I'm filling out a direct deposit for a new job and it's asking me, "How would you like to allocate funds?"
The options that are given to me are percent of net pay, remaining balance, and specific dollar amount.
What does all of those mean?
Leah: It means just what it says. If you put 50% of net pay, then half of your paycheck will be sent to the account. If you pick remaining balance, all of your paycheck that isn't going elsewhere will be deposited. If you pick a specific dollar amount, that amount will be deposited.
Assuming that you want all of your pay to go to the same account, pick the remaining balance option or specify 100% of net pay.
I like to divert 5% of my net to my savings account with the remainder to my checking account. That forces me to save.
You can choose to have all or a part of your pay direct deposited. If you choose only to have part direct deposited, then you specify whether you want a specific dollar amount deposited, or a percentage of your pay deposited. (I would suggest that the best plan is to have it ALL direct deposited.)
Some people put maybe 10% of their pay into a savings account, the other 90% in checking or on a debit card.
You can have part of your pay go to a savings account and part to checking. If you just want it sent to checking, put 100%.