Reminder Summer Months and Direct DepositsA reminder of what can take place with direct deposits during the summer months of June, July, and August. Although infrequent, the following circumstances can occur:
* An employee with the combination of:
* Paid on both a Regular and Arrears/Summer Savings payroll during the same month, and * Newly ACH/Direct Deposit information input into the system
* Timing and results: * Activation of an ACH/Direct Deposit is usually a two-step process that takes place over two-months. * First month is a “pre-note” to validate a combination of banking institution and account data. * Second month is a live deposit of an employee’s paycheck into the designated bank account. * Regular and Arrears/Summer Savings payroll processing takes place one day apart in June, July, and August. * This sets in motion the two-step activation of an ACH/Direct Deposit in two days, not two months if an employee is receiving payment on both payrolls and has new ACH/Direct Deposit data.
* Example of the outcome: * Production of the July Regular payroll occurs on Tuesday and production of the July Arrears/Summer Savings payroll takes place on Wednesday. * Timing to produce these back-to-back payrolls results in the employee receiving a paper check for the July Regular payroll and an ACH/Direct Deposit for the July Arrears/Summer Savings payroll.
Please be aware of these circumstances and results when inputting new ACH/Direct Deposit information for an employee paid on both a Regular and Arrears/Summer Savings payroll during the same month.
For questions about payroll ACH/Direct Deposits, please contact Richard Weger at rweger@sbceo.org<mailto:rweger@sbceo.org> or 805-964-4711 x 5242.
Regards, School Business Advisory Services Team Santa Barbara County Education Office
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