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['Compensation']
['Compensation', 'Payroll']
11/11/2025
State Info
Direct deposit provisions - Massachusetts
In Massachusetts, private sector employers may require employees to be paid by direct deposit, but employees must be allowed to designate the receiving account/institution.
Massachusetts law also applies to the public sector; however, policy issued in 2004 by the Office of the Comptroller holds that direct deposit is the required method of payment for state employees.
Related information
Citations
- Mass. Gen. Laws Ch. 149, Sec. 148
- Mass. Attorney General Fair Labor Division – Pay and recordkeeping
- Commonwealth of Massachusetts Office of the Comptroller – Direct Deposit (July 1, 2004)
- 15 USC 1693 et seq. — Electronic Funds Transfer Act (EFTA)
- 12 CFR Part 1005 — Electronic Fund Transfers (Regulation E)
- FOH Chapter 30 RECORDS, MINIMUM WAGE, AND PAYMENT OF WAGES (U.S. DOL – page 11, Sec. 30c)
- 29 CFR 531.35 — “Free and clear” payment; “kickbacks”
['Compensation']
['Compensation', 'Payroll']
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