All You Need to Know About Pay Stubs With Voided Checks
January 23, 2024
A pay stub with voided check is a financial document used primarily to access an individual’s bank details quickly. When a check is "voided," no financial institution acknowledges or accepts it as payment or remittance.
Although unusable for receiving or withdrawing your earnings, there are specific instances where a voided check may be helpful.
Keep reading to discover when a paystub with a voided check can be used and how to acquire one.
- A pay stub with a voided check is an invalid financial document containing an account holder’s account details and routing number, which are then used to set up direct deposits or electronic payments, correct errors in filling out checks, and schedule automatic loan payments.
- Since voided checks are invalid, account holders and businesses cannot use them to transfer or deposit money from banks and financial institutions.
- To create a voided check, you can use a pay stub generator, request a copy from your bank, or take a check from your checkbook and write the word ‘VOID’ across the document.
- Some alternative documents you can use in place of a voided check include deposit slips containing your pre-printed bank details, voided counter checks, and direct deposit authorization forms.
What is a Voided Check & How Does It Work?
A voided check is a printed check that cannot be deposited, cashed,or used for any transaction. You can distinguish a voided check by the word ‘VOID’ written across the document in bold, capital letters.
There are different reasons to void a check, such as:
- The paycheck issued needs to be corrected and must be reprinted.
- The check was given to the wrong recipient or vendor.
- The check is damaged or misplaced.
- A debtor set up an automatic payment for their personal loan, car loan, or mortgage.
Despite the prevalence of mobile wallets and payment applications, voided checks remain relevant and instrumental in securing account holder’s bank information.
A voided check is safe and helps prevent common payroll errors, such as writing or mistyping the account or routing number. Moreover, scammers and identity thieves cannot use invalidated or canceled checks to try and steal money from bank account holders.
Using a pay stub with a voided check to set up a direct deposit has become more commonly practiced in payroll processing and management.
How to Create a Voided Check
There are different methods to create or acquire a voided check, and to accomplish this, you can do the following:
Use a Pay Stub Generator
A pay stub generator lets you effortlessly create a pay stub with a voided check. Our generator offers a selection of blank and ready-made templates to suit different preferences.
Also, our templates have all the necessary fields labeled for you, so all you have to do is fill in the blank areas with the vital information. You can also preview the pay stub to verify that all the details are true and correct before generating and downloading the document.
Using a pay stub generator is secure and cost-efficient because you can create as many pay stubs as you need without hiring additional personnel or spending more money.
Request From The Bank
You can head to your bank, financial institution, or credit union and request a voided check. Alternatively, you can request one online; just ensure that the check you need is no longer valid for any transaction.
Sometimes, banks send free copies of checks to their account holders via mail. Banks usually do this as part of the enrollment process for new customers.
If you want to take advantage of the free checks sent via mail, you might have to wait 10 to 14 days to receive your checks.
Write The Word ‘VOID’ On The Check
If you have a checkbook, take out a page or check, then write the word VOID in bold and capital letters across the front page of the check. Note that you must use a blue or black pen.
The key is to cover the lines and boxes meant to provide information about the payee, the amount to be transferred, and the space where the account holder should place their signature.
When to Use Voided Checks
Banks, financial institutions, government offices, and even employers have specific purposes for a pay stub with a voided check.
The following are the different ways to use voided checks:
#1. To Send Salaries
Some employers send their employees’ salaries via direct deposit because it is quicker, more convenient, and more secure.
Employers also use an online portal to facilitate transferring payments electronically, along with direct deposit pay stubs, to ensure all calculations on each employee’s gross and net earnings and deductions are recorded accordingly.
By having voided checks with their employees’ account information, they can double-check their employees’ bank details and ensure they send the money to the correct recipients.
#2. To Set Up Electronic Payments
Electronic banking typically requires voided checks, particularly for customers who want to pay their bills or loans online.
Vendors who prefer electronic payments may also need a voided check to ensure customers use the correct accounting and routing number when transferring their payments.
Similarly, you can use a pay stub with a voided check to automatically deduct payments from your account to payyour insurance and loans. A voided check eliminates the need to fill out blank checks repeatedly and incurs mistakes in filling out the needed information.
#3. To Fix an Error
Committing typos and mistakes in filling out checks is inevitable. You can simply invalidate the check to prevent the money from being transferred to the wrong account number, which usually happens when the wrong account number is written on the check.
#4. To Keep Records
A voided check contains an employee's, customer's, or vendor’s account details. This information is essential when you must make repeat payments or disburse wages and salaries to employees.
That said, voided checks prove helpful in maintaining records of all essential transactions that help maintain and regulate your business.
For instance, if you need to review your accounting books and calculate your accruals, you can use voided checks to pay salaries or suppliers.
#5. To Authorize Expense Reimbursements
Employees can use voided checks to authorize their employer to reimburse expenses and salary adjustments to their accounts.
These expenses and adjustments include job-related travel and meal expenses, missing amounts from the employee’s salary from the last pay period, or variable payments that did not reflect on the staff’s previous pay stub.
#6. To Certify Bank Information
Presenting a voided check containing your correct bank details comes in handy whenever you encounter errors in filling out a check for a specific transaction. You can show the invalid check to correct and verify your bank details and proceed with your payment or transfer.
Alternatives to Voided Checks
You might be wondering whether there are alternative documents you can use in place of voided checks.
We enumerated below the common voided check alternatives accepted by banks and financial institutions:
- Deposit slip. The deposit slip must already have your banking details written or pre-printed. If your bank supplies free check copies, you will likely receive a stack of deposit slips and blank checks.
- Direct deposit authorization form. Employees use a direct deposit authorization form to grant third parties or employers permission to send money directly into their bank accounts. Acquiring the said form is necessary for employers to avoid getting into legal trouble or breaching their employee’s account details and security.
- Voided counter checks. Invalid counter checks are available from the bank teller’s counter or window, hence the name. These documents are closely identical to the starter checks given to new account holders.
If you have photocopied your deposit slips or checks, you can also use the copies without a pay stub with a voided check. The alternative documents listed above serve the same purpose as a voided check.
A pay stub with a voided check enables secure and error-free transactions that would otherwise be a hassle to correct and retrieve. You should, however, make sure you’re sending the canceled checks only to authorized individuals.
Secure the document and dispose of it properly when no longer in use to maintain the security of your account information.