Contact: Maridith Geuder
STARKVILLE, Miss.--Mississippi State soon will no longer use paper in any employee payroll transactions.
The change is the latest step toward increasing institutional efficiencies and streamlining operational processes, announced priorities of university President Mark Keenum.
Michael J. McGrevey, vice president for finance and administration, said the transition to electronic payroll payments begins Jan. 31, 2010, and is anticipated to save $400,000.
"By improving efficiencies, we will increase savings to the university at a time when resources are critical," McGrevey said.
MSU employees will have two options:
--Direct deposit, which continues without a paper deposit confirmation to eliminate more than 120,000 checks and pay stubs annually. (Direct deposit has been safely and effectively in place at MSU since the early 1990s.)
--Payroll funds deposited to a paycard, similar to a debit card.
"We have used the paycard system with approximately 250 student workers in the last several months, and it's been very successful," observed Wayne Bland, associate vice president for finance and administration.
Persons using paycards will have funds transmitted directly to a bank through the national Automated Clearing House network. The paycards may be used at automated teller machines--ATMs--to withdraw cash or purchase goods and services at thousands of VISA merchants nationwide, Bland said.
"There are many benefits to employees because they will have better and faster access to pay and can withdraw the full balance at the bank," he said. "Each card issued will be valid for four years before being reissued."
Bland said paycards also eliminate check-cashing fees and provide 24/7 access to employee pay, even on vacation.
"We will be providing informational sessions around campus to introduce the concept," McGrevey said.
Detailed information--and the employee sign-up options--may now be found at www.controller.msstate.edu/payroll_deposit.html.
Longer term, MSU's Division of Finance and Administration is planning to move to electronic payments for employee travel and vendor invoices.
"We anticipate having all of that in place by the end of 2010," McGrevey said. Total savings once all-electronic payments are implemented are expected to be approximately $550,000.
"We continue to emphasize the modernization and refinement of our processes to help address budget deficits," he concluded. "Our goal is to do everything possible to minimize the impact on people and positions."
NEWS EDITORS/DIRECTORS: For more information, contact Mr. McGrevey at 662-325-2231. If he is unavailable, Mr. Bland may be reached at 325-2303.
For more information about Mississippi State University, see http://www.msstate.edu/.