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Tennessee Updates Pay Timing for Commissioned and Piece-Rate Employees - HR ALERTS

Tennessee Updates Pay Timing for Commissioned and Piece-Rate Employees

Effective Date: July 1, 2026

Tennessee has clarified wage payment timing requirements for employees paid on a commission or piece-rate basis.

 

What Changed

  • Wages earned must be paid no later than the last day of the following month

  • Final pay for these employees (voluntary or involuntary separation) must also be paid by the last day of the following month

 

Why This Matters

  • Establishes a clear statutory deadline for variable compensation

  • Impacts payroll timing and close processes for commission-based roles

  • Reduces ambiguity around final paycheck timing for these employees

 

Reference:


Get day-to-day updates on Tennessee Updates Pay Timing for Commissioned and Piece-Rate Employees visit the Vida HR Knowledge Center (Vida HR Clients Exclusive).

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