If a company messes up your wages and gives you too much can they demand it back in full on next paycheck?

Question

Over the past 6 weeks, over $100 has been deposited into my friend's bank account that didn't belong to him. My friend didn't even catch it until they told him today. My friend said he would pay it back in payments because he has bills coming out of his next paycheck, but the boss said that she would take it out in full in his very next paycheck. Is it legal for the company to make him go without food money because they screwed up???

Answer 1

It is legal and they can and most likely take it all at one time.

Answer 2

It isn't "food money". Think about it. If his company hadn't made the mistake and deposited that money into his account, he wouldn't have had it in the first place. He wasn't counting on that money to buy food with, you said yourself he didn't even know it was there.

It is the same as finding money that someone has lost. Would you keep it, if the person came to claim it? It would be the person's fault ("screwing up" as you put it) for losing it, but it should be returned, right? Same thing.

What if the company had paid $100 TOO LITTLE in your friend's account? Would he want it paid to him in payments? No. He would want it all at once. And he would want it now.

Answer 3

Yes, they can take it all back at once. They screwed up by giving it to him, but he also screwed up by not noticing. He should have food money because he has an $600.00 (or is it $100.00? I am not clear) sitting in his bank account. Because if he didn't notice it was there, it also means he didn't spend it.
This happened to me once too, but the difference was that I had $30,000.00 taken out at once (I was paid a bonus, and some idiot at the bank moved the decimal over an extra place). But since I knew how much money I was supposed to have, I didn't spend a dime of the money I didn't realize was there. So having it all taken back at one time had no effect on me.

Answer 4

Yep. It's both legal and fair. Basically he didn't earn that extra 100 dollars. It was a clerical error. Of course the company is going to recover it! If you wrote a check and accidentally wrote it for more than the amount owed, wouldn't you want to get the extra back.

If your friend needs money so badly, advise them to try to work out a repayment over a few weeks instead of one lump sum payment.

Answer 5

Not only is it legal. But, if the money was electronically deposited, they could've corrected the erroneous transactions, and taken it back, without notifying them. And, they absolutely can take it in a lump sum.

His living expenses (and the management thereof) are his responsibility, not his employers. And, if he's going to starve because he doesn't know well enough to keep more groceries in the house than he's going to eat before next payday, shame on him.

Answer 6

Inflation and devaluation of the money furnish. (rather asserting comparable element two times) The inflation of the money furnish has led to a relentless erosion of the buying potential of the greenback with a relentless develop in costs to verify the dropping fee of the greenback. This has convey approximately the notorious "fee of living" salary develop, meant to verify inflation, which potential permitting the earners paycheck to maintain %. with increasing living expenditures. agencies, in spite of the undeniable fact that, commonly evaluate this develop to be the only develop mandatory, without greater beneficial than a bump up equivalent to the inflation fee. they have larger a workers pay, yet it rather isn't a advantage develop, merely an adjustment. meanwhile, for the salary earner, the upward thrust in pay many situations will the two nudge them nearer to a sparkling tax bracket, or actual push them into an better bracket. at a similar time as the pay might basically be expanding to verify inflation, an better tax invoice is actual reducing the buying potential of the salary earner, rather of maintaining %. they actually drop greater beneficial in the back of. This has been the main reason earnings has been so stagnant, expanding pay costs to verify inflation, enterprise providing no longer greater beneficial than the inflationary develop, meanwhile a under versatile tax equipment that's actual taxing greater far from a salary earner dropping them greater beneficial in the back of the 8-ball.

Answer 7

Wise up people . Why haggle with the company you work for over $100.
Show some class oops to late.

Answer 8

Yes. He should not have spent the extra money, he knew it was not his.

If they wanted to be nice, the company could take it back in payments, but they are probably within their rights to take it all out at once.

Answer 9

The company can take it out of his next pay if they want. Your friend must not be very financially organized to not have noticed an extra hundred each week.

Answer 10

Well, your friend has a good friend..you. It was his fault that he spent money that he really was not entitled to, so now, you want to take it out on his boss. He is just gonna have to suck it up or do something else to earn money for a week.

Answer 11

If I were your friend I would have them call their H.R. office. If the company is small I would speak with the person in charge of pay roll and make some type of arrangements.