Embezzlement is one kind of property theft. It occurs when someone who was entrusted to manage or monitor someone else’s money or property steals all or part of that money or property for the taker's personal gain. The key is that the defendant had legal access to another’s money or property, but not legal ownership of it. Taking the money or property for the defendant’s own gain is stealing; when combined with the fact that this stealing was also a violation of a special position of trust, you have the unique crime of embezzlement.
Embezzlement can occur in a variety of circumstances. For example, a bank teller has legal access to client money, and is trusted to handle but not take that money. Officers and employees of companies can also embezzle funds belonging to the company, as can family members caring for a relative, professionals like lawyers or board members who handle client or investor money, or anyone in a position of trust with regard to someone else’s money or property.
How is Embezzlement Punished?
A conviction for embezzlement usually results in a fine, jail or prison time, or both. Each state has its own penalty scheme; depending on the value or type of property you have embezzled (and in many states, whether there were any aggravating factors accompanying the crime), the penalties will differ in their severity.
To skip directly to your state’s punishment ranges, see "Embezzlement Laws by State" below, and click the link to your state. For the federal crime, see Federal Embezzlement Laws & Penalties
Property value
Most states punish embezzlement convictions according to the value of the money or property stolen. Most commonly, a state will list monetary value ranges (for example “property worth less than $500”) and corresponding fines and jail or prison sentences for each range.
Property type
Some states also list types of property that (regardless of value) incur specific fines and prison terms. For example, because it is a precursor ingredient in making methamphetamine, anhydrous ammonia is an example of a type of property that many states specifically enumerate for harsh penalties, regardless of the amount or value stolen. Other types of property often include firearms, livestock, property stolen during an emergency or natural disaster, or public records.
Restitution
Many states require defendants to pay restitution to their victim(s). This usually involves repaying the victim for the monetary value of the money or property embezzled. When applicable, restitution is most often in addition to the applicable fines and prison time.
Aggravating factors
Many states impose harsher penalties when the defendant embezzled from a specially protected class of victims (such as elderly or disabled adults), or when the defendant had a heightened level of trust with the victim (such as when the defendant is a public servant, or bank or insurance company employee).
Arizona law, for example, specifies that a person caring for a “vulnerable adult" (someone elderly or disabled) is in a special position of trust over and above the normal level of trust assumed to exist when the property owner is not considered vulnerable. Because of this heightened position of trust, Arizona law seeks to protect vulnerable adults by deeming any transfer of money or property to the care taker without adequate consideration (paying a fair market value in money or services) as giving rise to an inference that the care taker intended to deprive the vulnerable adult of the money or property. This is in contrast to normal transfer situations (that is, with non-vulnerable adults), where a transfer without payment of adequate consideration may help support the case against the defendant, but does not automatically give rise to the inference that the defendant intended to embezzle. This extra layer of protection makes it easier for the prosecutor to prove that the defendant embezzled from the vulnerable adult.
Alabama provides another example of the way aggravating factors can impose harsher consequences than the otherwise applicable fines or prison time. In Alabama and several other states, a public servant convicted of embezzling public funds not only faces fines and imprisonment, but is permanently ineligible to be elected to the state legislature or hold any public office. Again, the underlying policy involves a special position of trust, and heightened punishment for violating that trust.
Many states have similar laws protecting special classes of victims, or imposing harsher penalties on special classes of defendants. To learn more about how your state punishes crimes that involve aggravating factors, see “Embezzlement Laws by State” below, and click the link to your state.
Common Scheme or Plan of Embezzlement
Many states allow the judge to aggregate the total worth of the money or property stolen when a defendant embezzles as part of a common plan or scheme. Some states allow the judge to aggregate the value over a specific time period (such as 12 months), while other states do not impose any time period --for example, when the embezzlement involved only one victim.
In these states, the defendant will be charged and sentenced depending on the total worth of the money or property stolen. This allows the prosecutor to charge the defendant with one embezzlement crime (and the judge to impose one sentence), rather than bring to trial many small embezzlement crimes. This is helpful when the amounts embezzled were very small, and occurred over a long period of time. For example, suppose a defendant stole ten dollars each day from his employer’s cash register. The total amount embezzled would add up over a year or more, but it would be unreasonable to try the defendant for 365 or more small embezzlement crimes of ten dollars each.
