Paper Checks Vs Direct Deposit

It is important to determine the method of payment right at the very beginning of any employment, for the employer as well as the employee. While most employers in the United States of America offer their employees the option of choosing between paper checks or direct payment, there are some who do not. Some employers prefer to make direct payments to the bank accounts of their employees as it often provides them with several facilities from the banks.

Employees Have The Right To Choose

Employees must remember that they have the right to choose their preferred mode of payment, depending on the state they belong. Now, there are several upsides and downsides to each of these two methods of payments. It is important for employees to know the differences between the two as well as their pros and cons so that they are able to make a calculated choice between paper checks and direct payments.

Advantages And Disadvantages of Paper Checks

Some of the advantages of opting for the first mode of payment include:

• It allows employees the option to avoid divulging their private bank details to the employers.
• Employees have complete control over the money once the paper checks have been handed over to them.
• Employees can have access to their salaries even without owning a bank account.
• Employees do not have to worry about the various bank charges and fees.
• Employees can conceal the salary amounts from their spouses or partners.

Some of the disadvantages of opting for this mode of payment include:

• Paper checks can be lost, damaged or even stolen.
• Employers reserve the right to charge extra for replacing a misplaced check.
• Since they can only be handed over to the employee, people on holidays or leaves cannot collect their salaries unless they attend office.
• Employees have to depend on bank-working days to have access to their money, which could often result in wasting plenty of valuable time.

Advantages And Disadvantages of Direct Payments

Some of the advantages of opting for direct payments include:

• Unlike paper checks, they are not susceptible to theft, damage or loss.
• Employees can access their payments without visiting the office or the banks, saving plenty of time.
• Payments can be received even on weekends or official holidays and vacations.
• Employees have the option of splitting their payments into different bank accounts if necessary.
• Employees can receive their payments even if the employers run out on their payroll checks stock.

Some of the disadvantages of opting for direct payments include:

• Employers have to be served with private banking details of employees if they wish to avail of their payments.
• Employees must own a bank account to receive payments.
• Employees have to pay the associated bank fees and charges out of their own pockets.

Employers can often force their employees into accepting direct payments depending on the laws of the state. However, employees do have the option of enforcing their employers to serve paper checks if they do not wish to opt for the alternative. Given the many benefits and advantages that they have over direct payments, employees have plenty to gain by choosing a check with a check sealer to ensure complete privacy and safety of their periodic payments. For the best paper checks, contact Stock Checks at 1-888-391-7898.