Paying Wages Into Debit Cards

The California DLSE (Department of Labor Standards Enforcement) has approved the payment of wages into a debit card or money check.

This should be a convenience for employees who previously have not had access to direct deposit of their wages. And in any case, it’s definitely easier for employers not to have to cut a check (or sign all of them, either).

If you use a payroll company such as ADP or Paychex, contact your representative to get this started.

If you run payroll in-house, we strongly suggest you contact your HR Consultant or employment attorney before you enact this new system.

As usual, California is ahead of the rest of the nation in issues like this – if you’d like to implement this program – call your payroll provider or employment attorney to make sure your state accepts this form of payment.

Courtesy Barker Olmsted & Barnier.

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