Embezzlement Laws by State
State |
Penalties At-A-Glance |
Detail on State Law |
|
Alabama |
Theft of property in the third degree. Money or property with a value
up to and including $500. Penalties include a fine of up to $2,000, up to one
year in jail. |
|
|
Alaska |
Embezzlement of property that is worth less than $50 is theft in the fourth degree, a Class B misdemeanor. Punishment for a Class B misdemeanor includes up to 90 days in jail and a fine of not more than $2,000. A person who embezzles property worth $500 to $25,000 has committed theft in the second degree, a Class C felony. A Class C felony carries a prison sentence of up to five years. |
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|
Arizona |
Less than $1,000 in value. As a class 1 misdemeanor, penalties
include a fine of up to $2,500, up to six months in jail, or both. |
|
|
Arkansas |
Class A misdemeanor. The value of the property is $1,000 or less.
Penalties include a fine of up to $1,000, up to one year in jail, or both. |
|
|
California |
Embezzlement of property worth less than $950 is a misdemeanor,
subjecting a defendant to a possible jail sentence of six months or less, and
a fine of up to $1,000. |
|
|
Colorado |
Less than $500. The defendant will be charged with a class 2
misdemeanor. Penalties include a fine of between $250 and $1,000, between
three and six months in jail, or both. |
|
|
Connecticut |
Class C misdemeanor. The value of the property is $500 or less. |
|
|
Delaware |
Property with value less than $1,500. The defendant will be charged
with a class A misdemeanor. |
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|
District of Columbia |
Theft in the second degree. The value of the property is less than
$1,000. Penalties include a fine of up to $1,000, up to 180 days in jail, or
both. |
|
|
Florida |
In Florida, embezzlement can be classified as either first, second or third degree felony, punishable by up to five years in prison. Lesser offences include first and second degree misdemeanor embezzlement, which is punishable by fines up to $1,000 and one year in jail. |
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|
Georgia |
Value is $500 or less. Penalties include a fine of up to $1,000, up
to one year in jail, or both. |
|
|
Hawaii |
Theft in the first degree. The embezzled property or money is worth
more than $20,000. Penalties include a fine of up to $25,000, up to ten years
in prison, or both. |
|
|
Idaho |
A defendant who embezzles public money or property, or otherwise uses a position as a public servant to embezzle money or property related to his duties in that role, is guilty of a felony. Penalties include a fine of up to $10,000, at least one (and up to 20) years in prison, or both. |
|
|
Illinois |
Money or property is worth $500 or less. If convicted, the defendant
will face a fine of up to $2,500, up to one year in jail, or both. |
|
|
Indiana |
Less than $100,000. In addition to paying the value of the money or
property back to the victim, the defendant will face a fine of up to $10,000,
between six months in jail and 18 months in prison, or both. |
|
|
Iowa |
Money or property worth $200 or less. Penalties include a fine of
between $50 and $500, up to 30 days in jail, or both. |
|
|
Kansas |
Less than $1,000. Penalties include a fine of up to $2,500, up to one
year in jail, or both. |
|
|
Kentucky |
Money or property worth less than $500. Penalties include a fine of
up to $500, between 90 days and one year in jail, or both. |
|
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Louisiana |
Money or property worth less than $500. Penalties include a fine of
up to $1,000, up to six months year in jail, or both. |
|
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Maine |
Money or property worth less than $500. Penalties include a fine of
up to $1,000, up to one year in jail, or both. |
|
|
Maryland |
In addition to restitution (paying the victim back for the amount or value of the embezzled property), penalties for embezzlement in Maryland include a fine of between $50 and $100, and at least one (and up to five) years in prison. |
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|
Massachusetts |
Money or property worth $250 or less. For a first offense, penalties
include a fine of between $50 and $600, between six months in jail and two
and a half years in prison, or both. |
|
|
Michigan |
Money or property worth less than $200. Penalties include a fine of
up to $500, or up to three times the value of the embezzled property; up to
93 days in jail; or both. |
|
|
Minnesota |
Money or property worth less than $500. Penalties include a fine of
up to $1,000, up to 90 days in jail; or both. |
|
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Mississippi |
Money or property worth less than $500. Penalties include a fine of
up to $1,000, up to six months in jail, or both. |
|
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Missouri |
