Make the Move in May to Direct Deposit

4/1/03

Next month is National Direct Deposit Month, and with the budget crisis in
full gear, it's a good time to consider joining up!

An estimated 53 percent of all state workers in Kentucky enjoy the benefits of Direct Deposit. And while that number is
increasing all the time, the Commonwealth is below the national average when it comes to embracing this convenient service. Research from the American Payroll Association shows that the two most popular reasons for not participating in Direct Deposit are a distrust of the technology and not being in control of the process. But here are some facts about Direct Deposit from the Personnel Cabinet to consider:

  • Direct Deposit actually saves you time and money. A calculation of the average time and travel costs of depositing a check is about $8.50 (assuming you are making the deposits on your own time).
  • Direct Deposit saves the Commonwealth money.
  • Lost payments made by Direct Deposit are very rare. In fact, you are much more likely to have a problem with a paper check.
  • Direct Deposit is more confidential. A check passes through many more hands than an electronic transfer.
  • Problems, which are rare, are quickly resolved. By contrast, problems with checks may take longer.
  • By using Direct Deposit, you may save the equivalent of three workdays each year by not having to go to the bank to deposit checks.
  • Direct Deposit is fast. Direct Deposit gives many people access to their money one to four days earlier than a check. There is no waiting for a check to clear.
  • Direct Deposit gives you control. Financial planners recommend Direct Deposit as one step towards gaining control of your finances.
  • Direct Deposit can be used for many different accounts, not just your paycheck.

Commonwealth of Kentucky employees wanting to know more or participate
in Direct Deposit can get all the facts and print out the DD form on the Personnel Cabinet's Website at: http://personnel.ky.gov/dirdep.htm


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