Final Paycheck Demand and Wage Claim — Texas

Final Paycheck Demand and Wage Claim (TEXAS)

Quick-Reference Summary

Part A — Demand Letter to Former Employer

Letterhead and Date

[________________________________]
[LAW FIRM OR INDIVIDUAL NAME]
[________________________________]
[Street Address]
[________________________________]
[City, State ZIP]
[________________________________]
[Phone] | [Email]

VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED
AND VIA EMAIL TO: [________________________________]

Date: [__/__/____]

Recipient (Employer Registered Agent)

[________________________________]
[Employer Legal Name]
c/o [________________________________] (Registered Agent for Service of Process; verify with Texas SOS SOSDirect)
[________________________________]
[Street Address]
[________________________________]
[City, TX ZIP]

Subject Line

RE: DEMAND FOR UNPAID FINAL WAGES — TEX. LAB. CODE § 61.014

I. Employment Identification

II. Termination Circumstances

The undersigned represents [________________________________] ("Employee") concerning [Employer]'s failure to pay all final wages owed at separation under the Texas Payday Law. The separation was:

☐ Involuntary discharge / termination by Employer on [__/__/____] (six-day rule applies)
☐ Layoff effective [__/__/____] (six-day rule applies)
☐ Voluntary resignation effective [__/__/____] (next-payday rule applies)
☐ Mutual separation effective [__/__/____] (treated as involuntary unless circumstances show otherwise)
☐ End of fixed-term contract / project on [__/__/____]

III. Wages Owed (Itemized)

IV. Statutory Deadline Violated

Under Tex. Lab. Code § 61.014(a) [involuntary separation], final wages were due no later than [__/__/____] (the sixth calendar day after discharge).

— OR —

Under Tex. Lab. Code § 61.014(b) [voluntary separation], final wages were due on the next regular payday, [__/__/____].

As of the date of this letter, [____] days have elapsed without full payment. The Texas Payday Law does not permit an employer to withhold final wages based on failure to return company property, unsigned timesheets, or similar reasons (see Texas Guidebook for Employers, Final Pay chapter).

V. Penalties and Damages

Texas does not impose a daily waiting-time penalty. Available remedies include:

VI. Demand for Payment

Employer is hereby demanded to deliver, no later than [__/__/____] (30 calendar days from the date of this letter, the statutory presentment period under Tex. Civ. Prac. & Rem. Code § 38.002), a cashier's check or wire transfer in the amount of:

Total demanded: $[____]

made payable to "[________________________________]" and delivered to the address above. Timely payment will avoid attorney's-fee liability under § 38.001.

VII. Litigation Hold Notice

Employer is on notice to preserve all relevant evidence including, without limitation: timekeeping records, payroll registers, paystubs, personnel file, commission and bonus plans, severance plans, PTO/vacation policy and accrual records, deduction authorizations under Lab. Code § 61.018, termination documentation, expense-reimbursement records, all written and electronic communications referencing Employee, email/Slack/Teams/text data, and any backups thereof. The duty to preserve attaches now and continues through final resolution. Spoliation may result in evidentiary sanctions.

VIII. Notice of Intent to File TWC Claim and/or Lawsuit

If Employer fails to remit full payment by [__/__/____], Employee will, without further notice:

1. File a Texas Payday Law wage claim with the Texas Workforce Commission Wage and Hour Department under Tex. Lab. Code § 61.051;
2. File suit in [____] County District Court (or J.P. Court for amounts ≤ $20,000) for breach of contract and unpaid wages, seeking actual damages, attorney's fees under § 38.001, and pre- and post-judgment interest; and
3. File suit in federal district court under the FLSA (29 U.S.C. § 216(b)) if minimum-wage or overtime violations are implicated, seeking liquidated damages and mandatory fee shifting.

Signature Block

Respectfully,

[________________________________]
[Attorney / Employee Name]
[State Bar No. ____] (if attorney)
[Email] | [Phone]

cc: [________________________________] (client)

Part B — TWC Wage Claim Filing

Agency Name and Address

Texas Workforce Commission
Wage and Hour Department
101 E. 15th Street, Room 514
Austin, TX 78778-0001
Fax: 512-322-2885
Online portal: https://www.twc.texas.gov/programs/wage-and-hour/texas-payday-law

Form Name and Version

• TWC Wage Claim — file online (recommended) or use paper Wage Claim form (current revision)
• Spanish version available
• Separate claim required for each employer

