Pay stubs are not necessary for employers to give according to the law. Because of that employees cannot give any pay stub when needed by some transactions. This can be a problem for some situations. Income document proof are needed to be verified for some transactions.
A proof for your income is the purpose of a pay stub. If you do not have a pay stub you cannot comply this requirement on some businesses. Having copies of it may seem unnecessary for you. It is important to attest that the right salary is provided to you. The pay stub tells you how much your taxes withheld, contributions and deductions are as an employee.
In a personal loan application you must have a proof of income. It is an assurance that you can pay for the loan. This requirement may vary for each lender. A few months’ worth of pay stubs or just one month worth may be required of you.
Auto loans are another thing that needs a proof of income. The ability to pay for it is what the pay stub signifies. Presenting the pay stub shows your income proof. Income necessary for the auto loan depends upon the car purchase’s required amount. The proof of income can attest that you meet that criteria.
In the beginning of the year when you file for taxes, possessing pay stubs makes the job easier. The last pay stub in a year indicates how much taxes are paid and income are received. The pay stub also serves as proof for your health benefits. To correct whatever discrepancies there are in a wage and tax statement, pay stubs are required.
Another transaction that requires a proof of income is house rental. The document will serve as proof that you can manage to pay for the house rental. Apartment complexes will require you a months’ worth of pay stubs. The months’ worth of pay stubs will also tell them the length of service at your current workplace. Applications of people new to their workplace will most likely get a not from apartment owners. The apartment owners see a shaky source of income. Working for longer years on the same company will make your rental applications easier to approve.
Lenders will also look for pay stubs from those who want to refinance their mortgage. The document would mean that you have the means to pay for the loan. The loan application process will be easier if you have pay stubs.
Accident compensations too will require you to present pay stubs. The proof of income shows the potential earnings that you will not have.
This site can be a source for more information about pay stub generators.