ACH Fix - Manual ACH Entries

You can manually create an ACHClosed Automated Clearing House — An electronic network for financial transactions in the United States. Transactions within our software can be made by either check or ACH. file using the ACH Fix tab in order to:

  • Impound or refund a client
  • Send or reverse a direct deposit to an employee
  • Send a tax payment to an agency

You must create each side of the transaction separately. For example, in the case of a client impound, you have to create one entry to take the funds from the client's bank account and a second entry to put the money into the service bureau bank account.

 

See: Create Manual ACH Entry.

 

Table 2-42: Manual ACH Entry sub-page fields
Field Description
Company Select the appropriate company ID from this drop-down list to represent the company associated with this transaction.
Entry Date The effective date—the date that you want the ACH processor to process the transaction.
Entry Desc

Use this drop-down list to select the description for this ACH transaction. Valid entries are:

  • DirDep—Direct Deposit.

This is one choice for direct deposit transactions.

  • Reversal—Reversal.

This is another choice for direct deposit transactions.

  • TAXPAYMENT—ACH Credit Tax Deposit.

Select this for agency tax payments.

  • Transfer—Client-to-Service Bureau Transfer.

Select this for transactions affecting the client.
Discretionary Leave this field blank, unless your ACH processor requires information here (most do not).
ID Use this drop-down list to select the employee ID if your transaction is a DirDep or Reversal; otherwise, leave this field blank.
Transit #, Account

You can either enter the bank’s ABA number and account number, respectively, or select the appropriate transit/account number combination by clicking the browse ... button. The valid entries are the bank accounts that are defined under [company] > Company Maintenance > Master Company Setup > Bank Accts tab.

 

The account number is truncated in the table and hidden in the subtab. Select the Show Account check box to reveal the full number.

Trans Cd

Use this drop-down list to select the appropriate transaction code. PPDs are for employee Direct Deposit transfers and the CCDs are for company transfers. Valid entries are:

  • PPD22 — PPD (Direct Deposit), Checking Credit
  • PPD27 — PPD (Direct Deposit), Checking Debit
  • PPD28 — PPD (Direct Deposit), Checking Prenote
  • PPD32 — PPD (Direct Deposit), Savings Credit
  • PPD37 — PPD (Direct Deposit), Savings Debit
  • PPD38 — PPD (Direct Deposit), Savings Prenote
  • CCD22 — CCD, Checking Credit
  • CCD27 — CCD, Checking Debit
  • CCD28 — CCD, Checking Prenote
  • CCD32 — CCD, Savings Credit
  • CCD37 — CCD, Savings Debit
  • CCD38 — CCD, Savings Prenote
Amount Enter the positive dollar amount of the transaction. The Trans Cd field handles whether it debits or credits an account. (You do not need to enter a negative amount in order to debit an account.)
Addendum Use this field for tax payments to agencies that require addendum records, which further identify the specifics of the tax payments.

Create the ACH Fix File

After you have entered the records into the ACH Fix screen, create the ACH file by going to the ACH Warehouse and clicking the Create File button.

Note: A “best practice” is to communicate with the client that you will be debiting or crediting money from/to their account. You may want to create a form letter that you can send to them via e-mail, letting them know the draft effective date and the amount.

Make Service Bureau General Ledger Entries

Entering or creating an ACH Fix file does not create any entries in the service bureau general ledger. You must go to the Manual Journal Entries page (System > Controller > General Ledger > Manual Journal Entries tab) to record the transaction.

For more information on creating manual journal entries, see Posted Journal Entries.