How are payroll checks distributed to the employees?

How are payroll checks distributed to the employees?

Hand checks to employees. Where possible, hand checks directly to employees. Doing so prevents a type of fraud where a payroll clerk creates a check for a ghost employee, and pockets the check. If this is too inefficient a control, consider distributing checks manually on an occasional basis.

Who was the guy who ran the payroll business?

The guy who ran the payroll business called himself “Devon Hockensmith.” He said he was based in Atlanta. He sent Hubler funds to purchase a printer and supplies and trained her to print paychecks for an army of independent contractors the firm had lined up.

Do you have to have a checking account for payroll?

Payroll checking account. You should pay employees from a separate checking account, and fund this account only in the amount of the checks paid out.

How to prevent unauthorized access to payroll records?

They may identify payments being made to employees who no longer work for the company. Restrict access to records. Lock up employee files and payroll records at all times when they are not in use, to prevent unauthorized access. Use password protection if these records are stored on line.

The guy who ran the payroll business called himself “Devon Hockensmith.” He said he was based in Atlanta. He sent Hubler funds to purchase a printer and supplies and trained her to print paychecks for an army of independent contractors the firm had lined up.

How long does it take to deposit a payroll check?

Once you submit payroll, the time it takes for those checks to hit your account depends on the type of deposit. Some payroll providers offer same-day direct deposit or next-day direct deposit. In general, though, it takes about two to three days.

Why does it take so long to process payroll?

Automated payroll and time tracking tools can reduce that time considerably. One reason is that most payroll processing solutions calculate payroll taxes for you, which could take hours if done by hand. Once you submit payroll, the time it takes for those checks to hit your account depends on the type of deposit.

Can a company send you a check to pay?

Update 10/4/16 – This was originally posted a few years ago, but I’m adding an update because a reader, Mary, was recently victim to this same scam, and it’s changed a bit. Please read her story below so you’ll know what to watch out for: