This article is for all employers using Justworks.
As an admin, you have the ability to update your company’s bank account used for payroll if you have the Edit Company Settings permission.
You can navigate to the Settings option under the Company heading. From there, you’ll select Verify to Edit next to your current company bank account information.
To prevent any impact to payroll, the option to update your company bank account will be blocked each day between 2pm ET to 6pm ET. Justworks will notify you during this time period and direct you to try back at a later time.
During eligible hours but prior to being able to make any changes, you will be prompted to confirm your identity using one of our multi-factor verification methods to protect your company’s information and prevent any fraudulent changes.
Once verified, a form will appear with the Terms and Conditions, in which you have to consent to the Justworks ACH and Account Authorization Agreement before you can manually add your company bank account details or use Plaid.
Connect Manually
If you select Connect Manually, you will be able to enter the new routing and account number you would like to use for your company’s payroll purposes. When you enter your routing and account numbers, a green check mark will appear below each section, noting that the information is correct.
Connect using Plaid
If you select Connect using Plaid, a pop-up will appear on the page, and you will be able to use your bank’s login credentials to connect your new business bank account to Justworks. If you’re enrolled in 2-day ACH, you are required to connect via Plaid.
In many cases, Justworks will be able to immediately verify your bank account information. If so, a green banner will appear letting you know the process has been completed and the new bank account is ready for any upcoming payrolls.
Reverse Wire
If your company currently utilizes reverse wire for expedited 2-day processing, you need to ensure your have added Justworks an authorized debit on your new account. Additional information will be provided directly in the reset flow to provide to your bank.
You will need to reach out to Justworks Support within 5 business days confirming your new bank account has authorized Justworks to process debits via reverse wire. If you do not confirm within five days, you will be automatically set to our standard 4-day processing timeline. You can reach out to our team to set up expedited processing via reverse wire again without going returning to the bank account reset flow.
Account Alerts
Due to NACHA regulations, only business/corporate accounts are eligible for payroll purposes. If the account you attempt to enter is any other account type (including personal/consumer or prepaid accounts), an error message will be displayed and you will be prompted to enter different account information.
There are other potential issues that may prevent account verification such as incorrect information, the account being closed or frozen, or a debit blocker currently being imposed by your bank.
In these cases, Justworks will notify you of the issue within the flow and provide the next steps to properly update your account.
If you are enrolled in 2-day ACH, you must use Plaid to reconnect your company bank account if you entered incorrect information or see a flash alert on the Company Settings page directing you to reauthorize your account using Plaid. Do not connect your bank account manually if you’re enrolled in 2-day ACH.
Microdeposit Testing
When a bank account cannot be immediately verified, Justworks uses a microdeposit test to verify the account information. The general timeline to complete a microdeposit test is between 2-3 business days.
Within the verification flow, you will receive a notification that the account could not be verified and that a microdeposit test will have to occur.
As payroll is not able to be processed during a microdeposit test, a warning will let you know when your next payroll is scheduled. If this date is within the 2-3 business timeline, you will be able to cancel the bank account update and your previously verified bank account information will remain in place to allow for payroll processing.
If no payroll is in danger of being missed, you can click Initiate Test and you will be given an overview of the information provided along with a green confirmation indicating the process has been kicked off.
Clicking Done will redirect you back to your Company Settings screen where your bank information will show as Account Pending. A yellow banner will appear across Justworks including your Home Dashboard, the Payments Center and Settings pages showing a microdeposit test is in progress.
Small amounts will be deposited and then debited from your account within 2-3 business days. When these deposits are visible in your bank portal, click Confirm Deposits Amounts on the yellow banner to verify the microdeposit amounts.
After successfully verifying the microdeposit amounts, you will be redirected back to the Company Settings page where a green banner will show the update has been completed.
Email Notification
When a company bank account change has been made, all admins with Edit Company Settings or Make Payments permissions will receive an email notification.
Disclaimer
This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, legal or tax advice. If you have any legal or tax questions regarding this content or related issues, then you should consult with your professional legal or tax advisor.