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Payroll Direct Deposit Laws, by Lorman

Payroll Direct Deposit Laws is brought to you by Lorman

Understand the various law requirements that must be followed in order to validly pay employees via direct deposit or debit card.

How employees are paid, whether by direct deposit, check, debit card, or otherwise, is inherently an issue of state law. In some states, to properly pay an employee via direct deposit or debit card, employers must follow very particular, prescribed rules about which they may not be aware. Employers who fail to follow the required rules may be exposing themselves unnecessarily to significant penalties and damages even if they properly and timely pay their employees. This course will help employers understand the various state law requirements that must be followed to validly pay employees via direct deposit or debit card, thereby minimizing the risk of penalties and fines for noncompliance. It will also explain why employers cannot rely solely on their payroll companies and instead must ensure that proper procedures are followed before they pay employees via direct deposit or debit card.

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