How to Pay W-2 Employee

Today’s employers possess more options when the time comes to decide how to pay their W-2 employees. The common options are checks, direct deposit, and pay cards. The often-used first two options come with pros and cons to consider before you make any immediate decisions.

Physical Checks – Writing out or printing physical checks provides your business with a paper trail. Your employees do not need a bank account and they can hold their stubs. Yet the delivery will take longer periods of time when you mail the checks. A mail carrier or employee can also lose the checks.

Direct Deposit – Transfer funds instantly and reduce employee wait times with direct deposit. A bank does not typically charge fees when it receives transfers. Your accurate records make the process of rectifying any issues much quicker. Your employees, nonetheless, must have a bank account. Setting up new employee direct deposits may take a few weeks to finalize.

Our AMS Payroll software supports over 30 different check types and processes direct deposit payroll information. Download our free demo software and explore our options for your business.

Software Solutions from AMS

Our W-2 and 1099 Forms Filer is our only required platform. From there, users pick the services they need. Choose from the tools below to build out your customized accounting software.