TN 8 (11-93)
RS 01401.250 Loans and Debts
Loans are debts by the employee. A payment to an employee before he/she does the work is a loan if:
The agreement between the employee and employer determines when a debt is paid by the employee's work and, therefore, when wages are considered paid.
If the agreement is made after the work is done, wages are deemed paid on the date of the agreement.
If the agreement is made after the debt is incurred but before the work is done, wages are paid on the date the debt is canceled.