require you to pay unused vacation or paid time off (PTO) upon separation. Most, however, default to your company’s written policy, an employment contract, or a collective bargaining agreement. Without a written policy, courts may interpret vacation or PTO as earned wages, potentially requiring payout even if you didn’t intend to. 

Below is a comprehensive list of final paycheck laws per state, including whether employers must pay out unused vacation or PTO and if there are any extenuating circumstances. When preparing for an employee separation, be sure you know your state’s deadline, that your written policy aligns with state law, and that you are able to deliver the final paycheck per state law requirements. 

State

Final Paycheck due: Voluntary Termination 

Final Paycheck due:
Involuntary Termination 

Required to Pay out PTO? 

Notes about Paying out PTO 

State Link 

Alabama 

Next scheduled pay date 

Next scheduled pay date 

Based on policy 

Alabama law does not require employers to pay this out upon separation unless the employer has a policy that stipulates such a payout.

Alabama 

Alaska 

Next scheduled pay date 

Within 3 business days 

Based on policy 

In Alaska, employers are not required to pay out accrued and unused vacation time upon separation unless the employee contract or employer policy specifies it. 

Alaska 

Arizona 

Next scheduled pay date 

Within 7 business days, or next scheduled pay date; whichever is earlier. 

Based on policy 

Arizona does not require payout of unused vacation or PTO by state law—but if the employer’s written policy, handbook, contract, or collective bargaining agreement promises it, then it must be paid in the final paycheck.

Arizona 

Arkansas 

Next scheduled pay date 

Next scheduled payday, or within 7 working days if the employee demands it. (Employer will owe 2x the wages if not paid within 7 days of the next scheduled payday.)

Based on policy 

Unused vacation or PTO in Arkansas is paid only if the employer’s written policy, contract, or handbook promises it. Arkansas law does not mandate automatic payout otherwise. 

Arkansas 

California 

Within 72 hours, or immediately if the employee gave at least 72 hours’ notice 

Immediately; employees can recover penalties for every day wages are withheld.

Yes 

Under California law, unless otherwise stipulated by a collective bargaining agreement, whenever the employment relationship ends, for any reason whatsoever, and the employee has not used all of his or her earned and accrued vacation, the employer must pay the employee at his or her final rate of pay for all of his or her earned and accrued and unused vacation days. 

California 

Colorado 

Next scheduled pay date 

Immediately, or within 6 hours of the next business day. If payroll is off-site, wages must be delivered within 24 hours of the start of the next workday. 

Yes 

In Colorado, accrued and unused vacation must be paid out upon separation. 

Colorado 

Connecticut 

Next scheduled pay date 

Next business day 

Based on policy 

Unused vacation or PTO is not required by Connecticut state law unless the employer’s written policy, contract, or union agreement provides for it; in such cases, it must be paid.

Connecticut

Delaware 

Whichever is latest: next scheduled payday or 3 days after last day worked 

Whichever is latest: next scheduled payday or 3 days after last day worked 

Based on policy 

In Delaware, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. If they do, the value of the accrued time must be paid within 30 days of separation. 

Delaware 

Florida 

No law; next scheduled pay date

No law; next scheduled pay date

Based on policy 

In Florida, accrued vacation/PTO is paid out if the employer's policy or contract requires payout, but it is not required by state law. Federal law; not required to pay out. 

Florida 

Georgia 

No law; next scheduled pay date 

No law; next scheduled pay date

Based on policy 

In Georgia, accrued vacation/PTO is paid out if the employer's policy or contract requires payout, but it is not required by state law. Federal law, not required to pay out. 

Georgia 

Hawaii

On employee’s last day if employee gives one pay period notice, or scheduled payday 

Immediately, or by next business day 

Based on policy 

In Hawaii, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Hawaii 

Idaho

Whichever is first: within 10 days or next payday. If employee provides a written request for earlier payment, employer must pay within 48 hours of receiving the request (weekends and holidays excluded). 

Whichever is first: within 10 days or next payday. If employee provides a written request for earlier payment, employer must pay within 48 hours of receiving the request (weekends and holidays excluded). 

Based on policy 

In Idaho, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Idaho 

Illinois

Immediately if possible, but no later than next scheduled payday 

Immediately if possible, but no later than next scheduled payday 

Based on policy 

Per Illinois state law, unless a willful agreement has been met by both parties, an employer’s policy or agreement decides whether earned, unused vacation is paid on separation. 

