At PaySmart, the security of your business and your employees is our top priority. As part of our commitment to safeguarding sensitive payroll information, we are implementing important policy updates and reminding all clients of best practices in light of recent fraudulent activity targeting employers.
Payroll Fraud Alert: What You Need to Know
In recent months, some businesses have reported receiving fraudulent requests to change employee direct deposit details. These attempts often come in the form of an email or message from someone impersonating a current employee, requesting an update to their bank account information. If processed, such changes can result in paychecks being redirected to unauthorized accounts.
While these incidents are uncommon, we believe it is important to raise awareness and help our clients take proactive steps to protect their organizations.
Recommended Best Practices
To reduce your risk of fraud and protect sensitive employee data, we strongly recommend the following:
- Verify all payroll changes using a secondary contact method—such as a phone call to the employee’s known number.
- Be cautious with urgent or unusual requests, especially those received via email or text message.
- Avoid processing sensitive account updates solely through email.
- Train payroll and HR staff to recognize the signs of phishing, social engineering, and impersonation attempts.
Policy Changes Effective Immediately
To further strengthen data security and minimize risk, PaySmart is implementing the following changes:
- We will no longer communicate directly with employees regarding payroll-related matters.
- All requests or updates must be submitted by the business owner or an authorized contact listed on your account.
Policy Changes Effective August 1, 2025
Starting August 1, 2025, we will no longer accept direct deposit or bank account changes submitted via email. All updates involving sensitive information must be submitted through one of the following secure methods:
- Send Secure
- Online Forms
- PPX System
- Employee HUB Accounts
Handling Personally Identifiable Information (PII)
The protection of employee personal information—including Social Security numbers, banking details, and other Personally Identifiable Information (PII)—is of utmost importance. We require that all PII be submitted only through the secure methods listed above. This policy is part of our broader effort to maintain data integrity and help clients remain compliant with industry standards and regulations.
Need Help?
If you need assistance accessing PPX, setting up secure submission options, or have any questions about these policy changes, please contact our team at payroll@paysmartpa. com or 717-766-1777.
We appreciate your cooperation and continued partnership as we work together to maintain the highest standards of payroll security. Thank you for trusting PaySmart.