Definition of payee
: one to whom money is or is to be paid The payee must endorse the back of the check.
Examples of payee in a Sentence
The payee must endorse the back of the check.
Recent Examples of payee from the Web
Moreover, only a tiny fraction of all people with mental illness who are at risk of suicide are Social Security disability beneficiaries with representative payees.
The site lets anyone search a database of every expenditure New York City has made this year by agency, contract number, payee name, purpose and amount.
These example sentences are selected automatically from various online news sources to reflect current usage of the word 'payee.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.
First Known Use of payee
Financial Definition of PAYEE
What It Is
The term "payee" refers to an individual or entity that will receive a payment. It can also be referred to as the beneficiary in situations that pertain to a benefactor.
How It Works
An example of a payee in a check is one whose name appears in the caption "Pay to the Order of" on most checks.
Why It Matters
The payee is the one with legal rights to a payment. It is therefore essential to decipher who the individual or entity is that is to receive payment in any financial transaction. In any contract of a financial transaction where it is unclear who the payee and payer are, the contract may be invalid or there may be provisions within the law about how to determine rights in such situations.
PAYEE Defined for English Language Learners
Definition of payee for English Language Learners
: a person or organization that receives money : a person or organization that is paid
Seen and Heard
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