Tennessee paystub requirements
Before furnishing pay stubs to employees and contractors in Tennessee, it's crucial to understand the relevant laws and regulations governing payroll operations.
This guide elucidates the pertinent laws and regulations applicable to employers in Tennessee, ensuring compliance and smooth payroll management processes.
Pay stub regulations in Tennessee
1. Are pay stubs required by law in Tennessee?
It's not mandatory for employers in Tennessee to provide employees with pay stubs. However, federal law requires all employers covered by the Fair Labor Standards Act (FLSA) to maintain a record of employee payments for at least 3 years.
2. How often do you need a pay stub in Tennessee?
Although there's no law for employers to provide pay stubs to their employees and contractors, it is recommended that you issue pay stubs every time you pay an employee.
3. What information can be included on a pay stub in Tennessee?
The following information can be included in employee pay stubs:
- Employee information such as name, last 4 digits of social security number, and address
- Employer information such as name, employer identification number (EIN), and address
- Pay period
- Gross earnings before deductions
- Taxes withheld
- Employee contributions
4. Does Tennessee have a state income tax?
No, state income taxes are not applicable to employees in the state of Tennessee.
5. Are there any other taxes applicable to Tennessee?
No. There are no local taxes in addition to federal income taxes applicable to employees in the state of Tennessee.
Information needed to generate pay stubs
To provide employees with accurate pay stubs, no information specific to the state is required in addition to employment and salary information.
Tennessee wage and hour laws
Tennessee employers must follow wage and hour laws, ensuring that non-exempt workers are paid at least the minimum wage, compensated correctly for any overtime hours worked, provided with adequate meal and rest breaks, and given appropriate paid time-off benefits.
Tennessee's employment regulations encompass various aspects of labor law,
Tennessee Minimum wage
Tennessee does not have its own Minimum Wage law. Instead, employers covered by the Fair Labor Standards Act (FLSA) must adhere to the federal minimum wage requirement, currently $7.25 per hour.
Overtime pay
According to the Fair Labor Standards Act (FLSA), employees in Tennessee are eligible for overtime compensation when they work more than 40 hours in a single workweek. This compensation is calculated at one-and-a-half times their regular rate of pay.
Tennessee meal break and rest break
In Tennessee, state law mandates that employees must receive a thirty-minute unpaid meal or rest break if scheduled to work six consecutive hours. However, certain workplace environments, such as those in the food and beverage industry or for security guards, may naturally provide ample opportunities for rest or appropriate breaks due to the nature of the business. Failure to provide the required thirty-minute break constitutes a violation of state law. There are no additional state requirements for breaks beyond this.
Paid time off and leave
In Tennessee, employers are obligated to offer employees various types of leave benefits, including both mandatory and discretionary options.
| Required Leave | Non-Required leave | |
|---|---|---|
| paid | Unpaid | Paid or Unpaid |
| Jury duty leave - Employers in Tennessee with five or more employees are required to offer paid time off for jury duty. | Employers in Tennessee may need to grant employees unpaid leave as stipulated by the Family and Medical Leave Act (FMLA) or other pertinent federal laws. | Vacation leave |
| Voting leave - Up to 3 hours of paid leave. | Tennessee volunteer firefighters leave | Bereavement leave |
| Military leave | Holiday leave | |
| Sick leave | ||
| Witness leave | ||
Tennessee State payroll taxes 2024
- Tennessee State Unemployment Insurance (UI) tax
Tennessee State Unemployment Insurance (UI) tax
Tennessee has enacted the State Unemployment Tax Act (SUTA) to support individuals facing unemployment by providing them with unemployment benefits. This legislation enables the state to collect the required funds to administer unemployment insurance benefits to eligible individuals during times of job loss.
In 2024, SUTA rates in Tennessee range from 0.01% to 10%. The taxable wage base remains at $7,000.
Tennessee payroll tax filing
- Report of New hire Employees
- Report of Independent Contractors
- Tennessee quarterly Wage and Premium Report(Form LB-0456)
Report of New hire Employees
The Tennessee New Hire Reporting team wishes to emphasize your duty to report all newly hired, rehired, and recalled employees. It is essential to report these individuals within 20 days of their hire, rehire, or recall date, regardless of their employment status (full-time, part-time, or temporary).
Report of Independent Contractors
Employers in Tennessee are not legally required to report their newly hired independent contractors.
How to report employees new hire in Tennessee?
Submitting new hire information in Tennessee offers several options, providing flexibility in the reporting process.
| Online | Fax | |
|---|---|---|
| Employees New Hire Report | Address Information: Tennessee New Hire Reporting Program P.O. Box 438 Norwell, MA 02061 Direct Phone: 615-884-2828 Public Phone: 888-715-2280 Email: contact@tnnewhire.com | Fax 1: 877-505-4761 |
Tennessee quarterly Wage and Premium Report(Form LB-0456)
The Tennessee Department of Labor and Workforce Development, Division of Employment Security requires employers to submit the Wage Report and Premium Report, along with any premiums owed, on a quarterly basis. These reports and premiums are due within one month after the end of each calendar quarter. Delinquency occurs if reports and premiums are not submitted by January 31, April 30, July 31, and October 31 for the respective quarters.
| Reporting Period | Due Date |
|---|---|
| Quarter 1 | April 30 |
| Quarter 2 | July 31 |
| Quarter 3 | October 31 |
| Quarter 4 | January 31 |
Ensuring timely wage reporting and premium payments is crucial to avoid expensive interest and penalty charges, as well as assessments. Approximately six weeks before each due date, employers receive a reminder letter outlining their filing obligation and the Premium Rate applicable for the quarter.
Have all the information handy?
With SecurePayStubs, you can calculate accurate federal and Tennessee state taxes for your employees and generate pay stubs securely.
Processing payroll manually is complex
As a business owner who runs payroll manually, you will need to keep up with ever-changing payroll laws. You already have a lot on your plate and you might not want to get into the complex process of pay stub generation.
Using SecurePayStubs' paystub generator, you can swiftly produce accurate pay stubs for your employees, including federal and Tennessee state taxes, as well as for independent contractors, all within just 2 minutes. Enter the basic employee and employer information, select a pay stub template for free, and let SecurePayStubs calculate the applicable payroll taxes accurately.
Spend less time generating pay stubs and more on your business growth.
This article has been updated from its original publication date of April 8, 2024.