Can I have my wages paid in to a friends bank ...

Can I have my wages paid in to a friends bank account by my employee


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Yes, but it wouldn't be a very wise move financially.  After all, you'd still be paying taxes on the money that you deposit.


If you wanted to do direct deposit, all your employer needs is a voided check from your friend for the numbers at the bottom.


If you get paid in draft form, simply endorse the check over to your friend for them to deposit.


I can't think of any reason why your employer would care to whom your paycheck went to.


(I used to have $250 deposited into my parent's checking account as a stipend each pay period at one point and no one even so much as raised an eyebrow when I did it.) 


That reminds me, there could be some tax implications because at least in the IRS your paycheck would be considered a "gift" to your friend and you'd need to report the transaction.


Posted 1 year ago ( permalink )
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As far as the tax on the gift is concerned, you can deposit up to 12k a year tax free into the account.  You will still have to pay the regular employment taxes any worker would be required to pay though.


Posted 2 months ago ( permalink )
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You can't do direct deposit into someone else's account unless your name is also on the account.  The rules that govern these types of transactions don't allow it.


Posted 2 months ago ( permalink )
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Unless your name is on the bank account thus cannot be done. 


Posted 2 months ago ( permalink )
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It can be done occasionally, but is not reccomended. What if your friend did not give you the money, you have no recourse. If your friend passes away, same situation, no claim on the money. You are better off opening your own account if possible. If you are unable to open your own account (Chex sytems report, bad credit) and need to use direct deposit make sure your friend opens it with your name on the account as POD (payable on death). At least then you have one level of protection. Also ask the bank to put notes on th account that direct deposits will be coming in with your name attached. That way their cash management area may be able to keep paychecks from being returned to your employer.


Posted 2 months ago ( permalink )
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You can deposit money into whatever account you want. However, I suggest that you do the following: first, take possession of the check, then, cash it; finally, deposit the funds in your friend's account. In doing so, you at least protect the transaction(s) from prying eyes.


Posted 2 months ago ( permalink )
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