Direct Deposit Export

You must create a data file to send to the bank for every payroll register that contains direct deposit entries.

• You can send a pre-notification to the bank to verify the employee’s direct deposit information before the employee receives the first direct deposit payment.

• The direct deposit export file can include both regular direct deposits and pre-notifications.

• The export file meets the Automated Clearing House (ACH) file formatting standards as described in the book titled, ACH Rules. These are the standards defined by National Automated Clearing House Association (NACHA) and are generally accepted for all ACH transactions.

Reversing the direct deposit

In the event of an emergency — for example when the direct deposit was sent to the bank, but you learned that there were mistakes in the register —  you will need to void the necessary checks, or the entire register, and run the Direct Deposit Export selecting Voided Only as the Entry Type parameter. This action will generate what is sometimes known as a reversal file that backs out the deposits in the bank. Following that action you will need to send a corrected Direct Deposit Export — effectively crediting the employee's bank account and debiting the district's bank account.

Before you create the direct deposit file:

1. Define the employer’s direct deposit bank as a vendor in Vendor Management.

2. Make sure you have edited and enabled the system deduction for direct deposit.

3. Set the values in Payroll Configuration. This step was probably completed during payroll module setup.

4. Print and verify all checks for the selected payroll register.

Report filters are:

• Cycle: Defaults to the current accounting cycle

• Payroll Cycle: Select one or more

• Payroll Register: Select one or more

• Entry types: Options are: regular and pre-notification, pre-notification only, regular only, and voided only

• File modifier: Defaults to A. This value is used in the data file header record, and the only time a value other than the default  should be used is when multiple files are sent out in one day. In this case, select the next letter in the alphabet to represent the subsequent order of the additional file.

• Creation date: Defaults to today's date. This value is used in record 1 for Creation Date and record 5 for Company Date. The effective date in the file remains the pay date form the payroll register.

Return to Manage Payroll Overview

Return to Payroll Exports Overview