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RGMacEsq
RGMacEsq, Attorney
Category: Business Law
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Experience:  Licensed Texas General Practice Attorney
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Can an employer take back a bonus that has already been paid

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Can an employer take back a bonus that has already been paid out? It is a bonus based on attainment of quota in March. It was paid out in May now they are saying -"that upon a completion of our monthly bonus audit it was discovered that you no longer qualify for your March monthly bonus (paid out in May)" The change is due the fact that a client left the service and I was also charged back the commission paid in March. It does not seem right to me because at the time it was paid out - I did qualify for the bonus.
Submitted: 7 years ago via USLaw.
Category: Business Law
Expert:  RGMacEsq replied 7 years ago.
The only deductions that employers can legally do are the normal ones for government, taxes, etc..., and authorized ones (401k, benefits, etc...). As with bonuses, that is more state specific, so you should contact your state's Department of Labor or Attorney General and find the Wage and Labor section, and ask them if an employer can take away a bonus. If they say "no", then you can either tell your employer to go to you-know-where, or you can report an already taken back bonus to this department.

Good luck!
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