UNPAID WAGES CLAIM GUIDE

A Step-by-Step Guide to Recovering Wages You Are Owed

WHAT IS THIS GUIDE FOR?

This guide helps workers recover unpaid wages. It covers:
- Federal and state wage claim options
- Department of Labor complaints
- Filing your own lawsuit
- Calculating what you're owed

TYPES OF WAGE VIOLATIONS

Common Wage Theft Scenarios

☐ Unpaid Overtime
- Not receiving 1.5x pay for hours over 40/week
- Being misclassified as exempt from overtime

☐ Minimum Wage Violations
- Being paid less than federal minimum ($7.25/hr) or state minimum
- Illegal deductions that drop pay below minimum wage

☐ Off-the-Clock Work
- Working before clocking in or after clocking out
- Working through lunch without pay
- Answering emails/calls outside work hours

☐ Unpaid Final Paycheck
- Not receiving final wages after termination
- Illegal deductions from final paycheck

☐ Misclassification
- Being treated as independent contractor when you're an employee
- Being classified as exempt when you qualify for overtime

☐ Tip Violations
- Employer keeping tips or portion of tips
- Illegal tip pooling
- Not receiving full minimum wage for tipped work

☐ Commission Disputes
- Not receiving earned commissions
- Employer changing commission structure retroactively

UNDERSTANDING YOUR RIGHTS

Federal Minimum Wage (2026)

Current Federal Minimum: $7.25 per hour

Note: Many states have higher minimums. Use whichever is higher.

Check your state's current minimum wage at www.dol.gov/agencies/whd/minimum-wage/state

Overtime Rules

Federal Rule:
- Time and a half (1.5x) for hours over 40 in a workweek
- Some states require daily overtime (over 8 hours/day)

Who Qualifies:
- Most hourly employees
- Some salaried employees under the salary threshold
- 2024 threshold: $43,888/year ($844/week)

Who Is Exempt:
- Certain executive, administrative, professional employees
- Outside sales employees
- Some computer professionals
- Must meet BOTH salary AND duties tests

STEP 1: DOCUMENT YOUR CLAIM

Records to Gather

☐ Pay stubs (all available)
☐ Time records or timesheets
☐ Work schedules
☐ Employment contract or offer letter
☐ Employee handbook
☐ Personal records of hours worked
☐ Bank statements showing deposits
☐ Text messages or emails about work hours
☐ Contact info for witnesses (coworkers)
☐ Job description
☐ Commission agreements

Create Your Own Time Log

If your employer doesn't provide accurate records, create your own:

STEP 2: CALCULATE WHAT YOU'RE OWED

Unpaid Wages Calculation Worksheet

Regular Wages Owed:

Overtime Owed:

Minimum Wage Shortage:

Total Summary:

STEP 3: CHOOSE YOUR OPTION

You have several ways to recover unpaid wages:

Option A: Department of Labor Complaint

Best for:
- Federal minimum wage and overtime violations
- Free process
- No lawyer needed
- Confidential

Limitations:
- DOL decides whether to pursue
- No liquidated damages in settlement (as of June 2025)
- May take months

Option B: State Labor Agency Complaint

Best for:
- State wage violations
- May have better remedies than federal
- Often faster than DOL
- Some states allow penalties

Option C: File Your Own Lawsuit

Best for:
- Larger claims
- When you want liquidated damages (double damages)
- When agency won't take case
- Class/collective actions

Note: Many employment attorneys take wage cases on contingency.

OPTION A: DOL WAGE AND HOUR COMPLAINT

How to File

Online:
Visit www.dol.gov/agencies/whd/contact/complaints

By Phone:
Call 1-866-487-9243 (1-866-4US-WAGE)

In Person:
Find your local Wage and Hour Division office at www.dol.gov/agencies/whd/contact/local-offices

Information to Provide

☐ Your name and contact information
☐ Employer's name and address
☐ Employer's phone number
☐ Type of work you do
☐ How and when you are paid
☐ Description of the violation
☐ Approximate dates of violation
☐ Supporting documents (if available)

What Happens After Filing

1. Intake: WHD reviews your complaint
2. Investigation: If they take the case, they investigate
3. Resolution: WHD may:
   - Supervise payment of back wages
   - Negotiate settlement
   - Refer for litigation

Confidentiality

Your identity is confidential. WHD will not tell your employer who filed the complaint.

Retaliation Protection

It is illegal for your employer to retaliate against you for filing a complaint or participating in an investigation.

If retaliation occurs, file a separate retaliation complaint with WHD.