Illinois 

Indiana

Next scheduled pay date 

Next scheduled pay date 

Yes, unless policy says otherwise

In Indiana, an employer’s policy or agreement determines whether earned, unused vacation is paid on separation. Without a policy in place, employees are entitled to any and all earned and unused vacation pay. 

Indiana 

Iowa

Next scheduled pay date 

Next scheduled pay date 

Based on policy 

In Iowa, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Iowa 

Kansas

Next scheduled pay date 

Next scheduled pay date 

Based on policy 

In Kansas, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Kansas 

Kentucky 

Next scheduled pay date or within 14 days, whichever is later 

Next scheduled pay date or within 14 days, whichever is later 

Based on policy 

In Kentucky, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Kentucky 

Louisiana 

Next scheduled pay date or within 15 days, whichever is sooner 

Next scheduled pay date or within 15 days, whichever is sooner 

Yes 

In Louisiana, employers are required to pay employees any accrued, unused vacation time at separation. 

Louisiana 

Maine 

Next scheduled pay date or within 14 days, whichever is sooner 

Next scheduled pay date or within 14 days, whichever is sooner 

Yes 

As of January 1, 2023, Maine law requires employers with 11 or more employees to pay out all unused, accrued vacation time upon separation, regardless of the employer’s policy. 

Maine 

Maryland 

Next scheduled pay date 

Next scheduled pay date 

Based on policy 

In Maryland, employers are not required to pay out unused vacation time unless there is a written policy or agreement stating otherwise. If such a policy exists, the employer must adhere to it. 

Maryland 

Massachusetts

Next scheduled pay date 

Day of separation 

Yes 

Employers are liable to pay separating employees any earned, unused vacation time in Massachusetts.

Massachusetts 

Michigan 

Next scheduled pay date 

Next scheduled pay date 

Based on policy 

In Michigan, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Michigan 

Minnesota 

Next scheduled pay date that is more than five days after quitting; no more than 20 days after separation 

Within 24 hours of the employee's demand for wages 

Based on policy 

In Minnesota, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Minnesota 

Mississippi 

No law; next scheduled pay date 

No law; next scheduled pay date 

Based on policy 

In Mississippi, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Mississippi 

Missouri 

No law; next scheduled pay date 

Immediately 

Based on policy 

In Missouri, there is no state requirement to pay out unused PTO or vacation time unless the employer’s written policy or contract specifically provides otherwise. 

Missouri 

Montana 

Next scheduled pay date or within 15 days, whichever is sooner 

Immediately, or within 4 hours, or by the end of the business day (unless a written personnel policy allows a delay). 

Based on policy 

In Montana, there is no state requirement to pay out unused PTO or vacation time—unless your employer’s written policy or contract specifically provides otherwise. 

Montana 

Nebraska 

Whichever is first: next scheduled payday or within two weeks 

Whichever is first: next scheduled payday or within two weeks 

Yes 

In Nebraska, employers are liable to pay separating employees any earned, unused vacation time; no exceptions. 

Nebraska 

Nevada 

Next regular payday or within 7 calendar days, whichever is sooner 

Within 3 days 

Based on policy 

In Nevada, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Nevada 

New Hampshire

Within 72 hours, or next scheduled pay date without proper notice 

Within 72 Hours 

Based on policy 

In New Hampshire, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

New Hampshire 

New Jersey

Next scheduled pay date 

Next scheduled pay date 

Based on policy 

In New Jersey, earned, unused vacation will not be considered wages unless an employer’s policy, agreement, or union contract states otherwise. 

New Jersey 

New Mexico

Next scheduled payday 

Within 5 days for fixed amounts or 10 days for variable amounts 

Yes 

The New Mexico Supreme Court determined that accrued vacation was compensation of a fixed and definite amount in the same category as wages. 

New Mexico 

New York

Next scheduled payday 

Next scheduled payday 

Yes, unless policy says otherwise

In New York, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. If there is no written policy, unused vacation pay must be paid out. 

New York 

North Carolina

On or before next scheduled payday 

On or before next scheduled payday 

Yes, unless policy says otherwise

In North Carolina unused vacation must be paid on separation unless there’s a clear forfeiture clause in the vacation pay policy. 

