How to use the unpaid wage damages calculator
Korea charges a flat 20% annual late-payment rate on wages owed to a departed employee. The United States has no equivalent federal rule, so this tool is rebuilt around the remedies that do exist here: back wages, liquidated damages and state prejudgment interest.
Legal basis — Under the Fair Labor Standards Act, 29 U.S.C. 216(b), an employer who fails to pay minimum wage or overtime is liable for the unpaid amount and an additional equal amount as liquidated damages, which works out to roughly a 100% uplift. A court may reduce or deny that amount under 29 U.S.C. 260 if the employer acted in good faith. Prejudgment interest is a matter of state law; California, for example, applies 10% per year to unpaid wages under Labor Code 218.6 and Civil Code 3289. Figures reflect law as of September 2026.
Many states add their own wage-theft penalties on top, such as California's waiting-time penalty of up to 30 days of daily wages under Labor Code 203, or New York's liquidated damages under Labor Law 198. Check the statute in the state where the work was performed, because amounts and filing deadlines differ widely.
This calculator is for reference only and is not legal advice. Consult a licensed attorney or your state labor agency about your specific situation.
Frequently Asked Questions
No. U.S. federal law has no fixed statutory late-payment rate for wages. Instead, the FLSA at 29 U.S.C. 216(b) allows liquidated damages equal to the unpaid amount, and prejudgment interest is set by state law, such as the 10% rate used in California.
Not automatically. Under 29 U.S.C. 260 a court may reduce or deny them if the employer shows the underpayment was in good faith and based on reasonable grounds. Setting the rate to 0% in this tool models that outcome.