Human Resources & Payroll Blog

Can Direct Deposit Be Mandated For Payroll?

Sep 25, 2012 2:00:00 PM / by John Duval

The laws in the following states expressly permit, or can be interpreted as permitting, employers to eliminate paper checks by giving employees the choice of receiving wages by direct deposit or on a payroll card:

Alabama 
Colorado 
Delaware 
Indiana 
Kansas 
Kentucky 
Louisiana 
Massachusetts 
Maine 
Missouri 
Mississippi 
Nebraska 
North Carolina 
Ohio 
Oklahoma 
South Carolina 
South Dakota 
Tennessee 
Texas 
Utah 
Washington 
Wisconsin 

In addition, the laws in the following states expressly permit, or can be interpreted as permitting, employers to eliminate paper checks for some, but not all employees:

Florida – For new hires hired after on or after July 1, 2009 
Iowa – For employees hired on or after July 1, 2005. 
Virginia – For employees hired after January 1, 2010. 

 Disclaimer: The materials available here are for informational purposes only and should not be relied on as legal advice.  Labor and employment law is a dynamic field.  Accordingly you should contact your attorney to obtain advice with respect to any particular topic or issue.

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