What You Need Before You Enrol
- A bank account with a financial institution outside Canada
- Your personal identifier used by the department that issue your payments and/or benefits
- your personal identifier used by Veterans Affairs Canada is your file number
- your personal identifier used by Service Canada is your nine-digit social insurance number, except for Canadian government annuities, where your personal identifier is your contract number
- your personal identifier used by Federal Government Pensions is your pension number
Enter Your Account Details And Check Them Twice
Back in school when you had extra time at the end of a math quiz or test, it was probably a good idea to go back and check your work to make sure you didnt make any careless mistakes . That is an essential step when it comes to direct deposit forms. If you make a mistake, you might not receive your paycheck .
Double-check the routing number and account number twice to be safe. If youre confident everything is correct, submit your form. As long as you do your job, you should get paid automatically by direct deposit every payday.
Online financial app offers a unique direct deposit feature that could be enough of a reason for some people to switch banks. With Chime, you could get your direct deposit up to two days early depending on how your company enters its direct deposit information with the paying bank.
Chimes checking account has no monthly fees, minimum balance requirements, overdraft fees, or foreign transaction fees. It has 38,000 fee-free ATMs and takes about two minutes to sign up.
Chime Disclosure – Chime is a financial technology company, not a bank. Banking services provided by, and debit card issued by, The Bancorp Bank or Stride Bank, N.A. Members FDIC.
Find Your Payroll Direct Deposit Form
To set up direct deposit, it is important to first make sure that you have a bank account. Online financial apps like can be set up quickly and without much effort. If you happen to open a Chime account, you may even be able to get your direct deposit two days early!
The next step in setting up your direct deposit is finding the place to enter your direct deposit details. In the many jobs Ive had over the years, Ive seen both paper and digital direct deposit forms. Larger companies tend to give you the ability to manage your direct deposit account yourself through the companys HR website. Smaller ones might use paper forms.
In either case, you have to find that form. If you are not sure where to look, ask your manager, a veteran coworker on your team, or someone from human resources. They will be able to help you locate the form and get one step closer to getting paid!
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Finding Your Account Number And Routing Number On Your Banks Website
Some online-only checking accounts dont have paper checkbooks anymore. If you dont have a checkbook or dont have it handy, you can still find your routing and account number on most bank websites. If not, call your banks customer service line during your lunch break to get your account details for direct deposit.
Generally, you can find routing and account details through the account details or customer service page on your banks website. Keep in mind that some large banks could have multiple routing numbers, so you will want to look carefully to make sure that you get the right one. Its important that you get it right or someone else could get your paycheck!
Enter Information Into Your System
After gathering employee direct deposit information, enter their information into your system. Depending on the system you use, you may need to enter each employees information manually. In some cases, you may be able to upload information using a spreadsheet. Check with your provider to see what options are available.
If you use payroll software that connects to an ESS portal, you likely dont have to worry about this step. The information should automatically transfer over employee information into your payroll account. And voila! Youre ready to run your first payroll with direct deposit.
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The Benefits Of Direct Deposit
Direct deposit of your paycheck is the fastest, safest, and most convenient way to get your hard-earned wages into your checking or savings account. In addition to the speed, security, and convenience it offers, did you know there are even more reasons to choose direct deposit?
Direct deposit can be used for your payroll checks, Social Security payments and other government benefit checks, and best of all, most employers make signing up for direct deposit of your payroll check easy. Speak with your employer’s payroll or human resources department for more details. Usually with your financial institution account number and the institutions ABA routing number, you can sign up in just a few minutes. For Social Security or other government payments, call or visit their website to get the forms needed to enroll.
How To Make A Direct Deposit
Banks make it easy for you to pay bills with direct deposit, whether you are acting as an individual or running a business. Direct deposit is helpful because it is secure, saves time and usually saves you money in check charges. Its good for the people you pay as well. Creditors and employees have their money put straight into their bank accounts without the hassle of going to the bank to cash paper checks.
Talk to your banker to determine your needs. For example, if you plan to use direct deposit to pay employees, you probably need a dedicated payroll account with online resources designed for paying many people on a regular basis. If you are doing payroll and other accounting functions yourself instead of outsourcing them to a data processing service, your bank might also offer special reports and statements designed for small businesses.
