Direct deposit authorization

Identify who selected the account

An employer offering its own payroll card must give employees a lawful alternative to that particular account. The card issuer’s agreement and applicable fee disclosures are separate from a wage deposit instruction. Read and retain the documents for the actual card. An employee who independently selected a prepaid account should first confirm it accepts wage deposits.

Federal rules permit an employer to require electronic deposit if the employee can choose the institution. State wage-payment rules can impose additional conditions. Use the state where the work is performed. If the work spans states or the governing location is uncertain, record the issue in the worksheet and verify the applicable wage rules before authorizing a deposit.

Federal rules on electronic deposit and choice of institution · Federal prepaid-account disclosures

Download a worked example

The standard bank-account example shows a payroll deposit to a checking account. For a prepaid account, choose the payroll-card option in the builder to see examples for the selected work state.

Standard checking example (PDF) · Standard checking example (Word)

Washington wage payments

For private employment, check whether the worker can receive full wages on payday without a fee and can choose the receiving financial institution. If an employer offers a payroll card that charges fees, identify the available cost-free alternative. Keep the existing payment method separate from any new account instruction.

For Washington state payroll, identify the person’s appointment date, applicable contractual rights and any qualifying exception approved by the Office of Financial Management. Different rules can apply to higher education, the University of Washington, local employers and conservation districts. Check each work state where the employee works in multiple places.

Washington L&I wage guidance · State salary statute · Public payroll programs

Private wage deposit example (PDF) · Higher education with unresolved exception (Word)

Oregon wage methods and withdrawal notices

Oregon distinguishes asking for a check instead of an ordinary bank deposit from withdrawing from a payroll-card agreement. The recorded work, agreement and employer determine which options the builder presents.

Seasonal farmworker card notice (PDF) · Oregon statewide payroll worksheet (Word)

Choose a receiving bank for wages

Identify where the employee works, whether the employer requires bank deposit, and who chose the receiving institution. The form distinguishes employer payment policy from the employee’s bank choice. A completed election can allocate wages between two verified accounts. Unresolved bank choices and notices produce an unsigned worksheet.

Prepare a wage election · Prepare instructions for payroll using bank details

Withdraw consent or change your wage account

You can withdraw one prior wage deposit instruction or all of them. Identify whether payroll has already transmitted the affected payment. You may request a separate replacement later. For a benefit or vendor payment, follow the payer’s change process.

Prepare a withdrawal notice · Change a wage account

Example Arizona withdrawal before transmission (PDF) · Example New York change notice (Word)

Pay a vendor invoice by bank credit

The vendor option checks the purpose and ownership of the receiving account, who can sign, and whether a foreign financial agency is involved. A verified domestic instruction authorizes a credit. Unresolved payments produce an unsigned planning worksheet. Request tax documentation separately using a secure channel.

Illustrative personal-account credit (PDF) · International payment worksheet (Word)

Change a government benefit payment

Use the paying agency’s process for Social Security, federal retirement, VA payments or a state benefit. The government benefit option produces an instruction guide, collects no banking numbers and cannot enroll a beneficiary or redirect payments.

If you already receive direct deposit, use the agency’s change service. For an eligible domestic paper-check conversion, the guide links to Treasury’s official form. When an award is issued by a state, identify the state paying the claim, even if you have moved.

Illustrative Social Security paper-check guide (PDF) · Illustrative guide (Word)

Before sending an election to payroll

Check routing and account details separately with the employee’s institution. Share account details only through the employer’s approved secure channel. Submit the signed election to the payroll contact. Follow the existing payment arrangement until the new election takes effect.