Maryland Final Paycheck Law — deadline & penalty calculator

Frequently Asked Questions

• When is a final paycheck due in Maryland in 2026?

  Maryland requires employers to pay all final wages on or before the next regularly scheduled payday. This deadline applies whether the employee was fired, laid off, or resigned voluntarily. Maryland does not have a same-day or 72-hour rule for terminated employees. Source: Maryland Wage Payment and Collection Law, as of 2026.

• What is the penalty for a late final paycheck in Maryland?

  Under Md. Code, Lab. & Empl. § 3-507.2, if a court finds the employer withheld wages without a bona fide good-faith dispute, it may award the employee up to three times the unpaid wages (treble damages), plus reasonable attorney fees and court costs. For $5,000 in unpaid wages, the total judgment could reach $15,000 plus legal fees.

• Does Maryland require same-day final pay if an employee is fired?

  No. Unlike California, which requires same-day final payment for discharged employees, Maryland requires final wages only by the next regularly scheduled payday — whether the separation was voluntary or involuntary. The employer does not need to issue a check on the day of termination.

• Must unused vacation be included in a Maryland final paycheck?

  It depends on the employer's written policy. Maryland courts generally require accrued, unused vacation to be paid out in the final paycheck unless the employer clearly communicated at the time of hire that unused vacation is forfeited upon termination. If no forfeiture policy was established, vacation pay is owed as part of final wages.

• Does Maryland require sick leave to be paid out at termination?

  Generally, no. Earned sick leave under the Maryland Healthy Working Families Act is not required to be paid out upon termination unless the employer's individual contract or policy specifically provides for payout. Sick leave is treated as a contingency benefit against illness, not as vested earned wages.

• What wages must be included in the final paycheck in Maryland?

  All earned wages must be included: regular pay, overtime, commissions earned under a definite formula, bonuses tied to objective criteria, and fringe benefits owed under the employer's written policy. Accrued vacation (if not subject to a lawful forfeiture policy) must also be included. Expenses and advances may offset wages only with proper written authorization.

• Can my employer deduct money from my final paycheck in Maryland?

  Maryland employers may only make deductions that are (1) required by law (taxes, garnishments), (2) expressly authorized in writing by the employee for the employee's benefit (e.g., health insurance premiums), or (3) authorized by a court order or collective bargaining agreement. Deductions for alleged property damage, losses, or unreturned equipment are not permitted without proper written employee consent.

• How do I file a final paycheck complaint in Maryland?

  File a complaint online or by mail with the Maryland Department of Labor's Employment Standards Service (Division of Labor and Industry) at labor.maryland.gov. You may also file directly in Maryland District Court or Circuit Court. Many employment attorneys handle wage claims on contingency, making litigation accessible when treble damages increase the potential recovery.

• What is the statute of limitations for a Maryland final paycheck claim?

  Under the Maryland Wage Payment and Collection Law, you have 3 years from the date the wages were due to file a legal action. Under the federal FLSA, the period is 2 years (3 years for willful violations). Filing under Maryland law is generally preferable because of the longer limitations period and the treble-damages remedy.

• What if my employer disputes the amount owed — can they avoid the treble-damages penalty?

  Yes. If the employer has a genuine, good-faith reason to contest whether the wages are owed — a bona fide dispute — a court may reduce or eliminate the treble-damages award. The dispute must be substantive, not merely a delay tactic. Cash-flow problems, administrative errors, or simple non-payment without dispute do not constitute a bona fide defense.