A bit of confusion has surfaced regarding how Direct Deposit distributions are split into their separate accounts. The following is a clarification of how the system will split the net income when more than two bank accounts are set up.
When setting up more than two accounts, including an amount to one account and percentages to others, it does not divide out the money as most would assume. The bank accounts with percentages are based strictly on the NET amount of what will be deposited into these accounts.
For example, if the net pay total for the pay period is $500 and a $50 lump sum amount is going to account one (or priority one), and then there is a split of 20%
going to the account two (priority two) leaving a remaining net balance going
into a third account called balance.
What happens is that the Direct Deposit will deduct the $50 from the $500.00 net pay first. Next the system will take what would be a total of 20% of the $500.00 net pay ($100 in this case), NOT 20% of what is left ($90), and put it in your second priority. The remainder of the $500.00, which is $350.00, is into the balance account.
If additional information is needed please call the Payroll Office at 581-7873.