Less than $500. Penalties include a fine of up to $1,000, up to one
year in jail, or both. |
|
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Montana |
Money or property worth $1,500 or less. Penalties include a fine of
up to $1,500, up to six months in jail, or both. |
|
|
Nebraska |
Money or property worth $200 or less. Penalties include a fine of up
to $1,000, up to six months in jail, or both. |
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Nevada |
Money or property worth less than $650. Penalties include a fine of
up to $1,000, up to six months in jail, or both. |
|
|
New Hampshire |
Money or property worth $1,000 or less. Penalties include a fine of
up to $2,000 (or up to double the amount embezzled, whichever is more); up to
one year in jail; or both. |
|
|
New Jersey |
Money or property worth $75,000 or more. Penalties include any or all
of the following: restitution of the amount embezzled to the victim; a fine
of up to $150,000, and between five and ten years in prison. |
|
|
New Mexico |
Money or property worth $250 or less. Penalties include a fine of up
to $500, up to six months in jail, or both. |
|
|
New York |
Money or property worth $1,000 or less. Penalties include a fine of
up to $1,000; up to one year in jail, or both. |
|
|
North Carolina |
In North Carolina, embezzlement is punished according to the position the defendant held in relation to the victim, and the value or type of property stolen. |
|
|
North Dakota |
Money or property worth more than $10,000. Penalties include a fine
of up to $10,000, up to ten years in prison, or both. |
|
|
Ohio |
Money or property worth less than $1,000. Penalties include a fine of
up to $1,000, up to 180 days in jail, or both. |
|
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Oklahoma |
Money or property worth less than $500. Penalties include a fine of
up to $1,000, up to one year in jail, or both. |
|
|
Oregon |
Money or property worth less than $100. Penalties include a fine of
up to $1,250, up to 30 days in jail, or both. |
|
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Pennsylvania |
Property worth more than $2,000. Penalties include a fine of up to
$15,000, up to seven years in prison, or both. |
|
|
Rhode Island |
$100 or more. Penalties include a fine of up to $50,000, or up to
three times the value of the money or property embezzled (whichever is
more); up to 20 years in prison; or
both. |
|
|
South Carolina |
Money or property worth $10,000 or more. Penalties include a fine in
an amount determined by the judge, up to ten years in prison, or both. |
|
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South Dakota |
Money or property worth $1,000 or more. Penalties include a fine or
up to $30,000, up to 15 years in prison, or both. |
|
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Tennessee |
Money or property worth $60,000 or more. Penalties include a fine of
up to $25,000, at least eight (and up to 30) years in prison, or both. |
|
|
Texas |
Money or property worth less than $50. Penalties include a fine of up
to $500. |
|
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Utah |
Money or property worth less than $500. Penalties include a fine of
up to $1,000, up to six months in jail, or both. |
|
|
Vermont |
In Vermont, embezzlement is punished with a fine of up to $500, up to ten years in prison, or both. |
|
|
Virginia |
Money or property worth less than $200. Penalties include a fine of
up to $2,500, up to one year in jail, or both. |
|
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Washington |
Money or property worth more than $5,000. Penalties include a fine of
up to $20,000, up to ten years in prison, or both. |
|
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West Virginia |
Money or property worth $1,000 or more. Penalties include at least
one (and up to ten) years in prison. However, the judge has the discretion to
treat the conviction as below. |
|
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Wisconsin |
Money or property worth less than $2,500. Penalties include a fine of
up to $10,000, up to nine months in jail, or both. |
|
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Wyoming |
Money or property worth less than $1,000. Penalties include a fine of
up to $750, up to six months in jail, or both. |
An Important Note on Local Legal Representation
If you have been charged with a property theft or embezzlement-related offense, consult an experienced criminal defense attorney. While the penalties and consequences of property theft charges are governed by statutory law, only a local criminal defense attorney can tell you how strong the case against you appears to be, and how cases like yours tend to be handled by prosecutors and judges in your courthouse. An experienced lawyer can also advise you as to possible alternatives to criminal punishment, such as paying back the money involved, along with court fees and other costs, or some other alternative that your judge might consider.
