Today, countless employees space paid via direct deposit. By receiving their funds electronically, an employee avoids the hassle of cashing a paper check each pay period.

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Instead that a record check, an employee with straight deposit it s okay a statement the details their earnings and also deductions. By making use of an employee self-service equipment – such as MyStack – one employee deserve to receive this statement electronically as well. This is one easy method for a agency to relocate towards a paperless payroll.

But before an employee deserve to use direct deposit, your account info needs verified. This is done through the prenotification process, or a “prenote.”


What is a prenote?

A prenote is a check transaction the a financial institution uses come validate account and also routing information. This helps ensure that any type of funds space deposited right into a valid account.

When is a prenote sent?

After you get in or upgrade an employee"s account or routing information, a prenote is sent out with the following processed payroll.

How lengthy does a prenote take?

The prenote procedure usually takes 10 days come complete.

During this time, the employee will obtain a live paycheck.

Typically, one employee obtain a live paycheck ~ signing increase for straight deposit. This could continue for one or 2 pay periods. Once the account details is verified, one employee"s pay will certainly be straight deposited; the employee will no much longer receive a live paycheck.

However, if an invalid account or routing number is detected, then the employee will continue to obtain a live paycheck. After correcting any type of detected errors, an additional prenote is sent. This process is repetitive until the account(s) room verified.


When is a prenote needed?

A prenote occurs anytime an employee indicators up for straight deposit or when you modify an employee"s existing account information.

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Keep in mind, any type of time a prenote is sent for an employee’s account, the employee will receive a live paycheck. An employee will be paid by straight deposit as soon as the verification process is completed and also the account information is verified.

The adhering to chart mirrors what actions cause a prenote gift sent:


activity Is a prenote required?
an employee indicators up for direct deposit. an employee adds an additional bank or second account to their existing direct deposit. You adjust an employee’s name, address, or various other demographic information. an employee switches banks. an employee alters their deposit circulation (i.e. Instead of 10% going come a savings account, they make it 20% of their pay).

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