What may an employer deduct from an employer’s paycheck?

Employers can deduct state and local taxes, Social Security, union dues, and unemployment insurance from a paycheck, in addition to deductions for health & dental insurance premiums, life and disability insurance, and pensions. Employer are also required to make deductions for outside creditors (where there is a court order) up to 25 percent of the employee’s disposable income, and up to 60 percent of an employee’s disposable income for court ordered child support payments. Additionally, employers may make deductions for lodging, meal costs, and loan repayments, so long as the deductions do not put the employee below the minimum wage.