State Direct Deposit and Payroll Card Laws Chart: Overview

by Practical Law Labor & Employment

A Chart providing state-by-state survey of direct deposit and payroll card laws, detailing the key methods of wage payment permitted by each state and the District of Columbia. It highlights when employee wages may be paid by direct deposit or payroll card, assuming no applicable collective bargaining agreement. It outlines state-specific employee consent requirements, pre-enrollment disclosures, fee restrictions, and access to full wages through no-fee transactions. The Chart addresses these state-specific nuances while also noting the overarching federal framework, such as the Consumer Financial Protection Bureau's (CFPB) Prepaid Rule. It also notes that some states informally permit these wage payment methods despite lacking explicit legislation. Additionally, it excludes considerations like federally insured funds, non-monetary compensation, and local laws unless specified. This Chart serves as a vital resource for private sector employers navigating complex wage payment regulations across different jurisdictions.