Ask the person or business you want to pay by direct deposit for the necessary information. You need the recipients name and address as it appears on the account to which you are sending money. You also need the name of the bank, the bank routing number and the bank account number. The routing number identifies the bank, while the account number is a unique identifier of your recipients account.
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Direct Deposit Of Social Security Benefits
Social Security benefits are paid out by the Social Security Administration for retirement income or for individuals who suffer a disability and are eligible for Social Security disability insurance. Youâre required to receive your Social Security benefits through either direct deposit or as a prepaid debit card.
You can sign up for direct deposit of your Social Security benefits on GoDirect.gov. Youâll need to provide your bank account information, your Social Security number , the 12-digit federal benefit check number, and the benefit amount from your most recent payment.
Collect Required Government Forms From Employee
The employer will need to collect the necessary government required forms to ensure the individual is allowed to work in the United States. These include:
The employee will be required to complete and return the Direct Deposit Authorization Form for the employer to add the information to their payroll and begin depositing their pay into their account.
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Who Offers Direct Deposit
Many people associate direct deposit with payroll. After all, switching over to an all-electronic system saves employers both money and time, so that is where most people first see direct deposit offerings. However, you can sign up for direct deposit payments from more than just your employer.
In particular, the U.S. government prefers to pay citizens via direct deposit rather than paper checks. Since 2013, all Social Security benefits have been paid via direct deposit or a prepaid debit card. Similarly, you can choose to have your tax refund electronically deposited into your bank account rather than wait for a paper check, which can take up to six weeks to arrive.
In addition, many private companies, independent vendors, utilities, leasing agents, charities and other organizations offer direct deposit both as payers and payees. It is entirely possible that you can eliminate nearly all paper checks from your financial life by using direct deposit.
How Long Does It Take To Get Unemployment Via Direct Deposit
States can provide unemployment benefits via direct deposit or via a state-issued prepaid debit card. Some states still offer paper checks for unemployment benefits. States cannot require you to take your unemployment benefits via a state-issued prepaid debit card.
Of the payment options available, direct deposit will generally be the quickest method of receiving unemployment benefits. The specific amount of time it will take to receive your money via direct deposit will vary from state to state, however.
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How To Set Up Direct Deposit
Setting up Direct Deposit is easy. You’ll need to fill out and submit a direct deposit authorization form to your employer . This form will request four pieces of information that are needed to properly route your payments:
- Your account type – typically checking or savings
- Your account number
- Your bank’s routing number
You might be asked to provide a voided check to verify your account and routing numbers . If you don’t have paper checks, you can also get a document from your bank that confirms your account number and the bank’s routing number.
For more information on direct deposit, visit
I Was Asked To Provide A Void Cheque In Support Of A Direct Deposit Request Why
A payor might also ask you for a void cheque. They do this to verify the accuracy of the information you provide to them. It’s safe to give your payor a blank cheque for this purpose. But to protect against fraud, be sure you write “VOID” across the front of the cheque in ink, and don’t sign it.If you don’t have a cheque or if you need help, contact your financial institution. Let them know you’re signing up for direct deposit and they’ll give you the information you need. Alternatively, many online banking services provide account holders with direct deposit information that you can provide to the payor, including a form you can download and use in place of a void cheque.
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Splitting Your Direct Deposit
If you want to split your paycheck between multiple accounts, add each account to the direct deposit form and specify how much of your pay should go into each. Most forms ask what percentage of your pay goes into each, instead of just a dollar value. You may need to fill out a new form for each account.
Direct Deposit Of Your Tax Refund
You can receive your tax refund as a direct deposit by choosing that option on your tax return. Once the IRS verifies your return, any refund will be automatically deposited into your account.
Form 1040 contains a section near the end where you can input your account and routing numbers . You can use Form 8888, Allocation of Refund, to split your refund across multiple deposits. Tax refunds may take a few weeks to reach your account.
You can also pay your taxes using direct deposit. Just visit the IRS website to make a direct electronic funds transfer.
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What You Need Before You Sign Up
To sign up for direct deposit, you will need to gather the following personal information:
- the name of your bank or financial institution
- the branch/transit number and
- your account number
Your banking information can be found at the bottom of any cheque for the account in which you would like to have your payment deposited.
If you do not have a chequing account you can ask your financial institution for this information.
New Sign Up Through Financial Institutions
The CRA may contact you by phone to confirm information. If you have questions about a call you receive, you may read more about how to recognize scams.
You can now sign up for direct deposit for certain business accounts or change your account information through your financial institution. To be eligible to enroll for CRA direct deposit for businesses, your business must have a valid 15 digit business number and one of the following CRA program accounts:
- RT Goods and Services Tax/Harmonized Sales Tax
- RP Payroll
- RC Corporate Income Tax
- ZA – Canada Emergency Rent Subsidy
* Note: You will need to sign up your Canada Emergency Rent Subsidy account to receive the CERS by direct deposit.
For more information about direct deposit for trusts, call 1-800-959-8281.
You can start direct deposit or change your banking information related to direct deposit if the following conditions apply:
- you are a Canadian payer or agent
- your non-resident tax account has three alpha characters starting with NR followed by six digits
- your Canadian bank account is registered in Canada
- the name on your Canadian bank account matches the name on your non-resident tax account
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Direct Deposits Quickly Complete Transactions
Those getting paid via direct deposit often receive their payment before those getting paid via paper check. The direct deposit may arrive in one payee’s account before another payee receives a paper check in the mail. Even if they do arrive at the same time, the paper check payee will have to take the extra step of depositing the check and waiting for those funds to clear.
Confirm The Deposit Amount And Where It Will Be Sent
Decide whether youd prefer to deposit the entire paycheck amount or spread the amount across multiple accounts. Commonly, direct deposit recipients prefer the entirety of their payments goes into their checking account, however you can choose to split the funds into separate accounts. Some opt to put 20-30% of their paychecks into a savings account to contribute to their emergency or vacation fund. Some banks will even allow recipients to direct deposit into more than two accounts. However, budgeting can help you make decisions on how much to save, spend and invest.
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What Is Direct Deposit
Direct deposit is an electronic payment from one bank account to another. For example, money may move from an employers bank account to an employees bank account, although there are several other ways to use direct deposit. To complete transfers, banks use the Automated Clearing House network, which coordinates these payments among financial institutions.
Alternatives To Direct Deposit
Direct deposit is one of the easiest and most secure ways to get paid. However, you canât use direct deposit if you donât have a bank account. Instead, you may have to receive payment in one of these ways:
A prepaid debit card, which could have fees to use
Cash, although this is a rare option from employers
Consider opening a free checking or savings account at a bank or credit union so you can start getting paid through direct deposit. Other types of savings accounts, like a money market account, may offer a higher-than-average rate of return in exchange for a higher minimum balance.
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How Do You Void A Check For Direct Deposit
A voided check is a common requirement for setting up direct deposit. To void a check, you will take an unused check for the account into which you would like your money to be deposited. With a pen, you will write the word VOID across the front of the check in large letters. This will prevent anyone from filling out the check and attempting to cash it. You will then attach the voided check to your direct deposit form and turn it into the payroll department.
How Direct Deposits Work
Direct deposit allows someone to electronically send money from their bank account right into someone elseâs. This happens through a type of electronic funds transfer called an ACH transfer.
An ACH transfer is simply a digital way for banks and individuals to exchange money. ACH transfers eliminate the need to send physical checks or cash. They can also happen almost instantaneously because theyâre digital and you donât need to worry about things like proving that a check is legitimate.
Nowadays, most bank-to-bank transfers happen through the ACH. If you have recurring bill payments that withdraw money directly from your account, thatâs an ACH transfer. Mobile payment services like PayPal, Venmo, and Apple Pay also work through ACH transfers.
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Adding/updating Employee Banking Information
Are you paying your employees for the first time and need to add their banking information into Telpay? Follow the step-by-step instructions below or .
Please note: you cannot add banking information ahead of time. You must add this information at the time of the payroll processing .
1. Under Importing or Creating, select Payroll Files
3. For those employees who have not been paid by Telpay, they will be listed at the bottom of the list under Not paid by Telpay. Click on the boxes to the right of the employee to enter their banking information.
4. Once the banking information is keyed in, press the tab key until the employee shows in the list with everyone else being paid.
If you are changing an existing employees banking information, simply click on the boxes with existing banking information, you can now delete and key in the new numbers.