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2012 State Direct Deposit/Paycard Laws

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in Office Management,Payroll Management

State laws usually require that employee participation in direct deposit or paycard programs must be voluntary. States may also allow paycard vendors to charge employees fees, beginning with the second transaction. This chart summarizes the states’ direct deposit/paycard rules. “Mandatory” means that a state allows you to make e-payment a condition of employment, if you choose. States that don’t have laws aren’t included. In all cases, contact your state labor department for the full story.


Direct Deposit: Voluntary

Paycards: No law


Direct Deposit: Voluntary; employees get 1 free withdrawal

Paycards: May be mandatory; alternative to direct deposit; employees get free access to full pay; disclosure required



Direct Deposit: Voluntary; employees opt out in writing

Paycards: No law


Direct Deposit: Voluntary; employees pick in-state bank

Paycards: Voluntary; employees get 1 fre...(register to read more)

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Carrie Sullivan June 27, 2012 at 10:13 am



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