HRM-007: Direct Deposit of Payroll PaymentsDate: 12/05/2007 Status: Final
Direct deposit benefits both the employee and the University. Benefits to the employee include:
- No lost or stolen checks;
- No unclaimed or un-cashed checks;
- Elimination of long payroll and banking lines and wasted time cashing checks; and
- Assurance that payments will be automatically deposited while on vacation, sick leave or out of town.
Benefits to the University include:
- Reduced processing time and requirements for check reconciliation;
- Elimination of forged, stolen or lost checks;
- Reduced operating costs;
- Improved productivity; and
- Enhanced cash management by increasing predictability of cash flows.
A system for electronically placing an employee's earnings in a checking or savings account at the Federal Reserve affiliated bank or financial institution of the employee's choice; also known as Electronic Funds Transfer (EFT).
All University employees, regardless of hire date, salaried or wage status, or pay frequency, shall participate in the University’s direct deposit system for payroll disbursement. This includes student employees, UVA temps, and part time employees.