An employee recently resigned and hasn’t yet returned some company equipment. Can we hold on to their final paycheck until they return everything?

No, you can’t hold or delay an employee’s final paycheck while waiting for company equipment to be returned. Federal law requires that employees receive their final paycheck by their next regular payday, while almost half of the states require that they be paid within a shorter timeframe. In both cases, the obligation to pay in a timely fashion exists regardless of whether the employee has failed to return company property.