🇬🇧 UK · Employment Law · Updated 2026-06-27
Can my employer make deductions from my wages?
Your employer can only deduct from your wages if the deduction is authorised by your contract, agreed in writing beforehand, or required by law (such as income tax and NI). Unauthorised deductions can be recovered at the Employment Tribunal.
Under the Employment Rights Act 1996 (Part II), employers can only make deductions from wages in three circumstances: the deduction is required by law (e.g. income tax, National Insurance, court attachment orders); it is authorised by the employee's written contract (e.g. salary sacrifice, contractual pension); or the employee has given written consent in advance of the specific deduction.
Unlawful deductions include: charging for uniforms or equipment without prior written consent; clawing back training costs without a prior written agreement; deducting for stock shortages or cash register errors in retail (unless there is a specific contractual provision); or making deductions that bring pay below the National Minimum Wage.
If your employer makes an unlawful deduction, you can bring an unlawful deduction from wages claim at the Employment Tribunal (no minimum service required). The time limit is 3 months from the date of the deduction. You can recover all unlawfully deducted amounts going back up to 2 years from the date of claim.
Take-home pay calculator
Calculate →