Beginning September 30, 2025, federal agencies will generally stop issuing paper checks for most disbursements to comply with Executive Order 14247. This includes tax refunds, Social Security benefits, and vendor payments.
Why This EO Matters
- Refunds and federal payments will require direct deposit or electronic options after September 30, 2025
- Payments to the federal government should be made electronically 'as soon as practicable'
- Government contractors should expect payments to move to electronic methods
Practical Implications
For most taxpayers and businesses, the shift is more of an administrative adjustment. Plan to provide direct deposit information when you file. Start familiarizing yourself with systems like Direct Pay or EFTPS for business payments.
Preparing for the Transition
Review your payment methods, make sure you can accept and send funds electronically, and watch for agency-specific guidance as the deadline approaches.
