Payroll cards in Minnesota
Since June 3, 2005, employees in Minnesota may receive their wages via a payroll card.
If any company issues or plans to issue payroll cards as a method of paying employees' wages, they are required to file notice of doing business with the commissioner of the Department of Labor and Industry and must complete the agency's registration process (above).
The Minnesota law allows employers to offer the option of payroll cards to their employees, as long as the employee has the right to collect wages in an alternative form, such as cash, check or direct deposit.
Instead of receiving a check on payday, the employee's wages are deposited into an account accessible through the payroll card. A payroll card can be used similar to a debit card. An employee can keep a balance on the card to either use at an automated teller machine (ATM) or a retail establishment.
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