To pay your employees via direct deposit, you need to:
Create an account with VoPay and connect your bank account.
Change the payment type for your employees and add their bank details.
Complete the employee address details.
Process the payments at the end of your pay run.
Before you begin
If you have not yet set up direct deposit for your company, read our guide, Set up direct deposit in Sage Payroll.
Change your employee payment type and add bank account details
As part of the employee set up, your employee's bank account details can be verified.
To verify the bank account details, a small transaction will be paid to the employee, which is then refunded to you.
The transaction amount may vary for different banks and can take 2 to 3 working days.
📎NOTE: You can pay your employee by direct deposit before the verification is complete, though this is not recommended.
Select Employees.
You can select an employee you'd like to pay using direct deposit.
Select Payment or Pay run specific details from the left side of the employee details.
Select Direct deposit in Payment method and Payment type.
Complete the following fields:Transit number
Institution number
Account number
Payment split
Amount or percentage
📌TIP: Employees can print their direct deposit payment information from their online banking service.
An employee could also give you a void cheque, which has the numbers you need along the bottom section; an example can be found below:
Select Actions, then Verify account.
The bank account fields will be disabled to prevent duplicate verifications.
Select Actions, then Edit Account if you need to start the verification again.
Verification statuses
Verification statuses
Below is an explanation of the different statuses for employee bank accounts.
Not Verified
If you've not verified yet or choose not to verify an employee bank account the status of Not verified is displayed.
Awaiting verification
When the verification is in progress, the status of Awaiting verification is displayed.
Verification Successful
When the verification is successful, the status of Verified is displayed.
Verification failed
When the verification fails, the status of Verification failed is displayed.
Check the Transit number, Institution number and Account number fields are correct and that you have funds in your bank account to cover the transaction.
Select Verify bank account if you want to retry the verification.
If the verify bank details button cannot be selected, this may be due to the employee record having just been created.
To resolve this issue:
Select Save and close employee.
This saves the record in Sage Payroll and enables the verification process when you re-open the employee details.Select Employees.
Select the employee that you want to be paid by direct deposit to open their employee record.
You can now access the Verify Account option.
📌TIP: We advise asking your employee to check if they can see the small verification transaction on their bank activity.
This reduces the possibility of the money being sent to the incorrect account.
If the verification takes longer than three working days, contact Sage support.
Multiple bank accounts and split payments
You can split your employee's pay across a maximum of 5 bank accounts.
If pay is split over multiple accounts, one of the accounts must be selected to receive any remaining net pay.
📎NOTE: The payment splits entered are not validated against the employee's pay run amounts.
If the net pay is less than the payment splits, some accounts may not receive the full amount or percentage.
If the net pay is more than the payment splits, the surplus is paid into the account chosen to receive any remaining net pay.
Payment split examples
Payment split examples
Our employee, Alex, asked to split their pay over 2 bank accounts.
Account 1 will receive a set amount of $1000.00.
Account 1 is also selected as the account used for any remaining net pay.
Account 2 is selected to receive 10% of Alex's total net pay.
In the first pay period, Alex's net pay is $2,500.00.
The payment split equals a total net pay of $1,250.00.
Account 1 receives the full $1000.00.
Account 2 receives the full 10% of Alex's net pay, equalling $250.
Because Account 1 is selected as the account used for any remaining net pay, it will also receive a surplus of $1,250.00.
In the second pay period, Alex's net pay is only $1,050.00.
The payment split equals a total net pay of $1,250.00, which is more than Alex is being paid.
Based on the priority of the bank accounts, the payment split is:
Account 1 receives the full $1000.00.
Account 2 can only receive 2% of the 10% we entered, equalling $50.00.
Next steps
To submit direct deposit payments, you need to complete a pay run and submit the payments.
📎NOTE: If your payday falls on a non-banking day, then your employees will be paid on the next banking day.
To learn how to submit the payments to your bank, read our guide, Process direct deposit payments in Sage Payroll.