When applying for a mortgage many borrowers are overwhelmed with the amount of documentation we request, and today, I want to talk about Paystubs.

Paystubs fall under the income category in the mortgage documentation process.

Paystubs should contain all of the following information:

✅Your employer’s name/Company Name
✅Your Name
✅The pay period date
✅The wage or salary and how many hours were worked in the pay period.
✅Any overtime, bonus, vacation pay, or other premiums.
✅All deductions from wages and the reason for each deduction
✅Your YTD year-to-date pay
✅Both your gross and net pay
✅It is also preferred that the paystubs are prepared by a payroll service such as Ceridian, Ibex, or a Government Agency

Not all people receive traditional paystubs.  Some employers do their own payroll through their accounting software, use a bookkeeper, or pay by cash or cheque and issue a PDOC spring (Payroll Deductions Online Calculator)
In these cases the standard information may or may not be included on the pay statement and extra information will be required.  This information could include;

⚠️ All pay statements for the last 3 months – 12 months
⚠️ Personal bank statement showing the matching deposits for 3 months – 12 months
⚠️ A letter from your employer declaring your YTD year-to-date gross income.

What do we look for in the paystubs?

➡️ We make sure that your income is consistent.
➡️ We will check to see if the hours on the paystub match your letter of employment
➡️ We will look at your YTD year-to-date pay to make sure it’s on pace with what you should have made.
➡️ We will look at your YTD hours to make sure that they are also on pace with what you should have worked.
➡️ We will look for any anomalies on the physical paystub and even make sure that all of the deductions make sense, and add up.

If we find any anomalies we may need you to provide more information.

If you have any questions about your mortgage documentation or would like to apply for your next mortgage, please contact us at 431.482.2187 (Call/Text) or at greatrates@mainstreammortgages.com