Gusto & Bank Compatibility: Important Information for Admins

We understand that ensuring your employees are paid smoothly is a top priority. This article provides important information regarding bank compatibility with Gusto for ACH transactions and steps you can take to ensure your team members receive their payments without interruption.

Understanding Bank Compatibility with Gusto ACH

Occasionally, Gusto may reject ACH transactions for certain banking institutions. This can occur due to various reasons related to banking network protocols or specific bank policies. We are actively working with our partners to understand and address these compatibility challenges.

Currently, the following banks have been identified as potentially experiencing ACH transaction rejections with Gusto:

• Sutton Bank

• BankCorp

• Meta Bank

• Stride Bank

• Pathward

• Chime

• Blue Ridge Bank

• Green Dot Bank

If your employees use one of these banks, they might experience delays or rejections in receiving their direct deposits via Gusto.

How to Sync Employees & Address Payment Issues

If you have employees using one of the banks listed above, or if an employee reports an issue with their direct deposit, please follow these steps:

1. Communicate with Affected Employees:

   • Inform the employee about the potential compatibility issue with their current bank.

   • Explain that their direct deposit might be rejected or delayed.

2. Offer Alternative Payment Options:

   • Switch Bank Accounts: The most straightforward solution is for the employee to use a different bank account from a supported institution for their direct deposits.

   • Paper Checks: As an alternative, you can arrange for the employee to receive their pay via paper check.

3. Update Employee Banking Information:

   • Once an employee provides new banking details or opts for paper checks, ensure their payment information is promptly updated in your system. This will prevent further rejections.

4. Internal Documentation:

   • It's a good practice to update your internal documentation regarding these bank compatibility notes, so your team is aware of the current status and available workarounds.

Need further assistance? If you continue to experience issues with direct deposits or have questions about specific bank compatibility, please reach out to our support team.