Paying the Employee. Payroll Source Review Course Fall 2013. Presented by: Carmela Miller, CPP firstname.lastname@example.org. Chapter 5 ------ Objectives. Pay Frequency Payment on Termination Payment Methods Cash or Check Direct Deposit Electronic Paycards Branded vs. Non-Branded.
Review Course Fall 2013
Carmela Miller, CPP
Content of Chapter 5 is a great resource for State Regulations on Employee Payment. Always check for Updates on States
Payroll Frequency & Payment on Termination
See Chart on page 5-10 Table 5.3
Be mindful of the impact that a voided or manual check issuance causes to other departments process
GL, Taxes, Benefits
Late Direct Deposits:
Additional resources can be found in communications with the ODFI for internal challenges.
Regardless of delay – funds should be honored without penalty to employee. Based on voucher verification.
Employers must keep the authorization agreement for at least
2 yrs after revocation,
Regardless these requirements are mandatory
Escheatment is the unclaimed wages process governed by State Laws
Best practice is to utilize direct deposit and paycards as wage payment methods.
Payments, Payee and Taxation are based on when the employee passes.
Illinois: Maximum Payable: All unpaid wages
To Whom: Person owed for funeral
expenses, spouse or child.
Allowed Conditions to Pay: Small estate affidavit: estate not over $15,000
Each year we have extra pay days caused by the calendar.
2012, 2013, 2014,2015, 2016
Best practice is to maintain pay structure and schedule without deviation…Keep good relations with employees.
Verify contracts if applicable.
3. What is a branded pay card?
True or False
2. How many years must an employee keep the authorization agreement for direct deposit after revocation by the employee?
3. What are “escheat” laws?
4. Once an employee has given authorization for EFT and the employer creates electronic pay transactions for deposit, where does the employer send them?
6. Which of the following laws and regulations does not regulate EFT?
7. Which of the following agencies made it necessary for NACHA to adopt rules creating special requirements for International ACH Transactions?
9. Which of the following is not an employee benefit of using paycards to pay employee wages?
Read the chapter, do the quizzes, know the difference between ACH, ODFI, RDFI, NACHA and IAT
Read Questions twice, know what they are asking!