Big changes are coming to the way the federal government sends out money.

Under Executive Order 14247, “Modernizing Payments To and From America’s Bank Account,” the U.S. Department of the Treasury will stop issuing paper checks for most federal payments and refunds starting September 30, 2025.

This means that whether you receive a tax refund, Social Security benefits, veterans’ benefits, or other federal payments, you’ll soon need to receive them electronically.

Why the Change?

The government’s goal is to modernize payments by:

• Increasing security – Paper checks are more likely to be lost, delayed, or stolen.
• Saving money – Electronic payments cost less to process than mailing physical checks.
• Faster access – Direct deposit and prepaid cards get money into your hands much quicker.

If you’re still getting paper checks, here’s what you should know:

• After September 30, 2025, paper checks will no longer be issued.
• You’ll need to set up a direct deposit into your bank account or enroll in a Treasury-approved electronic payment option.
• A small number of exceptions will be allowed (for example, people who truly cannot access electronic payments), but these will be rare and handled by the Treasury.

How to Prepare

• For tax refunds: Update your direct deposit information when you file your 2024 return, or confirm it’s correct if you already have it on file.
• For Social Security, VA, or other benefits: Sign up for direct deposit through your agency or consider enrolling in the Direct Express® Debit Card program if you don’t have a bank account.
• For federal contractors or vendors: Make sure your business banking information is current with the government to avoid delays in payments.

FAQ: What the End of IRS Paper Checks Means for You

Q: Will I still get a paper check for my tax refund?

A: No. Starting September 30, 2025, the IRS will stop sending refunds by paper check.

Refunds will only be sent electronically, such as by direct deposit into your bank account or to an approved Treasury debit card.

Q: What if I usually pay my taxes with a check?

A: The IRS is moving away from accepting paper check payments, too.

While the exact cutoff date for incoming check payments hasn’t been finalized, you should plan to switch to an electronic payment option such as:

• IRS Direct Pay (from your bank account)
• Electronic Federal Tax Payment System (EFTPS)
• Debit or credit card payments (where allowed)

​

Q: What if I don’t have a bank account?

A: If you’re unbanked or underbanked, you may qualify for an exception. One option is the Direct Express® Debit Card, which allows you to receive payments without a traditional bank account.

Treasury has said limited exceptions will be available, but they’ll be rare and require approval.

Q: Will this affect my 2024 tax return?

A: Refunds issued in early 2025 will still be processed normally. The change takes effect for payments issued on or after September 30, 2025.

That means when you file your 2025 return in early 2026, you’ll need to have direct deposit or another electronic method in place.

Q: What do I need to do now?

A: Provide your bank routing and account numbers to your tax preparer. If you usually mail a check to pay taxes owed, sign up for an IRS electronic payment option.

Ask questions early... don’t wait until the deadline.

Q: What if I need help making the switch?

A: We’re here to help. If you’re not sure how to set up direct deposit or electronic payments, just let us know during your tax appointment; we’ll walk you through your options and make sure you’re ready for the change.

You can also visit fiscal.treasury.gov or contact the agency that issues your specific payments to update your information directly.

Disclaimer: This blog is for informational purposes only. Always consult a qualified professional for specific guidance.While we aim to keep information accurate and current with 2025 regulations, be sure to review guidelines annually for updates as they frequently change.