Can an employer legally charge employees a fee for direct depositing or writing their payroll checks?

UPDATED: Oct 1, 2022

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Can an employer legally charge employees a fee for direct depositing or writing their payroll checks?

My neighbors employer is charging her 50 cents for direct depositing her check to her account and $3 if she gets a paper check. Is this legal?

Asked on September 14, 2017 under Employment Labor Law, Missouri


M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney

Answered 5 years ago | Contributor

Some states prohibit charging an employee for direct deposits but I could find no such prohibition under MO law. However, since statutes continally change, you may want to check with your state's depatment of labor, they should have an answer for you. As for paying for paper checks, also I do not believe that MO specifically address this. Again, contact the department of labor and/or place a call into an employment law attorney.

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