One of my employees quit and has not returned a company-owned laptop that was provided to the employee. Can I withhold the employee’s final paycheck until the laptop is returned or deduct the cost of the laptop from the final paycheck?

This will also depend on the wage payment law of the state in which your employee is employed.   As a general matter, employers are not permitted to withhold an employee’s final paycheck beyond the date by which the law requires it to be paid, even if the employee has not returned property belonging to the employer.  As for deducting the cost of the laptop (or other company property that is not returned), this may not be permitted or, such as in the District of Columbia, Maryland and Virginia, it may only be permitted if the employee has signed a voluntary written authorization authorizing the deduction (note that Virginia prohibits most employees from being required to sign an agreement that provides for the forfeiture of wages as a condition of employment). Note that even if your state permits such a deduction, state or federal law may limit the amount that can be deducted.

The above question and answer was provided by Michael J. Froehlich, a partner in the Employment and Labor Law Practice at Shulman, Rogers, Gandal, Pordy & Ecker, P.A. in Potomac, Maryland, which regularly addresses employment law issues for The Payroll AnswerMan.

Disclaimer:  The above question and answer are for informational purposes only, and do not constitute legal advice.  Readers are responsible for obtaining the necessary advice about their specific situations from their own counsel.