Deductions from pay are permissible for any workweek in which the employee performs no work, including answering emails, texts, or phone calls. Deductions are allowed for required withholding and benefits, such as retirement plans.

Other reasons you can deduct pay from an exempt employee:

  • For absences for one or more full days for personal reasons other than sickness or disability.
  • For absences of one or more full days due to sickness or disability if the deduction is made in accordance with a bona fide paid sick leave plan. Per the Department of Labor, that is a plan offering at least 5 paid days off for sickness.
  • To offset amounts employees receive as jury or witness fees, or for military pay.
  • For penalties imposed in good faith for infractions of safety rules of major significance.
  • For unpaid disciplinary suspensions of one or more full days imposed in good faith for workplace conduct rule infractions.
  • For weeks in which an exempt employee takes unpaid leave under the Family and Medical Leave Act.
  • Also, an employer is not required to pay the full salary in the first or last week of employment.

If none of these situations apply, an exempt employee needs to receive their full salary for the workweek, regardless of the number of days or hours worked