Legal Question in Credit and Debt Law in California

Overpayment in paycheck
In my December paycheck, the payroll department paid me twice accidentally. So I put in my checking account what I normally make and put the remaining balance of $1350 in my Savings account to be paid back. Now payroll is telling me that I owe them approx. $2200 due to taxes already deposited in Federal and State. That is an additional $880. I don't feel this is fair. Because of their mistake I have to pay for it? Is there something I can do? I can't afford this!

Asked on 1/08/01, 5:29 pm

2 Answers from Attorneys

Norman Gregory Fernandez, Esq. The Law Offices of Norman Gregory Fernandez & Associates

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Re: Overpayment in paycheck

In Court you would not be made to pay the taxes, only what you received in error from your company. I would explain to them that their mistake is not your fault, you will return the extra money they paid to you, but you are not liable for the extra taxes they paid becuase it was there mistake. I do understand that it is your company and you do not want to risk your job. You could also tell them that they could just forgoe sending taxes for your next pay period because they have already done so for the extra paycheck. In any case if they do try to deduct this from your next check, take them to small claims Court to protect yourself at work. Your payroll dept. is just trying to coverup their screwup. In the future, never keep or deposit money which you know is not yours. Just return the check immediatly!!

Answered on 1/12/01, 10:43 am

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