Time Limit to mailing payroll checks when EE won't do DD?

We have an issue where employees at several of our remote office locations will not sign up for direct deposit and are in states where it is not mandatory. If we have to cut a payroll check to them and mail it, is there a specific time frame in which the employee has to receive it? For example, we have been overnighting the checks so they arrive on the designated payday, however, this is getting expensive. Can we send the checks out on the day they are cut, by regular U.S. Mail, even though the employee may not receive his check until the following Monday in the regular mail(our paydays fall every other Friday)?

Any insight on this would be helpful. Our home office is located in MO.

Comments

  • 6 Comments sorted by Votes Date Added
  • Can you mail those checks on the last day of the pay period?

    For example, if a two week pay period ends on Friday March 7th, you can mail the checks that same day by regular mail with a pay date of March 14th.
    Most times the check should arrive by the 14th.

    Chari



  • Thanks for the quick reply, Chari. Usually, employee hours do not have to be turned in until the previous Saturday. Payroll calculations are then done on Tuesday or Wednesday and submitted to the paycheck company that we use. We then have hard copies of the checks by late Wednesday afternoon. So, the earliest anything could be sent by regular mail would be Wed. afternoon. There are a few of our locations that would not receive regular mail from us for 3 days, which would be after Friday when everyone else is getting paid. If it is okay to do it this way, we would prefer it, but if there is a law out there that says the employee must be paid on or before the payday, we do not want to be in violation of that.
  • As far as I know, there is no requirement to use special mailing privileges to mail payroll checks to those who choose not to have direct deposit. Direct deposit IS for the convenience of the employee and to insure that their checks are in their accounts on payday. If an employee has this option and chooses not to exercise it, the employer can mail the checks, but I don't see how they can assure the employee they will be in their hands on payday. Employers can't control the Postal Service.

    We require direct deposit, but we have some tenured employees who get live checks from the days when we didn't require direct deposit. We have had occasions where checks were lost in the mail or got there late, but, as we explained to the employee, we have no control over this and that is the reason we have started requiring direct deposit.
  • It all depends on the law of the states that the employees are in. Some states require delivery on a certain payday, and may define that as sticking it in the mail or may define that as putting it in the hands of the employees.

    Each state's law will vary. Lots of times you can find the state's law about these types of issues by going to the states Workforce Commission or Labor Commission website (each state calls theirs something different). Many have Q&A sections that answer these types of questions.

    If the state allows US mail for delivery, I'll bet you'll have employees signing up for direct deposit the first time their check is a day or two late.

    Good Luck!
  • I believe the employer is required to get the compensation into the hands of the employee within the next 40 hour work following the week of the work week calculated. Our work week is Sunday to Saturday, we therefore, haveuntil our announced pay day as Friday of the next week. Within our state we have satisfied the law by putting the check in the mail by close of business on Wed. This date and time was derived after discussions with our local postal master who would never guarntee, but indicated to us that Wed should allow for a usual amount of time required to get the usual check to the employee. We then stand on our best efforts to accomplish the delivery of checks to the post office by "Wed close of business". We do not do a "stop payment" in accordance with our announced "policy/protocal" until 16 working days has been completed and the check is then declared lost and we cut a new check on that date at company expense. We can cut a check sooner and "stop payment" sooner, if the employee wants to pay the $35.00 to process the action with our bank. We have had checks not make it to the address due to improper addresses when the employee is enrolled, but they have all returned to us within 6 days. We had one check washed and the scraps were returned in a ball, we cut a new check upon receiving the "ball of paper". Provide me with your e-mail address and I'll either zip you a copy of our protocal or fax it, which ever is wanted by you. Pork
  • What if we're a small private non-profit that can't afford to do direct deposit? Do our employees still have to receive checks on the same day?
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