There are many different types of Payroll Deduction Authorizations Forms. They all serve the purpose of asking your company’s payroll department to make periodic deductions from your earnings for an established purpose.
One type of Payroll Deduction Authorization Form is issued by your bank or credit union. With this type of document, you can authorize direct deposits to either to one of your main accounts or for a specific banking purpose.
How to Use a Payroll Deduction Authorization Form
The form will ask for your account number, name, address, phone number and social security number. It will also ask for your company’s name and address as well as the name and phone number of the payroll department’s contact person. It will then ask you if you are paid weekly, monthly, or bi-monthly.
This type of Payroll Deduction Authorization Form will then list the names of the accounts that you maintain at the institution, such as checking, savings, money market or IRA. There will be a space for you to write in the relevant account numbers. You might even authorize the periodic repayment of a bank loan.
Finally, you will sign the form, and bring one copy to your payroll department and transmit another to the financial institution.
Another type Payroll Deduction Authorization Form is typically issued by academic institutions. Its purpose is to facilitate automatic deductions from a willing employee to support such educationally relevant purposes as scholarships and direct donations to specific academic departments.
This type of form first includes the institutions logo, name and address. Printed directly below will be the purpose of the form, which will typically describe it as the facility and staff voluntary payroll deduction form.
In the next section, the employee fills in his name, department, facility id number, phone number, email address and the date. Then the period over which the deduction is authorized is specified, the total amount of the pledge, and the amount of the donation for each pay period. There is also usually the option to specify that this donation is ongoing with no time limitation, but that the employee can terminate the donation at any time that he or she chooses to do so.
The next section lists the possible purposes of the donation. These can be specific academic departments. There also may be a range of scholarship programs or perhaps one of the school’s team sports programs. The donor may also have the option to donate to a museum or planetarium associated with the institution.
Towards the bottom of the form, there will likely be a short explanation of the circumstances under which specific types of donations are and are not eligible as tax deductions.
Finally, there will always be a place for the employee to sign and date the form.
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