minimum wage and overtime premiums for all hours worked over 40 per week, whether in the form of base salary, draws or commissions. Even high-earning employees may be protected by federal and state law regarding overtime compensation.

In New York, employers are permitted to take deductions from advances for costs such as returned items but may not take deductions from earned commissions, since earned commissions are considered to be wages. Advances can be recovered by the employer only against future commissions, not against wages that are already earned.

It is important for employers to be clear as to how commissions are calculated, when commissions are considered to be “earned” or “vested,” whether commission payments are considered advance paid against future commissions or earned commissions, and whether advances can be recouped by the employer if an employee’s commissions are not as high as anticipated. If there is no written agreement, if changes have occurred, or if the written agreement or practice is ambiguous, courts may construe the terms of the commission plan in favor of the employee.

Employers must also be clear as to how commissions are paid after an employee is terminated or resigns. If you have earned a commission or completed most of the work necessary to finalize a sale before you are terminated but do not receive a commission, you may be entitled to recover your commission.

If you are an employee who works partly or entirely on commission and you believe that your employer is not paying you correctly, contact Pelton & Associates, PC today to discuss your employment situation.
"> minimum wage and overtime premiums for all hours worked over 40 per week, whether in the form of base salary, draws or commissions. Even high-earning employees may be protected by federal and state law regarding overtime compensation.

In New York, employers are permitted to take deductions from advances for costs such as returned items but may not take deductions from earned commissions, since earned commissions are considered to be wages. Advances can be recovered by the employer only against future commissions, not against wages that are already earned.

It is important for employers to be clear as to how commissions are calculated, when commissions are considered to be “earned” or “vested,” whether commission payments are considered advance paid against future commissions or earned commissions, and whether advances can be recouped by the employer if an employee’s commissions are not as high as anticipated. If there is no written agreement, if changes have occurred, or if the written agreement or practice is ambiguous, courts may construe the terms of the commission plan in favor of the employee.

Employers must also be clear as to how commissions are paid after an employee is terminated or resigns. If you have earned a commission or completed most of the work necessary to finalize a sale before you are terminated but do not receive a commission, you may be entitled to recover your commission.

If you are an employee who works partly or entirely on commission and you believe that your employer is not paying you correctly, contact Pelton & Associates, PC today to discuss your employment situation.
"/> minimum wage and overtime premiums for all hours worked over 40 per week, whether in the form of base salary, draws or commissions. Even high-earning employees may be protected by federal and state law regarding overtime compensation.

In New York, employers are permitted to take deductions from advances for costs such as returned items but may not take deductions from earned commissions, since earned commissions are considered to be wages. Advances can be recovered by the employer only against future commissions, not against wages that are already earned.

It is important for employers to be clear as to how commissions are calculated, when commissions are considered to be “earned” or “vested,” whether commission payments are considered advance paid against future commissions or earned commissions, and whether advances can be recouped by the employer if an employee’s commissions are not as high as anticipated. If there is no written agreement, if changes have occurred, or if the written agreement or practice is ambiguous, courts may construe the terms of the commission plan in favor of the employee.

Employers must also be clear as to how commissions are paid after an employee is terminated or resigns. If you have earned a commission or completed most of the work necessary to finalize a sale before you are terminated but do not receive a commission, you may be entitled to recover your commission.

If you are an employee who works partly or entirely on commission and you believe that your employer is not paying you correctly, contact Pelton & Associates, PC today to discuss your employment situation.
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Commissions

Many employees in a wide range of industries receive a significant portion of their compensation from commissions. Unless an employee is a true independent contractor or otherwise exempt from federal and state wage requirements, employers must pay employees the minimum wage and overtime premiums for all hours worked over 40 per week, whether in the form of base salary, draws or commissions. Even high-earning employees may be protected by federal and state law regarding overtime compensation.

In New York, employers are permitted to take deductions from advances for costs such as returned items but may not take deductions from earned commissions, since earned commissions are considered to be wages. Advances can be recovered by the employer only against future commissions, not against wages that are already earned.

It is important for employers to be clear as to how commissions are calculated, when commissions are considered to be “earned” or “vested,” whether commission payments are considered advance paid against future commissions or earned commissions, and whether advances can be recouped by the employer if an employee’s commissions are not as high as anticipated. If there is no written agreement, if changes have occurred, or if the written agreement or practice is ambiguous, courts may construe the terms of the commission plan in favor of the employee.

Employers must also be clear as to how commissions are paid after an employee is terminated or resigns. If you have earned a commission or completed most of the work necessary to finalize a sale before you are terminated but do not receive a commission, you may be entitled to recover your commission.

If you are an employee who works partly or entirely on commission and you believe that your employer is not paying you correctly, contact Pelton & Associates, PC today to discuss your employment situation.