['Compensation']
['Payroll', 'Compensation']
11/11/2025
...
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Employers in North Carolina may mandate the payment of wages via direct deposit as a condition of employment. Employees must be allowed to choose their preferred financial institutions, and no additional costs are permitted that would result in the employee making less than minimum wage.
For state employees, direct deposit is mandatory for any employee paid via the Office of the State Controller. Exemptions may be made for employees who do not have accounts at an eligible financial institution and can provide evidence that they are unable to obtain an account.
Related information
Citations
- N.C.G.S. 95-25.6
- 13 N.C.A.C. 12.0309
- NC DOL guidance, Debit/Payroll Card Payment and Direct Deposit
- State Human Resources Manual – Payment of Salary
- 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']
['Payroll', 'Compensation']
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