Direct deposit is how the overwhelming majority of American paychecks arrive, and the authorization form is the small piece of paper the whole system rests on: the employee's signed instruction telling payroll which bank, which account, and how much. Payroll providers require it because ACH rules require it, and because when a deposit goes wrong, the signed form decides who bears the mistake, the employee who wrote the numbers or the employer who keyed them.
This form produces a complete, payroll-ready authorization: bank details, account type, full or split deposit, error-correction consent, and cancellation terms, with the reminders that prevent the classic first-deposit failures.
Getting the numbers right: the two failure points
Nearly every direct deposit problem traces to one of two numbers. The routing number (9 digits) identifies the bank on the ACH network; banks often have different routing numbers for wires, paper checks, and ACH, so copy the one your bank labels for ACH or direct deposit. The account number identifies your account; copy it from a check or your online banking, never from a deposit slip, which can carry internal processing codes that look like account digits. A voided check attached to the form lets payroll verify both numbers against a document the bank printed, which is why most employers ask for one.
- Checking accounts: void a check by writing VOID across it in ink, without signing it, and attach it to the form.
- Savings accounts: checks do not exist, so ask the bank for a direct deposit letter or a prefilled ACH form stating the routing and account numbers.
- Online banks: the app's 'direct deposit details' screen shows the exact numbers to use; screenshot it for payroll.
When the first deposit actually arrives
New authorizations rarely take effect on the very next paycheck. Many payroll systems first send a prenote, a zero-dollar test entry that gives the bank a few days to reject bad details, and only switch from paper check to deposit after the test clears. Expect one to two pay cycles between handing in the form and the first electronic deposit, and expect the same delay when you change banks. Plan the transition: keep the old account open until the first deposit lands in the new one, because pay sent to a closed account bounces back to the employer and gets reissued manually, usually days later.
Changing banks? Sequence it
Submit the new authorization, wait for the first successful deposit into the new account, and only then close the old one. Closing first is the most common self-inflicted payroll delay there is.
What employers can and cannot require
Federal law (Regulation E, implementing the Electronic Fund Transfer Act) allows employers to require direct deposit only if the employee can choose the receiving bank; an employer cannot force wages onto a specific bank or a specific payroll card. State wage payment laws layer on top: in most states an employer may make direct deposit the default or condition of employment with the bank-choice safeguard, while a minority of states require the employee's voluntary consent, which is exactly what this signed form documents. The error-correction clause is standard and limited: it lets payroll claw back a duplicate or mistaken credit, not reach into the account for other debts.
Keep the form with payroll records, not in email
A completed authorization carries full bank account details. Employers should store it with payroll records under access controls, and employees should hand it over directly or through the payroll portal rather than emailing it. This template is a self-help document, not legal advice.
Frequently asked questions
What do I need to attach to a direct deposit form?
For a checking account, a voided check: write VOID across an unsigned check and attach it so payroll can verify the routing and account numbers against a bank-printed document. For a savings account or an online bank, a bank-issued direct deposit letter or the app's official account details screen serves the same purpose.
How long until direct deposit starts?
Typically one to two pay cycles. Many payroll systems first send a zero-dollar prenote test to confirm the account details, and switch to live deposits only after it clears. Until then, pay arrives by the employer's default method, usually a paper check.
Can my employer require direct deposit?
Under federal Regulation E, an employer may require electronic pay only if you can choose the receiving bank; it cannot mandate one specific bank or card. State rules vary on top of that: most states allow employer-mandated direct deposit with that safeguard, while some require the employee's voluntary written consent.
Can I split my pay between two accounts?
Most payroll systems support splits: a fixed amount to one account and the remainder to another, or percentage splits. This form covers a fixed amount plus remainder; for more accounts, submit one form per account or use the payroll portal's split feature if the employer offers one.
How do I change or cancel my direct deposit?
Give payroll written notice: a new authorization replaces the old instructions, and a cancellation stops electronic deposits going forward. Allow one pay cycle for the change to take effect, and never close the old bank account until the first deposit has landed in the new one.