DHHS POLICIES AND PROCEDURES

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Section II:	Budget and Finance
Title:	Cancellation and Rewrite of Employee Payroll Check or Direct Deposit
Current Effective Date:	5/31/05
Revision History:	8/1/02
Original Effective Date:	2/1/96

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Purpose

The purpose of this policy is to clarify department policy and procedures concerning cancellation or rewrite of an employee payroll check or direct deposit.

Policy

The policy of the Department of Health and Human Services (DHHS) is to cancel and rewrite an employee’s payroll check or direct deposit when an employee is separated or is not in a working status of the full pay period and does not have sufficient leave to carry through to the end of pay period.

Implementation

Cancellation of Payroll Check Procedure:

1. The human resources or fiscal office shall forward the check to be cancelled to the payroll office.



2. The payroll office will then cancel the check 1 of 2 times during the month:
1. Immediately following month-end pay period
2. Immediately after mid-month payday.

Cancellation of a Direct Deposit Procedure:

1. The human resources or fiscal office shall forward notify (in writing) the payroll office of the need to cancel direct deposit.



2. The payroll office shall issue a stop order which cancels an employee direct deposit for the month and prevents deposit.

Overpayment of Employee Procedure:

1. The human resources office shall determine that the employee has been overpaid and notify the payroll office. The human resources office will recover payment from the employee.

Rewrite of a Check or Direct Deposit Procedure:

1. The human resources office shall notify the payroll office of need to rewrite cancelled check or direct deposit and determines the amount of time the employee should be compensated for.



2. The payroll office shall reissue check on the cancellations and rewrite payroll cycle.

Reference

Office of State Controller, Administrative Policies and Procedures Manual.

For questions or clarification on any of the information contained in this policy, please contact The Division of Budget and Analysis. For general questions about department-wide policies and procedures, contact the DHHS Policy Coordinator.