OPTION B: STATE LABOR AGENCY

Many states have their own wage claim processes with advantages:

State Agency Benefits

• May have higher minimum wages
• May have daily overtime rules
• May allow waiting time penalties
• May have better enforcement

Find Your State Agency

How to File

Most states offer online filing. Search "[Your State] wage claim" to find the process.

OPTION C: FILE A LAWSUIT

Statute of Limitations

Federal (FLSA):
- 2 years for regular violations
- 3 years for willful violations

State Laws: Vary - check your state

What You Can Recover

Under FLSA:
- Unpaid wages
- Liquidated damages (equal to unpaid wages = double damages)
- Attorney's fees
- Court costs

Example:
- $5,000 in unpaid overtime
- $5,000 in liquidated damages
- = $10,000 total recovery (plus attorney fees)

Filing Options

Small Claims Court:
- For smaller amounts (limits vary by state)
- No lawyer needed
- Fast resolution
- May not allow liquidated damages

Federal or State Court:
- For larger claims
- Allows liquidated damages
- Collective/class actions possible
- Consider hiring an attorney

Finding an Attorney

Many employment lawyers handle wage cases on contingency (no upfront cost):
- NELA (National Employment Law Project): www.nela.org
- Your state bar association lawyer referral
- Legal aid organizations

DEMAND LETTER TEMPLATE

Before filing a complaint or lawsuit, send a demand letter:

Date: [__/__/____]

[Employer Name]
[Address]
[City, State ZIP]

SENT VIA CERTIFIED MAIL - RETURN RECEIPT REQUESTED

Re: Demand for Unpaid Wages

Dear [Employer/HR Director]:

I am writing to demand payment of wages owed to me for work performed during my employment with [Company Name] from [start date] to [end date].

Wages Owed:

[Describe specific wages owed, e.g.:]
- Unpaid overtime for weeks of [dates]: $[amount]
- Minimum wage shortage: $[amount]
- Unpaid final wages: $[amount]

Total owed: $[________________________________]

Legal Basis:

Under the Fair Labor Standards Act (29 U.S.C. § 201 et seq.) and [State] labor law, I am entitled to [describe - overtime pay, minimum wage, etc.]. Employers who fail to pay required wages may be liable for liquidated damages equal to the unpaid wages, plus attorney's fees and costs.

Demand:

I demand payment of $[________________________________] within 14 days of the date of this letter.

If I do not receive payment by [__/__/____], I will file a complaint with the Department of Labor and/or pursue legal action to recover the wages owed, liquidated damages, attorney's fees, and costs.

Sincerely,

[Your Signature]
[Your Name]
[Your Address]
[Your Phone]
[Your Email]

PROTECTING YOURSELF FROM RETALIATION

Your Rights

The FLSA prohibits retaliation for:
- Filing a wage complaint
- Testifying in a wage investigation
- Discussing wages with coworkers

Signs of Retaliation

☐ Termination
☐ Demotion
☐ Reduced hours
☐ Pay cut
☐ Harassment
☐ Negative performance reviews (sudden)
☐ Transfer to less desirable position

If Retaliation Occurs

1. Document everything
2. File a retaliation complaint with DOL
3. Consult an employment attorney
4. You may have a separate retaliation claim

CLAIM TRACKING WORKSHEET

Employer Information

Company name: [________________________________]
Address: [________________________________]
Phone: [________________________________]
Supervisor name: [________________________________]

Employment Details

Dates of employment: [__/__/____] to [__/__/____]
Job title: [________________________________]
Regular pay rate: $[____] per hour/week/year
Hours typically worked: [____] hours/week

Complaint Filing

Option chosen: ☐ DOL ☐ State Agency ☐ Lawsuit

DOL Complaint:
Date filed: [__/__/____]
Confirmation number: [________________________________]
Investigator assigned: [________________________________]
Phone: [________________________________]

State Complaint:
Agency: [________________________________]
Date filed: [__/__/____]
Case number: [________________________________]

Lawsuit:
Court: [________________________________]
Date filed: [__/__/____]
Case number: [________________________________]

Resolution

Date resolved: [__/__/____]
Amount recovered: $[________________________________]
Method: ☐ DOL supervised payment ☐ Settlement ☐ Judgment

SOURCES AND REFERENCES

• Department of Labor Wage and Hour Division: www.dol.gov/agencies/whd
• FLSA Overview: www.dol.gov/agencies/whd/flsa
• State Minimum Wages: www.dol.gov/agencies/whd/minimum-wage/state
• Workplace Fairness: www.workplacefairness.org
• National Employment Law Project: www.nelp.org

This guide is for informational purposes only and does not constitute legal advice. Wage and hour laws vary significantly by state. Consider consulting with an employment attorney, especially for larger claims or complex situations. Many employment attorneys handle wage cases on contingency.