Copyright© 2005 by School Services of California, Inc.

                                      Volume 18                   For Publication Date: December 16, 2005             No. 25

 

Ask SSC . . .

 

What Information Must Be Included on an Employee’s Paycheck?  

Q.                We are aware that certain information must be included in an employee’s paycheck. However, recently we were told that such information had been changed by a new law. Can you explain the changes?  

A.                 You are correct; a change was made to existing law that amended Section 226 of the California Labor Code relating to employee compensation. Currently, an employer must furnish each employee with an accurate itemized statement that includes, among other things, an employee identification number or the employee’s social security number. SB 101 (Chapter 103/2005) clarifies that, by January 1, 2008, the itemized statement on checks given to employees may list the employee identification number or only the last four digits of the employee’s social security number. A knowing and intentional violation of this Labor Code provision is a misdemeanor.

Senate Bill 101 is a follow-up to SB 1618 (Chapter 860/2004) that was intended to combat identity theft.  

Arnold Bray and Michele Huntoon , CPA