Policy Number: 3-25
Policy Name: Direct Deposit of Pay
Date: August 1999
Revisions: November 2000; February 7, 2006
To outline the policies and procedures for direct deposit of payroll payments.
All regular employees hired or rehired on or after July 1, 1997, and all temporary employees, regardless of date of hire, are required to be paid by direct deposit. Regular employees include faculty, professional, salaried and hourly staff. Temporary employees include undergraduate and graduate students, miscellaneous wage employees, supplemental faculty and professionals, post doctoral fellows, and other casual wage employees.
All new regular employees hired on or after July 1, 1997, and all temporary employees as described above should be advised of the direct deposit of pay requirement.
Direct Deposit Financial Institution
Each new or rehired employee, at the time of employment or return to the payroll, shall designate up to two financial institutions and associated checking or savings account for the direct deposit of pay by completing a Direct Deposit Form, available on the Payroll and Systems Administration web site or in the office. The designated financial institution must be a member of the National Associated Clearing House (NACHA). Over 95% of all U.S. financial institutions are members of NACHA and able to receive direct deposit transactions. New employee direct deposit forms are to be sent to the Payroll and Systems Administration Office with other new hire paperwork.
The Direct Deposit Form may also be used by current employees to notify the Payroll and Systems Administration Office of a change of bank or account number.
Information on Direct Deposit
Direct deposit payments are available in employees' designated accounts at the financial institution's opening of business the morning of payday, ready for check writing or withdrawal through an automated teller machine.
An electronic direct deposit advice is available to employees on payday via university web views that details pay information and indicates the bank and account to which the net pay has been deposited.
Submitted by: Payroll and Systems Administration