Are You Using Direct Deposit for Payroll?

Why You Should…direct-deposit-art

There is more expense involved with paying your employees than just the cost of their salary. According to paychex.com the cost of cutting paper checks each week ranges from $2.87 to $3.15 per check. This can add up for companies who employee hundreds of people. In addition, there is the time required to physically print the checks, stuff them in envelopes and distribute them to your employees. Lost or stolen checks are a common source of identity theft as well, so that threat would be minimized by switching to electronic direct deposit.

How does it work?
An employee simply needs to provide a void deposit slip with their banking account information. The employer then inputs that information into a file to have their pay electronically transferred from the business’s account to the employee’s bank account. This can easily be done by creating a template within Citizens National Bank’s Online for Business software.

Will my employees like it?
Your employees will appreciate the time they will save by not having to run to the bank each week to cash their check. Also, they can determine if they would like the amount split between accounts so they can easily set up an automatic savings plan. If the employee is on vacation, he will still have access to his funds which he can access via ATM or through online banking.

What if my employee does not have a bank account?
Even if your employee does not have a traditional bank account, he can still take advantage of direct deposit through prepaid reloadable cards. Citizens National Bank offers these convenient Visa®-branded cards as an alternative to a checking account. Payroll can be direct deposited right to the card and the employee can use it at an ATM to access cash* or at any vendor that accepts Visa® cards.

To learn more about setting up Direct Deposit or offering prepaid cards, contact Amy Yochum, Treasury Management, at amye@cnbohio.com or by phone at 800-262-4663.

*Fees may apply.

– See more at: http://www.cnbohio.com/AboutUs/CNBNews/ExecutiveNewsletter/2015/summer/are-you-using-direct-deposit-for-payroll.aspx#sthash.IxDznqkC.dpuf

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