Want to set up, edit & remove direct deposit for employees from the workday? You can easily set up, edit, and remove Direct deposits for employees from Workday, It is very easy and safe. Read the article and follow the steps to set up an employee direct deposit, and the same way steps to remove & edit are also mentioned. So, go through the article and get all your queries resolved. Still, having a problem contact our QuickBooks ProAdvisor toll-free: +1-844-405-0904
It saves you and your employees time and also saves money. By this, you can save an average money of $176 per employee per year and in addition, you don’t need to worry about monthly fees, you just need to pay $1.75 per paycheck.
For setting up a direct deposit, you have two options – you can complete a paper Direct Deposit Authorization form or you can enter your bank information online in Employee Self Service.
Also, you can edit Direct deposit information in the same way it is set up. Either submit a Direct Deposit form reflecting your changes or edit the information in Employee Self-Service.
If you decide to edit an ‘Other Bank’ in Employee Self-Service, please choose the ‘edit’ button located underneath the listed account.
Here we have explained how to set up, edit, and remove Direct Deposit service for your employees. Employees are required to use direct deposit (i.e., XYZ sends all pay (and reimbursable expenses) directly to the bank account. In Workday, direct deposit is referred to as a “payment election”. They set up an initial payment election when they proceed through the New Hire Onboarding process.
Table of Contents
Things to do before setting up employees for Direct Deposit
In QuickBooks, you can set up direct deposit for the checking, saving, pay card, and money market accounts.
- First of all, you need your employees to fill, sign, and date the direct deposit authorization account. There are different forms for QuickBooks Desktop Payroll, QuickBooks Online Payroll, and Intuit Online Payroll.
- In addition to this, you’ll need to ask your employee to provide a voided check with the bank account info (Not a deposit slip). And you also need an employee’s account and routing number as well.
- Also, the bank account should be a United States of America account that allows ACH transactions.
Benefits for Employees of Direct Deposit
There are many benefits of Direct Deposit some are mentioned below.
- There is no need to wait in a Queue in the bank or present physically in the bank.
- Employees don’t need to deposit a cheque in the bank so It also reduces paperwork.
- With the help of the QuickBooks Direct deposit option, you can ask to deduct your portion of the amount (paycheck) in your savings account and the rest amount deposited for the expenses for your debit card while setting up direct deposit.
- You can also contribute to cleaning the environment by going paperless while switching to direct deposit.
Benefits for Employers of Direct Deposit
If there is an advantage for employees then there are also many advantages for employers.
- It helps in saving money by avoiding the fees at the time of lost or stolen checks. It also reduces the cost of printing papers.
- It saves time by not mailing the paychecks, and executing and distributing paychecks.
- QuickBooks direct deposit also saves from fraud like forged signatures on paper checks or stolen checks.
- With the help of modern technology and ACH payments, you don’t need to worry about making payroll and clearing paychecks.
Set up, edit, and remove direct deposit for employees From Work-Day
Here we’ll discuss all the details about how to set up edit and remove direct deposit for employees.
How to set up direct deposit on the workday?
If you use QuickBooks accounting software then you have to use payroll for paying employees with direct deposit into their account but the the only condition is that the account is accepting the ACH transactions.
Here are the given steps you should follow for setting up direct deposit:
Set up your company payroll for direct deposit:
- Firstly collect your bank and business details with the principal officer’s information. So, you’ll need some information like Address, Business name, online bank credentials, your employees’ or contractors’ bank information, and the Principal officer’s Social Security number.
- Then connect your bank account with instant bank verification. Whether you are using QuickBooks Online or QuickBooks Desktop both need bank verification.
- Verify your bank account but in case you are not able to connect instantly then QuickBooks itself will do a test debit of less than 1$. You have to enter that amount for payroll transactions’ authorization.
Get a direct deposit authorization form
Now employees have to fill out the authorization form with their signature and date and also attach the voided check to their bank account. Then you have to select the payroll Quickbooks online payroll or the QuickBooks Desktop payroll. For this,
- QuickBooks Online Payroll:
- Firstly go to the Taxes and then click on Payroll tax.
- After that choose Fillings and then Employee Set up.
- Then next select Bank verification for Direct deposit authorization,
- Then click on View.
- QuickBooks Desktop payroll:
- Those using the desktop version of QuickBooks have to get the complete Direct deposit authorization form and voided check from the employees for your records only.
Add Direct Deposit to Your Employees
Now you are closer to creating the direct deposit for your employees. You need to select payroll again.
- QuickBooks Online Payroll
- Firstly go to the Payroll and then click on Employees.
- Choose your employee.
- Now go to the Payment method, you can Start or Edit
- Choose Direct Deposit from the Payment dropdown.
- Now you have the option to choose the Direct Deposit method:
- Direct deposit to one account
- Direct deposit to two accounts
- Direct deposit with balance as a check
- Then finally you need to enter the account number from the voided check of the employees and then click on Done.
- QuickBooks Desktop Payroll
- To open your employee list, you need to choose Employees and then Employee Center.
- Then you have to select the employee’s name and then click on the Payroll Info tab.
- Now you have to click on the Direct Deposit button.
- Then you can see Use Direct Deposit for [employee’s name] click on it.
- Decide whether to paycheck deposit into one or two accounts.
- Input the bank name, routing number, account number, and account type of the employees.
- If you decide to deposit to two accounts then enter how much (or what percentage) the employee wants to deposit to the first account in the Amount to Deposit section. The remaining funds will go into a second account.
- Now Select OK to save the data.
- When prompted, enter your PIN for direct deposit.
Disable direct deposit temporarily (on a paycheck only):
- First of all, locate and open the paycheck.
- Click Paycheck Detail.
- Clear the Use Direct Deposit checkbox and click the OK button to Update the employee bank account:
- In the Payroll menu, select Employees.
- Press on the employee to open their details.
- Click the Payment Method tab.
- Clicking on the Direct Deposit.
- Change or remove the employee’s bank account information.
- Finally, click Save.
Remove direct deposit from an Employee Profile:
To delete an account, you must first remove it from any Payment Elections in the lower portion of your screen display. The negative sign (-) on the same line as the account you want to delete, then Press the OK button. In this example, the employee is deleting the vacation account.
- Choose Employees > Employee Center.
- Whose profile do you want to edit, just double-click on the employee name.
- Click the Payroll Info tab.
- Click the Direct Deposit button. Clear the box Use direct deposit for this employee.
The Bottom Line
Above, we have discussed everything you need to know about setting up a direct deposit for the employees. You can take QuickBooks Desktop payroll support if you have any questions related to this topic. Ask our expert just by dialing the number [QuickBooks].