HOW DO YOU PAY EMPLOYEES ON JURY DUTY?
Exempt employees-- Under the Fair Labor Standards Act (FLSA) if exempt
employees work part of a week and are on jury duty for the rest of that
week, you must pay them their full salary for that week. If no work is
performed for one or more full weeks due to jury duty, payment is not
required for exempt employees.
Nonexempt employees-- FLSA has no requirements for paying nonexempt
employees for their time spent on jury duty.
Even though it may not be a requirement, most employers elect to pay their
employees, exempt and nonexempt, in some fashion for their time spent on
jury duty. Examples including the following:
1. The employer pays only the difference between the employee's regular
wages and any jury duty pay. The difference is subject to federal
income tax withholding and FICA and FUTA.
2. The employer pays the employee for the time he/she was on jury duty,
but requires the employee to turn over any jury duty pay to the
employer. The difference between the amount paid by the employer
and the amount turned over by the employee is subject to federal
income tax withholding, FICA and FUTA. The employee may deduct
the amount of jury duty pay turned over, on his/her personal income
3. The employer pays the employee's regular wages for the entire time
period spent on jury duty; the employee keeps any jury duty pay.
These wages are subject to federal income tax withholding and FICA
In cases where the employee is allowed to keep the jury duty pay
(examples 1 and 3), It must be included in income on the employee's
personal tax return.