As the Social Security Administration makes the switch from paper checks to direct deposit, Illinois’ comptroller continues to enroll state vendors in a direct deposit program. Comptroller Judy Barr Topinka says about 96 percent of Illinois employees have direct deposit, as do 50 percent of vendors.
The legislature passed a law in 2011 that required direct deposit for employee payroll, retiree pensions, employee expense reimbursements and some vendors. At the time Topinka estimated a cost saving of $1 million annually. She says that number has grown. “We figure we will save the state, overall, every year, by not processing those checks and using direct deposit, $1.8 million,” Topinka said.
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Topinka continues to enroll employees and vendors into the program. On March 1 the Social Security Administration is making direct deposit of Social Security benefits mandatory, saving the nation an estimated $1 billion over the next 10 years.