North Carolina 

North Dakota

Next scheduled payday 

Next scheduled payday 

Yes if involuntary; no if voluntary 

In North Dakota, employers must pay a separating employee for earned, unused vacation time if separation was involuntary. For voluntary separation, employers must pay unless: employees received written notice of the limitation at the time of hiring, the employee has been employed for less than one year, and the employee gave less than five days’ notice. 

North Dakota 

Ohio 

Whichever is first: next scheduled payday or within 15 days 

Whichever is first: next scheduled payday or within 15 days 

Yes, unless policy says otherwise

In Ohio, the courts have interpreted that vacation pay is a deferred payment of an earned benefit, and unless an employer’s vacation policy states to the contrary, an employee is entitled to be paid for unused vacation days. 

Ohio 

Oklahoma

Whichever is later: next scheduled payday or within 14 days 

Whichever is later: next scheduled payday or within 14 days 

Based on policy 

In Oklahoma, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Oklahoma 

Oregon

On last day of employment if the employee gave 48 hours’ notice; otherwise, within 5 days or the next payday, whichever comes first 

By the end of the next business day 

Based on policy 

In Oregon, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Oregon 

Pennsylvania

Next scheduled payday 

Next scheduled payday 

Based on Policy 

In Pennsylvania, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Pennsylvania 

Rhoda Island

Next scheduled payday 

Next scheduled payday 

Yes

In Rhode Island, employers are liable to pay separated employees accrued vacation pay if they have served one year or more at their organization. 

Rhode Island 

South Carolina

Within 48 hours or next scheduled payday; not to exceed 30 days 

Within 48 hours or next scheduled payday; not to exceed 30 days 

Based on policy 

In South Carolina, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

South Carolina 

South Dakota

Next scheduled payday, or the employer can hold the final pay until company property is returned 

Next scheduled payday, or the employer can hold the final pay until company property is returned 

Based on policy 

In South Dakota, there are no state regulations in place. 

South Dakota 

Tennessee

Within 21 days or the next regular payday, whichever occurs later 

Within 21 days or the next regular payday, whichever occurs later 

Based on policy 

In Tennessee, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Tennessee 

Texas 

Next scheduled payday 

Within 6 calendar days of last day worked 

Based on policy 

In Texas, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Texas 

Utah 

Next scheduled payday 

Within 24 hours 

Based on policy 

In Utah, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. If employers do not pay for accrued days upon separation, this must be stated explicitly in the contract or policy. 

Utah 

Vermont 

Next scheduled payday or the next Friday if there is no regular payday 

Within 72 hours from the time of discharge 

Based on policy 

In Vermont, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Vermont 

Virginia 

On or before next scheduled payday 

On or before next scheduled payday 

Based on policy 

In Virginia, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Virginia 

Washington

On or before next scheduled payday 

On or before next scheduled payday 

Based on policy 

In Washington, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Washington 

West Virginia

On or before next scheduled payday 

On or before next scheduled payday 

Based on policy 

In West Virginia, if an employer has a written policy stating that accrued vacation time will not be paid at separation, they will not be liable to pay an employee.  

West Virginia 

Wisconsin 

Next scheduled payday 

Next scheduled payday 

Based on policy 

In Wisconsin, if an employer has a written policy stating that accrued vacation time will not be paid at separation, they will not be liable to pay an employee.  

Wisconsin 

Wyoming 

Next scheduled payday 

Next scheduled payday 

Based on policy 

In Wyoming, an employer’s policy or employee contract governs whether earned, unused vacation is paid on separation. 

Wyoming 

Conclusion about Final Paycheck Laws 

Navigating final paycheck laws can be complex, but with the right policies and preparation, you can avoid legal headaches and ensure fair treatment for departing employees. Regularly review your state’s labor laws, update your employee handbook accordingly, and consult legal counsel when in doubt, especially if your workforce spans multiple states. 

One of the great benefits of working with Stratus is the ability to provide your employees with their final paychecks according to the prevailing final paycheck laws. You do, however, need to report the employee’s departure as soon as possible to help us meet the law’s requirements. 

For questions or assistance, please contact your Stratus HR Account Manager. Not a current Stratus HR client? Contact us today for a free consultation.  

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