Direct Deposit Set Up and Best Practices

Direct Deposit Setup & Best Practices

Purpose: Accuracy

To increase efficiency in paying employees on a weekly basis, as well as increase the ability to efficiently manage cash flow at the restaurant level in regards to employee checks clearing the bank

Clarity: What is Direct Deposit?

Direct Deposit is a way to automatically pull the funds from the Client's bank account and deposit the funds into the Employee's bank account on the check date. This increases the efficiency of pay for the employee and reduces the paper and shipping costs incurred with live checks.

Client Setup

• In employee profiles, client must check the Direct Deposit box and enter bank and routing information into profile
  • Back Office does not retain the blank check and signed document acknowledging Direct Deposit, however, clients should collect this and retain it for their records
• Prior to first payroll run with Direct Deposit, client needs to verify that Direct Deposit information is verified in each profile
• Client must sign the attached form and return to Back Office via support request acknowledging Direct Deposit guidelines
• Payroll will be run as per normal. The amount that will be withdrawn for Direct Deposit will appear on the left-hand side on the payroll verification page to be viewed prior to submit
• Direct Deposit funds will leave the client's bank account the business day prior to the scheduled check date

Client Verification

• Client must submit payroll by 2pm MT at least 3 business days prior to the check date or Direct Deposit will not be honored
  • Example: Monday-Sunday client with a Friday check date would need to be submitted to Back Office by 2pm Mountain Time (MT) on Tuesday.
• Direct Deposit is provided for employees enrolled in Direct Deposit only. If an employee does not elect Direct Deposit, they will receive a live check
• Net pays will all be provided as live checks, Direct Deposit will not be provided for these checks
• In the case that the bank information for the employee is not correct, the bank will notify Back Office within 3-5 business days.
  • A support request will post if the situation occurs informing the client that the Direct Deposit was returned and include which employee was impacted and amount to cut the live check for
  • Client will write a live check to replace the Direct Deposit and notify Back Office of the check number used in order to record for payroll history purpose
  • Direct Deposit will be turned off for that employee. If they choose to re-elect for Direct Deposit, client needs to enter in corrected bank information into the employee profile and save prior to running payroll

Back Office Direct Deposit Authorization Form