Payroll errors happen more often than you think — wrong hours, duplicate deductions, misclassified overtime. Most are honest mistakes, but you need to catch them. Here are the 10 most common paycheck mistakes and how to spot them before they cost you money.
10 Common Paycheck Mistakes
1. Wrong hourly rate or salary
Your pay stub shows a lower rate than your offer letter or last pay stub. This happens after raises, promotions, or data entry errors.
- How to spot: Divide your gross pay by hours worked. Does it match your agreed rate?
- What to do: Email payroll with your offer letter or raise notification showing the correct rate.
2. Missing hours or overtime
You worked 45 hours but the stub shows 40. Or, overtime hours are logged as regular hours (paid at straight time instead of 1.5×).
- How to spot: Compare your timecard or timesheet to your pay stub's "Hours Worked" and "OT Hours" lines.
- What to do: Submit your timecard to payroll and request back pay for the missing hours.
3. Double deductions
The same deduction appears twice on one paycheck — often health insurance or 401(k) contributions.
- How to spot: Scan your deductions section. Is "Health Ins" listed twice? Is 401(k) 20% instead of 10%?
- What to do: Contact payroll immediately. They'll refund the duplicate in the next check.
4. Wrong pay period
The stub says "Pay Period: Jan 1–14" but you actually worked Jan 1–21. You're being shorted a week.
- How to spot: Check the "Pay Period" or "Period Ending" date. Does it match what you expect?
- What to do: Confirm the pay schedule with HR. The missing week should appear on the next check.
5. Federal withholding too high (wrong W-4)
Payroll entered your W-4 wrong — you claimed 2 allowances but they filed it as 0, maxing out your withholding.
- How to spot: Federal tax is 20-30% of gross when you expected 10-15%.
- What to do: Ask for a copy of your W-4 on file. If it's wrong, submit a corrected one.
6. Misclassified as exempt (no OT pay)
You're classified as "exempt" (salaried, no OT) when you should be "non-exempt" (hourly, OT eligible). This is common in retail, food service, and admin roles.
- How to spot: You work 50 hours but get no overtime premium.
- What to do: Check the FLSA salary threshold ($58,656 in 2024). If you make less and don't meet exemption duties, you're owed OT. Contact HR or the DOL.
7. FICA over-withheld
Payroll takes more than 7.65% FICA. This is rare but happens when systems glitch.
- How to spot: Calculate 7.65% of your gross. Does FICA match? If it's higher, there's an error.
- What to do: Email payroll with the math. They'll refund the excess.
8. Deduction you didn't authorize
A new line item appears — "Uniform," "Equipment," "Training Fee" — that you never agreed to.
- How to spot: Scan every deduction line. Anything unfamiliar?
- What to do: Ask HR for documentation. If you didn't sign for it, they must remove it and refund you.
9. PTO or sick leave not paid
You took a paid sick day but it's marked "unpaid" on your stub, reducing your gross.
- How to spot: Compare gross pay to your expected amount. Check if "PTO Hours" or "Sick Hours" are listed.
- What to do: Submit proof (email approval, PTO request) to payroll.
10. Bonus taxed but not paid
Your pay stub shows bonus tax withheld but no bonus in gross pay — often a payroll system error.
- How to spot: Your federal tax is huge but gross pay is normal. Check if "Bonus" is listed as $0 while tax is withheld.
- What to do: Contact payroll immediately. This is a serious error.
How to Catch Paycheck Mistakes Early
- Review every pay stub: Don't just check the net amount. Read line by line.
- Keep your own records: Track hours, PTO, rate changes, and benefit elections separately.
- Compare to the previous stub: Spot anomalies by seeing what changed period to period.
- Know your numbers: Memorize your hourly rate, FICA (7.65%), and typical federal withholding percentage.
- Check YTD totals: Year-to-date earnings should grow consistently. If they jump or drop unexpectedly, investigate.
What to Do If You Find an Error
- Act fast: Report errors within the same pay period if possible. The longer you wait, the harder it is to recover back pay.
- Email, don't just call: Create a paper trail. Attach your pay stub and any supporting docs (timecard, offer letter).
- Be specific: "My gross pay should be $2,000 (80 hrs × $25/hr) but the stub shows $1,600. Please correct and issue back pay."
- Follow up: If payroll doesn't respond in 48 hours, escalate to your manager or HR director.
- Keep copies: Save every pay stub and all correspondence about errors.
- Know your rights: Employers are legally required to pay you correctly and on time. If they refuse to fix a clear mistake, contact your state labor board.
Can You Sue for Paycheck Errors?
Yes, if the error is deliberate or the employer refuses to correct it. Wage theft (unpaid hours, misclassified OT, illegal deductions) is a violation of the Fair Labor Standards Act (FLSA) and state wage laws.
- Document everything: Timecards, pay stubs, emails, offer letters.
- File a wage claim: Contact your state's labor board or the U.S. Department of Labor.
- Consult an employment attorney: If you're owed significant back pay, a lawyer can help recover it plus penalties and legal fees.
Most payroll errors are accidents and get fixed quickly once reported. But if your employer ignores or disputes a clear mistake, don't let it go — you earned that money.