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Payroll - Direct Deposit

I. POLICY STATEMENT

It is in the best interest of Georgia Highlands College to implement Direct Deposit for both financial and administrative reasons. Direct deposit provides a number of benefits such as no lost payroll checks, reduced potential for theft or forgery, and funds deposited in an employees' accounts on payday. Electronic direct deposit assures that an employee's paycheck is in their checking or savings account on payday even if they are sick or on vacation.

All new regular employees hired on or after January 1, 2005 are strongly encouraged to use direct deposit for their payroll unless otherwise exempted under this policy.  Unless otherwise denied this business transaction by Georgia Highlands College, all students/temporary/part-time/casual labor employees are allowed to participate in Direct Deposit and should be advised of this pay option.    All current employees not participating will be encouraged to use Direct Deposit.

II. Procedure

Employees shall:

a.      Obtain an Authorization Agreement for Automatic Deposits form from the Payroll or Human Resources department.

b.      Attach a voided check to the form (no deposit slips). The check will be used to obtain the account number and bank routing/transit number.

c.      Return the completed form to the Payroll department. To ensure accuracy, the system will execute a pre-note on the first salary payment to verify correct account numbers. The second payment will be by direct deposit. 

d.      All employees will receive a non-negotiable pay advice each pay period. The pay advice will show gross pay, deductions, and net pay.


III. Making Changes to Direct Deposit

a.      To direct the deposit to a different financial institution and terminate the old institution, an employee should provide the new information to the Payroll or Human Resources department ten (10) days prior to the pay date on which the change will be effective.

b.      To change accounts within the same financial institution, an employee should provide the new information to the Payroll department at least ten (10) days prior to the scheduled pay date.

c.      The direct deposit will continue to be sent to the designated account(s) until the employee provides other instructions to the Payroll department. If the deposit is rejected, the participating financial institution will notify the college’s Payroll department. The employee will not lose his/her pay; however, the rejection will result in a delay in receiving pay.

IV.  Possible Exemptions

There are certain circumstances for which salary payment by check rather than direct deposit is necessary or suitable. The following circumstances constitute an exemption to the direct deposit rule.  For all employees, requests for exemptions not listed in this policy must be in writing and approved by the department supervisor and Vice President of Finance and Administration:   

1. The first payment for an employee shall be by check.

2. An employee's last payment may be by check to facilitate the checkout process and insure that Georgia Highlands College’s property is returned prior to departure. The preferred method will still be by direct deposit.

3. An employee hired for less than ninety- (90) days may be paid by check. If employment is extended, direct deposit is available unless a personal exemption is granted.

4. Regular employees hired or rehired on or before December 31, 2004.


GEORGIAHIGHLANDS COLLEGE

AUTHORIZATION AGREEMENT FOR DIRECT DEPOSIT



NAME:                                                                 

DEPARTMENT:     

CAMPUS LOCATION:                        


EMPLOYEE INFORMATION: STUDENT  STAFF FACULTY


OPTION 1 ADD  CHANGE  CANCEL


ACCOUNT TYPE: CHECKING  SAVINGS

FINANCIAL INSTITUTION NAME:      

ACCOUNT NUMBER:      

AMOUNT TO DEPOSIT PER PAY PERIOD:      


OPTION 2  ADD  CHANGE  CANCEL


ACCOUNT TYPE: CHECKING  SAVINGS

FINANCIAL INSTITUTION NAME:      

ACCOUNT NUMBER:      

AMOUNT TO DEPOSIT PER PAY PERIOD:      


OPTION 3 ADD CHANGE  CANCEL


ACCOUNT TYPE: CHECKING SAVINGS

FINANCIAL INSTITUTION NAME:      

ACCOUNT NUMBER:      

AMOUNT TO DEPOSIT PER PAY PERIOD:      


I authorize Georgia Highlands College to credit my account using Direct Deposit for my net pay each pay period and make the necessary debit or credit adjustments in case of error.  I have attached a voided or cancelled check with my name and financial institution.  According to policy, I will notify Georgia Highlands College in sufficient time to modify the payment instructions should I change banks, account numbers or leave the institution.


Printed Name: ____________________________________________________


Signature: ________________________________________________________


Date: _________________________________________


Please attach voided check here:


Page last updated: March 10, 2010