Payroll Deductions Policy
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Effective Date:
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November 2025
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Focus Group:
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All Employees and Missionary Field Staff
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Purpose:
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To ensure compliance with the Fair Labor Standards Act (FLSA) and related state and federal wage regulations by clearly defining permitted and prohibited payroll deductions. This policy also outlines the process for addressing and correcting any improper deductions to protect both the employee and the integrity of Global Outreach International (GOI).
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Guidelines:
Compliance with FLSA Requirements
Global Outreach International is committed to maintaining full compliance with the FLSA’s salary basis requirements and to avoiding improper deductions from the pay of exempt employees.
Permitted Deductions
The FLSA strictly limits the deductions that may be made from the pay of exempt employees. The following deductions are permitted under federal law and GOI policy:
Improper Deductions and Reporting Procedure
Global Outreach International prohibits improper deductions from the pay of any exempt employee.
Recordkeeping and Oversight
Faith-Based Commitment
As a Christian organization, Global Outreach International seeks to demonstrate fairness, accuracy, and transparency in all financial matters.
Global Outreach International is committed to maintaining full compliance with the FLSA’s salary basis requirements and to avoiding improper deductions from the pay of exempt employees.
- Employees classified as exempt from the overtime provisions of the FLSA will be notified of this classification at the time of hire or upon any change in position.
- GOI reviews payroll practices periodically to ensure accuracy and compliance.
Permitted Deductions
The FLSA strictly limits the deductions that may be made from the pay of exempt employees. The following deductions are permitted under federal law and GOI policy:
- Deductions required by law, such as federal or state income tax, Social Security, and Medicare;
- Deductions for employee benefits (e.g., health insurance, retirement contributions);
- Offsets for amounts received as jury or witness fees or for temporary military pay;
- Unpaid disciplinary suspensions of one or more full days, imposed in good faith for violations of workplace conduct rules;
- Pro-rated pay adjustments for partial workweeks during the first or last week of employment; and
- Deductions for unpaid leave taken under the Family and Medical Leave Act (FMLA) or other approved unpaid leave programs.
Improper Deductions and Reporting Procedure
Global Outreach International prohibits improper deductions from the pay of any exempt employee.
- If an employee believes that an improper deduction has occurred, they should immediately report the concern to the Human Resources Department.
- The HR Department will promptly investigate all reported deductions.
- If an improper deduction is confirmed, GOI will reimburse the employee for the full amount in the next regularly scheduled paycheck.
- GOI will also review its payroll practices to prevent recurrence.
Recordkeeping and Oversight
- All payroll records, deductions, and authorizations will be maintained in accordance with federal and state recordkeeping requirements.
- The Human Resources Director and Finance Department share responsibility for monitoring compliance with this policy.
- Periodic audits may be conducted to verify continued adherence to FLSA standards and organizational procedures.
Faith-Based Commitment
As a Christian organization, Global Outreach International seeks to demonstrate fairness, accuracy, and transparency in all financial matters.
- GOI views the management of employee compensation as a reflection of stewardship and integrity.
- “Whatever you do, work at it with all your heart, as working for the Lord” (Colossians 3:23) — this principle guides both employees and leadership in maintaining just and ethical compensation practices.