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Overpaid in Pa? Pennsylvania

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  • Overpaid in Pa? Pennsylvania

    My husband was recently overpaid a significant amount of money. This money was direct deposited into our account and he says we should notify the company, what are the laws on this because it was there mistake they were still paying him an hourly rate that he had been earning while on a diff job site. Each job is diff wage so its easy to get confused. Can they take the money back out of the account without telling us?

  • #2
    If it was direct deposit, I do believe they can back it out of the account. I believe you need to contact the company and make them aware. They may request the money in one lump sum or throught payroll deduction. The best thing is to be upfront because I guarantee the mistake will be found sooner or later.
    Amateurs built the Ark, Professionals built the Titanic


    • #3
      Originally posted by sunshinegal View Post
      Can they take the money back out of the account without telling us?
      The employer can try. This is called a "recall", and not all banks support this transaction. Also, technically the recall would normally be for the full amount of the payment and not just the overage. Pretty ugly for all parties. From the employer's side, recalls do not always work, and from the employee's side, it is likely to pull back the entire payment, not just overage.

      I agree with the other answer. Your husband needs to talk to the employer ASAP. Assuming we are talking about the same calendar year, the repayment should be a net pay basis and the employer should correct out the related taxes.
      "Reality is that which, when you stop believing in it, doesn't go away".
      Philip K. **** (1928-1982)


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