ACH Direct Deposit™ creates a NACHA file for the transfer of funds from the company's bank account to the bank accounts of employees and vendors. The NACHA file must be submitted to a vendor that processes such transactions.
After the file is created, a dialog box will open asking if the file was created properly. This gives you the opportunity to review the file. If No is selected, the EFT payees will remain in the list and the amounts will remain in the Liability Account. If Yes is selected the entries will be posted as follows:
If Summarize net is NOT selected, each individual EFT transaction will be posted as a debit to the account selected in the direct deposit payroll item. It will be posted as a credit to the selected bank account after the NACHA file is created.
If Summarize net is selected, each individual EFT transaction will be posted as a debit to the account selected in the direct deposit payroll item. It will be posted as a credit to the selected Net Offset Account. An additional transaction will be created to credit the bank account and debit the Net Offset Account for the total amount of the transaction.
Prefunded or Escrow Account
If an escrow or prefund account is used, enter all checks in the client's Bank Account.
Select Use escrow account.
Select the Escrow Account from the drop-down list.
Enter the Effective Date for the transfer to the escrow account.
The program will create two separate files. One file will have the word Escrow appended to the end of the file name. This file will have one transaction which will deposit the total amount selected from the checking to the escrow account using the Effective Date entered at the bottom of the window. The second file will have the words Dir Dep appended to the end of the entered file name. This file will transfer amounts from the escrow account to the individual employee bank accounts using the Effective Date entered at the top of the window. In the following screenshot, the File Name that was entered in the ACH Export window is 2015 0515 payroll. The two files the program created are named 2015 0515 payrollDir Dep and 2015 0515 payrollEscrow.
Undo NACHA file
If the payroll needs to be changed after the NACHA file has been created, but BEFORE it has been accepted and finalized, Undo the NACHA file.
Select Activities>ACH Direct Deposit.
Select the desired batch from Undoby batch drop-down list and click Undo. Only the last file created will be available to Undo.
All EFT transactions associated with the selected batch will become available again for selection to create a NACHA file. Edit the payroll as necessary and create a new NACHA file to be transmitted.