The Many Benefits of Direct Deposit During the COVID-19 Pandemic
April 28, 2020
The current COVID-19 crisis leaves many people across the country in a collective state of uncertainty. As an employer, you try your best to get your employees through this challenging time by offering work from home options and putting safety measures into place. Another small thing you can do is offer direct deposit to your employees, which safely and quickly delivers their paychecks.
Why Direct Deposit?
Direct deposit is an easy, secure payment method that allows you to electronically deposit your employees’ earned wages into their bank accounts. Distributing physical paychecks is challenging given the current times, as workers are likely not coming into the office or regularly able to head to the bank due to health and safety concerns. Mailing checks is also unfavorable, as it takes longer and poses security threats.
With so many obstacles, the current pandemic is the optimal time to consider setting up direct deposit for your business. When it comes to direct deposit, your employees can benefit from:
- Convenience – Direct deposit eliminates trips to the bank, which will still be appreciated even after the pandemic ends. If an employee works from home, takes a vacation or is out sick on payday, they can still receive their wages without coming into the office.
- Financial Control – Employees can direct their funds into separate accounts, empowering them to save up for their next financial goal or start an emergency fund.
- Easy Enrollment – Employees simply need to fill out a form with their banking information and send it to your payroll manager.
While direct deposit is a relief for your employees, it also offers benefits to you as an employer, including:
- Efficiency – You and/or payroll managers no longer need to spend hours writing, signing and mailing out checks. Direct deposit is automated so your employees can be paid on time without lifting a finger.
- Cost-Effective – The need for paying for postage is eliminated, as direct deposit electronically disburses payments on your behalf.
- Security – Direct deposit reduces the risk of lost or stolen checks, as well as forged signatures.
As the country continues to fight the COVID-19 pandemic, employers should take advantage of the benefits that direct deposit has to offer. If you would like to learn more about setting up direct deposit for your business, contact DM Payroll Solutions today.