May is National Direct Deposit Month, which makes it a perfect time to make a renewed push to get those participation rates as high as they can be.
To do that, you’ll need a little preparation.
There is a whole host of fronts you can attack this on. The same old notes-in-the-paystub tactic probably isn’t going to cut it anymore, especially for the real holdouts.
That’s why we’ve assembled the best strategies now to get more folks on board.
The key: making an emotional appeal.
You might think about using one or more of these approaches so that when May 1 arrives, you’re ready to get as many people as possible signed up.
Approach #1: Appeal to their financial jitters
Ask anyone if they wish they could save more money and you’ll likely hear a resounding “yes.”
But what if there was a way to guarantee it? Direct deposit is just that … if you allow employees to split their deposits. It’s easy enough to set up. And if employees avail themselves of that option, they’ll be surprised how quickly their savings will add up.
And you can share some of these stats from NACHA, The Electronic Payments Association, to help them see how much:
• 93% of employed adults who use split deposit save money every month (vs. 77% who don’t split their deposits)
• Deposit-splitting employees save an average of $467 a month.
• Employees can use the money for everything from saving for a rainy day (83%) to contributing to their retirement (74%).
Approach #2: Appeal to their fear of fraud
More than likely, almost every employee on your payroll knows someone who’s been hit by identity theft. After all, in 2010, 7% of all United States households had at least one member of the family at or over the age of 12 who has been a victim of some sort of identity theft.
Once again, direct deposit can help on this front. And the stats can support your case. Consider sharing this example as part of your pitch:
Back in 2006, a whopping 57,000 checks issued by the Treasury Department were fraudulently endorsed, while problems with direct deposit were virtually nonexistent.
Insider tip: If you can get someone who’s been impacted by identity theft – no matter what led to it happening – you might see if that person would be willing to share his or her experience. Hearing firsthand the trials of being a victim will leave people wanting to do all they can to prevent a similar fate. And that’s when the direct deposit enrollment forms get handed out.
Approach #3: Appeal to their environmental conscience
Then again, maybe you have folks who are environmentally minded on staff. That’s another angle you can use to make your case for direct deposit. After all, you’re wasting paper with every check you cut.
But what’s the real toll on Mother Nature? You can let employees see for themselves with this online calculator:
Once you plug in the number of paychecks your company cuts each year and the percentage of employees you want to convert to direct deposit, the tool will give you a full rundown on both how many resources the paper checks drain and then how much you’ll conserve by switching to direct deposit.
And it covers not only paper, but things some folks may not have thought of, like wastewater and greenhouse gases.
No matter which angle you come at it from, you’re likely to hit upon something that taps into employees’ emotions. And that just may make it the most successful Direct Deposit Month yet.