What factors go in to calculating the cost per check issued? I would like to let my management staff know how much it costs to produce each check we use to pay our vendors.


The answer depends first on your definition of cost per check issued – do you mean just the cost of the check preparation/signing/issuing (with associated bank costs) or do you mean the entire soup-to-nuts accounts payable cost to pay a vendor? Assuming you mean the former, factors include ---material costs such as check stock,toner, the labor costs for printing, bank fees for disbursement accounts, positive pay cost and the transaction cost (i.e. fee for clearing a check).

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