How to Edit a Check Stub: Correcting Payroll Errors

A check stub is a document provided with an employee’s paycheck that details the breakdown of their earnings and deductions for a specific pay period. It offers transparency regarding compensation and serves as a record for financial management and tax compliance. This article focuses on understanding check stub components, identifying errors, and legitimate correction processes, rather than unauthorized alterations.

Key Information on a Check Stub

A check stub includes identifying details for the employee and employer, such as names, addresses, and an employee identification number. It also lists pay period dates, indicating the start and end of the work cycle, and the actual pay date.

Gross pay, representing total earnings before deductions, is a key figure on the stub. This amount can stem from an hourly wage, salary, commissions, or other compensation. The stub then itemizes deductions, which often include federal income tax, state income tax, and Federal Insurance Contributions Act (FICA) taxes (Social Security and Medicare).

For 2025, the Social Security tax rate is 6.2% for both employee and employer on earnings up to a wage base limit of $176,100. The Medicare tax rate is 1.45% for both employee and employer on all earnings, with no wage base limit. An additional Medicare Tax of 0.9% applies to individual earnings exceeding $200,000, for which employers are required to withhold but do not match. Other common deductions include health insurance premiums, retirement contributions like 401(k) plans, and voluntary withholdings such as life insurance or disability payments. Net pay, the amount received after all deductions, is also displayed. Year-to-date (YTD) totals for gross pay and each deduction category are often included, providing a cumulative summary.

Identifying Discrepancies

Reviewing a check stub helps identify potential discrepancies. Employees should compare stub details against employment documentation, such as offer letters or agreements, to verify the correct pay rate, salary, and agreed-upon benefits. Comparing hours worked with personal timesheets or work logs is crucial, especially for hourly employees, to ensure accuracy in reported hours and overtime calculations.

Personal records, including direct deposit setup information, 401(k) contribution elections, and health insurance enrollment forms, should be cross-referenced with stub deductions. Common errors include an incorrect hourly rate or salary, miscalculated hours, or missing overtime pay. Discrepancies in deductions, such as incorrect health insurance premiums, retirement contributions, or miscalculated tax withholdings based on the employee’s Form W-4, are also common. Errors in year-to-date totals indicate a cumulative problem. Reviewing these components ensures compensation aligns with expectations.

Process for Correcting Errors

Once a check stub discrepancy is identified, employees should contact the human resources or payroll department. Provide specific details of the discrepancy, including the affected pay period, the type of error, and the amount involved. Supporting documentation, such as timesheets, offer letters, or benefit enrollment forms, should be submitted to substantiate the claim.

Employers should investigate reported errors. The timeframe for resolution can vary, but employers generally aim to correct issues within one or two pay cycles. If an underpayment occurred, the employee should receive missing funds, either through a separate payment or an adjustment on a subsequent paycheck. If an overpayment was made, the employer is entitled to recover the excess, often requiring notification and adherence to state laws.

For employers, correcting errors involves adjusting payroll records within their system. This may require reissuing a corrected check stub for the affected pay period. If an overpayment of wages or an under-withholding of taxes occurred, the employer may need to file adjustments with the Internal Revenue Service (IRS) and state tax authorities to recover tax liabilities. This may involve issuing a corrected Form W-2c for significant errors. Timely and accurate corrections are crucial for maintaining compliance with federal regulations, such as the Fair Labor Standards Act (FLSA), which mandates accurate record-keeping.

Generating Compliant Check Stubs

The legitimate process of “editing” a check stub refers to the initial setup and ongoing management of payroll data to produce accurate stubs. Accurate data input is crucial for employee information, including pay rates, hours worked, and elected deductions. This foundational accuracy minimizes the need for corrections after issuance.

Many employers use specialized payroll software and accounting systems, such as Gusto, QuickBooks Payroll, ADP RUN, or Paychex, to automate check stub generation. These systems ensure precise and compliant calculations for gross pay, taxes, and deductions. While federal law (FLSA) does not mandate pay stubs, it requires employers to maintain accurate records of hours worked and wages paid. Many states, however, have their own requirements for providing wage statements, often specifying the information that must be included and the format in which it is delivered. Utilizing robust payroll systems and adhering to these record-keeping and reporting requirements ensures accurate and compliant check stubs from inception.