Statute of Limitations for Unpaid Wage Claims

Deadlines Decide Whether You Can Recover Your Pay

When it comes to unpaid wage claims, the law gives workers powerful tools. But those tools only work if you act in time. Every claim has a deadline, a window of time when you can bring your case. Miss that window, and even the strongest evidence won’t get you paid back.

These deadlines are called statutes of limitations. They decide whether your claim moves forward or gets dismissed before it even starts. For workers struggling with missing pay, understanding these timeframes is just as important as gathering proof. At Horn Wright, LLP, our employment law attorneys make sure the clock doesn’t run out before justice is served.

Filing Deadlines in New York State Courts

New York gives workers one of the longest filing windows in the country. Under NYLL § 198(3), employees can pursue unpaid wage claims for up to six years. That’s six years’ worth of missing paychecks, overtime, or stolen tips that can be brought into court.

This long statute of limitations reflects New York’s recognition that many workers don’t immediately realize they’ve been shortchanged. Misclassified employees, for example, may spend years thinking they’re “exempt” from overtime before learning the truth. Others may not notice small underpayments until they add up.

In practice, the six-year rule means workers can recover significant amounts. It also means calculating back pay & damages becomes a substantial part of any claim. Attorneys often look back through years of records, reconstructing hours worked and wages owed to maximize recovery.

Federal Deadlines Under the FLSA

At the federal level, deadlines are shorter. The Fair Labor Standards Act sets a two-year statute of limitations for most unpaid wage claims. If the violation is found to be “willful,” that period extends to three years.

For many workers, the shorter timeframe makes it critical to file quickly. Employers often argue that their violations weren’t willful, hoping to restrict recovery to two years. Attorneys counter with evidence of systemic abuse, like consistent off-the-clock work or repeated misclassification across departments.

Workers in New York often bring claims under both state and federal law. Doing so allows them to take advantage of New York’s six-year window while still recovering under the FLSA’s provisions. This combined approach strengthens claims and increases the odds of recovering unpaid wages from employers.

How to Determine When the Clock Starts

Understanding deadlines means knowing when they begin. Generally, the statute of limitations starts ticking on the date the wages should have been paid. For example, if overtime for the week ending July 1, 2022, wasn’t paid on the July 8 paycheck, the deadline starts from that payday.

But there are nuances:

• Ongoing violations. Each missed paycheck counts as a separate violation. This means workers may still recover for recent unpaid wages even if older ones fall outside the timeframe.
• Employer concealment. If employers falsify records or mislead workers, courts may adjust when the clock begins. This often comes up in employer record-keeping violations & unpaid wages cases.
• Misclassification. Workers incorrectly told they are exempt may not realize the problem until later. Courts sometimes treat each paycheck as a new violation, giving misclassified employees more room to file.

Determining the start date is one of the most technical parts of wage cases. Get it wrong, and you could lose years of potential recovery. That’s why filing a claim for unpaid wages with the help of an experienced attorney is essential.

Unlike Vermont, New York Provides Longer Filing Deadlines for Workers

Geography matters. In Vermont, wage claims are subject to shorter statutes of limitations. Workers there may only recover two or three years of unpaid wages, depending on the circumstances. This reduced window limits the total recovery and makes it harder for long-term violations to be addressed.

By contrast, New York’s six-year statute gives employees more leverage. Employers who hope workers won’t notice small underpayments until it’s too late find themselves exposed to years of liability. The difference is especially stark in cases involving misclassification & unpaid wage claims, where workers often go years without realizing they’ve been denied overtime.

New York’s longer timeframe also reflects a broader commitment to worker rights. It ensures that even delayed claims can succeed and that employers can’t simply “wait out” their violations.

Exceptions and Extensions That May Apply

Even with strict deadlines, exceptions exist. Courts sometimes extend the statute of limitations, giving workers more time to act.

• Willful violations. Under the FLSA, proving willfulness extends the deadline from two years to three. Evidence of intentional underpayment or falsified records often meets this standard.
• Tolling agreements. Employers and employees can sometimes agree to pause the clock during negotiations.
• Equitable tolling. Courts may extend deadlines when workers were misled or prevented from filing. For example, if an employer falsely told workers they weren’t entitled to overtime, judges may pause the clock.
• Class actions. Filing a collective or class action can preserve claims for a group of workers, even if some deadlines would have expired individually.

These exceptions show why missing paperwork or delayed discovery doesn’t always mean the end. Courts are willing to hold employers accountable when their own misconduct prevented workers from acting on time. This is especially true when employer liability for unpaid wages becomes clear through systemic practices.

Why Acting Quickly Protects Your Rights

Even with generous statutes of limitations, waiting is risky. Evidence disappears, co-workers move on, and memories fade. Employers may also restructure or close down, making recovery harder. Acting quickly doesn’t just preserve legal rights, it strengthens the case itself.

Workers who act promptly can secure records before they’re lost, file claims while witnesses are available, and maximize recovery periods. Delays shrink the amount recoverable and give employers more room to argue. That’s why attorneys emphasize filing early: it protects your ability to claim every dollar owed.

For workers deciding whether to take action, remember this: unpaid wages don’t just vanish. They remain legally yours, but only if you enforce your rights in time. Calculating back pay & damages starts with filing while the window is still open.

Horn Wright, LLP, Files Claims on Time to Preserve Your Rights

Deadlines are unforgiving. Miss one, and your case may never be heard. At Horn Wright, LLP, we make sure that doesn’t happen.

Our employment law attorneys track statutes of limitations under both federal and state law. We file claims strategically, preserving your right to recover the maximum wages, overtime, and damages. Whether your case involves misclassification, missing records, or years of underpayment, we act quickly to lock in your rights.

If you’re ready to work with a nationally recognized firm that files wage claims before deadlines expire, Horn Wright, LLP, will ensure the clock doesn’t run out on your case.