What are state salary exceptions?

This article will help you:

• Determine why you may not see certain crimes reported for candidates in certain states
• Create exceptions (if necessary) for candidates earning above a certain salary threshold

Under the Fair Credit Reporting Act (FCRA), criminal convictions are reportable on a background report, with no time restriction - reported convictions can go back to even 30 years.

However, nine states have laws restricting the reportability of criminal convictions to seven years maximum.

Of those nine states, five decided to allow an exception to their normal rule of reporting criminal convictions (which is normally seven years max).

This exception, called the salary exception, is only triggered when the employer states that the applicant has the potential to make a certain salary. When that exception is triggered, then the employer can see any criminal convictions beyond the seven years.

What are the state salary exception thresholds?

In each of the following states, convictions cannot be reported beyond seven years unless the applicant’s potential salary is at least $20,000 (or $25,000 in New York).

Example: A New York state applicant is applying for a job where the employer states that the applicant has the potential to make $30,000/year. The applicant has a criminal conviction and the latest available date is from 13 years ago. Will the conviction appear on the background report?

Yes. In New York, there is a salary exception for applicants who can potentially make $25,000/year or more. Because the employer has certified that the applicant is applying for a job where they will make over $25,000/year and the applicant lives in New York, the salary exception is triggered. Now, the conviction will appear on the background report.

Example: A Kansas state applicant is applying for a job where the employer states that the applicant has the potential to make $22,000/year. The applicant has a criminal conviction from 8 years ago. Will the conviction appear on the background report?

Yes. In Kansas, there is a salary exception for applicants who can potentially make $20,000/year or more. Because the employer has certified that the applicant is applying for a job where they will make over $20,000/year and the applicant lives in Kansas, the salary exception is triggered. Now, the conviction will appear on the background report.

Can my company use the salary exception?

Checkr’s platform allows employers to control whether they want to use the state salary exception. By default this feature is not turned on. Please contact clients@checkr.com to get more information on whether your company can get the salary exception feature turned on.