Required Attachments

☐ Completed Wage Claim, signed under penalty of perjury
☐ Most recent pay stub or paycheck copy
☐ Itemized calculation of each category of unpaid wages
☐ Dates worked and not paid
☐ Offer letter or written employment / commission / bonus agreement
☐ Employer's PTO / vacation policy (if claiming PTO payout)
☐ Termination notice or resignation letter
☐ Copy of demand letter sent under Part A and any employer response
☐ Time records (employer's or personally maintained)
☐ Bank records showing missing direct deposits (if applicable)

Filing Deadlines

• 180 days from the date the wages were due to be paid (Tex. Lab. Code § 61.051(c)). TWC measures by the date the claim is received, not mailed.
• If part of the unpaid wages are older than 180 days, file only for the timely portion (older amounts may be pursued via civil suit under the 4-year breach-of-contract SOL).

Hearing Procedure Overview

1. Claim received → TWC investigator opens file; employer notified.
2. Investigation — both parties submit documentation; TWC may interview witnesses.
3. Preliminary Wage Determination Order (PWD) issued (Lab. Code § 61.052).
4. Appeal to Wage Claim Appeal Tribunal — either side may appeal within 21 days of mailing of PWD (Lab. Code § 61.054).
5. Telephonic hearing before a hearing officer; evidence and witness testimony recorded.
6. Commission appeal — appeal hearing decision to the three-member Commission within 14 days.
7. Judicial review — file in district court within 30 days under Lab. Code § 61.062.
8. Collection — if wages awarded and unpaid, TWC may file an administrative lien and collect via wage assignment or asset levy (Lab. Code § 61.063).

Election-of-Remedies Considerations

• TWC filing bars simultaneous lawsuit for the same wages under Lab. Code § 61.051(d); claimant must elect.
• Bankruptcy or governmental employer → TWC will deny; pursue federal wage-priority claim or DOL Wage and Hour Division.
• FLSA overlay — federal minimum-wage / OT claims may proceed in federal court independently (not preempted by TWC election).
• Breach-of-contract claim — may be more attractive when (a) wages > 180 days old, (b) amounts substantially exceed the $1,000 TWC penalty cap, or (c) attorney-fee recovery under § 38.001 is desired.
• Small-claims (J.P. Court) — viable for claims up to $20,000 (Gov. Code § 27.031); informal procedure, but no fee shifting unless contract-based.

Part C — Pre-Send Checklist

☐ All hours, rates, and pay periods verified from contemporaneous records
☐ FLSA overtime calculation verified (28 CFR Part 778 regular-rate computation)
☐ Termination type (involuntary vs. voluntary) confirmed and documented
☐ Final-paycheck deadline calculated under Lab. Code § 61.014(a) or (b)
☐ Employer's PTO / vacation policy reviewed; payout obligation confirmed in writing
☐ Commission / bonus plan reviewed; "earned" determination documented
☐ Deductions audited against Lab. Code § 61.018 (written authorization required)
☐ Demand letter sent via certified mail, return receipt requested, AND email
☐ § 38.002 presentment date diaried (30 days) for breach-of-contract fee-shifting
☐ 180-day TWC deadline diaried
☐ TWC Wage Claim drafted as backup
☐ Litigation-hold notice transmitted; preservation tracker opened
☐ FLSA viability assessed (regular rate, OT exemptions, 2-year vs. 3-year SOL)
☐ Penal Code § 31.04 wage-theft viability noted (DA referral, > $750)
☐ Conflicts check completed; engagement letter signed
☐ Texas SOS SOSDirect search confirms registered agent

Sources and References

• Tex. Lab. Code Chapter 61 (Texas Payday Law): https://statutes.capitol.texas.gov/docs/LA/htm/LA.61.htm
• TWC — Texas Payday Law: https://www.twc.texas.gov/programs/wage-and-hour/texas-payday-law
• TWC — File a Wage Claim: https://www.twc.texas.gov/programs/wage-and-hour/texas-payday-law (online application)
• TWC — Texas Guidebook for Employers, Final Pay chapter: https://efte.twc.texas.gov/final_pay.html
• TWC — Wage Claim Appeals: https://www.twc.texas.gov/programs/appeals/texas-payday-law-appeals
• Tex. Civ. Prac. & Rem. Code § 38.001 (attorney fees for breach of contract)
• 29 U.S.C. §§ 206-207, 216 (FLSA minimum wage, overtime, remedies)
• Tex. Penal Code § 31.04 (theft of services; wage-theft prosecutions)