Texas 2025 paystub requirements
Before providing pay stubs to your employees and contractors in Texas, it's important to understand the laws and regulations that govern payroll practices. This guide outlines the key legal requirements for employers in Texas regarding payroll and issuing pay stubs.
This guide explains the essential legal requirements for employers in Texas concerning payroll management and dispensation of pay stubs.
Pay stub regulations in Texas
1. Are pay stubs required by law in Texas?
Employers in Texas must provide their employees with pay stubs every payday.
2. How often do you need a pay stub in Texas?
In Texas, employers are required to pay exempt employees (employees not eligible for overtime)at least once a month and nonexempt employees (employees eligible for overtime) twice a month (semi-monthly). Pay stubs must be provided every payday, detailing accurate information about employees' wages. Issuing these pay stubs during each pay period is crucial for meeting legal requirements and ensuring employees have clear proof of income.
3. What information can be included on a pay stub in Texas?
The following information can be included in employee pay stubs:
- Hours and dates worked or pieces completed
- Payroll deductions
- Net wages
- Employee name
- Employer name and address.
4. Does Texas have a state income tax?
No, state income taxes are not applicable to employees in the state of Texas.
5. Are there any other taxes applicable to Texas?
No. There are no local taxes in addition to federal income taxes applicable to employees in the state of Texas.
Information needed to generate a paycheck stub
To provide employees with accurate paycheck stub, the information below is required.
- Whether the employee is a resident of Texarkana
Texas wage and hour laws
Texas employers must adhere to wage and hour laws mandating the provision of minimum wage, overtime pay, meal and rest breaks, and accrued paid time-off benefits to non-exempt employees.
The following aspects are governed by legal regulations:
Texas State Minimum wage
Texas legislation establishes a minimum hourly wage requirement that employers must follow, ensuring that workers receive compensation meeting or exceeding this specified baseline. The State law excludes from coverage any employment that is subject to the federal Fair Labor Standards Act.
The Texas State minimum wage law does not contain current dollar minimums. Instead, the State adopts the federal minimum wage rate by reference. Presently In 2025, the minimum hourly wage in Texas is set at $7.25.
Texas Overtime pay
Both federal and state laws mandate compensation for overtime. In cases of conflict, federal law prevails, even if it imposes stricter regulations. State law dictates that if an employee works more than 40 hours in a workweek, compensation for the excess hours is required. This compensation can either be in the form of 1.5 hours of compensatory time off for each overtime hour worked, or the employee may receive pay for the overtime at 1.5 times their regular rate of pay, at the discretion of the employing agency if granting compensatory time off is not feasible.
Texas Meal break and rest break
In Texas, state and federal laws do not mandate employers to provide lunch breaks or rest periods for adult workers.
Paid time off and leave
In Texas, employers are expected to provide employees with a variety of leave benefits, including both mandatory and optional types.
| Required Leave | Non-Required leave | |
|---|---|---|
| paid | Unpaid | Paid or Unpaid |
| Voting leave | Employers in Texas might need to grant employees up to 12 weeks of unpaid leave as mandated by the federal Family and Medical Leave Act. | Vacation leave |
| Jury Duty leave | Bereavement leave | |
| Military leave | Holiday leave | |
| Witness leave | Sick leave | |
Texas payroll taxes 2025
There is only one type of Texas employer payroll tax
- Texas State Unemployment Tax (UI)
Texas State Unemployment Tax (UI)
The State Unemployment Tax Act (SUTA) was established to aid individuals facing unemployment by facilitating the provision of unemployment benefits. This initiative empowers states to gather funds, which are subsequently utilized to manage and distribute unemployment insurance benefits for those who are jobless.
SUTA rates in Texas range from 0.25% to 6.25% in 2025.
Taxable wage base remains $9,000 in 2025.
Texas tax filing 2025
- Report of New Hire Employees
- Report of New hire Independent Contractors
- Filing a Quarterly wage Report (Form C-3)
Report of New hire Employees
In Texas, it's mandatory to report the hiring of a new employee to the Texas New Hire Reporting Center within 20 days of their start date. Alternatively, you can fulfill this requirement by submitting a Form W-4.
Report of Independent Contractors
In Texas, it's required to report the hiring of a new independent contractor to the Texas New Hire Reporting Center within 20 days from their start date.
How to report employee and independent contractor new hires in Texas?
Report New Hires in Texas to the Child Support Division of the Office of the Attorney General. You have the option to submit new hire information conveniently through online platforms, file uploads, or via traditional methods such as mail, fax, or phone.
| Online | Fax | |
|---|---|---|
| Texas New Hire Reporting | Address Information: ENHR Operations, P.O. Box 9023 Austin, TX 78714 Public Phone: 800-850-6442 Email: CSS-Outreach@oag.texas.gov | Fax :800-732-5015 |
Filing a Quarterly wage Report (Form C-3)
Quarterly wage reports and tax payments are required to be submitted by the last day of the month following the conclusion of the quarter. Late reports and tax payments incur penalties and interest.
| Reporting Period | Due Date |
|---|---|
| Quarter 1 | April 30 |
| Quarter 2 | July 31 |
| Quarter 3 | October 31 |
| Quarter 4 | January 31 |
Have all the information handy?
With SecurePayStubs, you can calculate accurate federal and Texas state taxes for your employees and generate pay stubs securely.
Processing payroll manually is complex
As a business owner who runs payroll manually, you will need to keep up with ever-changing payroll laws. You already have a lot on your plate and you might not want to get into the complex process of pay stub generation.
SecurePayStubs offers a hassle-free solution for generating Texas paychecks, allowing you to quickly create accurate pay stubs for both employees and independent contractors. Our Texas paystub generator incorporates precise calculations for federal and Texas state taxes, including Social Security contributions, through our advanced Texas payroll tax calculator. Enjoy a seamless and efficient process, with everything completed in under 2 minutes for maximum convenience and accuracy.
Simply enter the basic employee details, employee salary information, and employer details, select a pay stub template for free, and let SecurePayStubs do the rest. The process is user-friendly and efficient, making it easy to generate check stubs within minutes. Once your pay stub is ready, you can download and print it with ease.
Spend less time on check stubs generation and more time focusing on growing your business.
This article has been updated from its original publication date of February 15, 2025.