In Pt 2 we covered the steps to set up a clearing account, then entered banking for suppliers and employees, now to the final step.
Fifth – Enter and Pay Suppliers and Employees
Processing electronic payments is a two-step process:
- Entering the payment
- Processing the payment
Payments to be processed electronically and uploaded online are entered using the same steps as conventional payments.
The only difference is that when in Pay Bills, Pay Employees or Spend Money, select the Group With Electronic Payments option (located at the top left corner of the transaction window).
Once you have recorded all the supplier payments you want to pay electronically, you can prepare an electronic payment file which creates the ABA file.
- Go to the Banking command centre and click Prepare Electronic Payments. Or it will be a step in the Payroll process to select the Process Electronic Payments.
- In the Pay From Account field, enter your cheque account if not already selected.
- In the Select Payment By field, select the relevant payment type.
- Enter the other payment details as needed.
- Select the payments to be processed – this will place a tick in the far right column. The example below shows the Prepare Electronic Payments window with three payments selected for processing.
- Check all the payment details then click Bank File (Process in earlier software versions).
Note: The Bank Processing Date is the date upon which the bank will withdraw the money from your bank account and transfer it to the payees’ bank accounts. If the payment is post dated, the software will display an alert informing you to check your bank’s policy with regards to post dating electronic payments.
- Read the displayed alert then click OK. A standard Windows Save As window will be displayed.
- Navigate to the folder on your hard drive into which you want to save the ABA bank file, then click Save.
Note: It’s important you know which folder the ABA bank file has been saved in.
Open your bank software and import the ABA bank file. Please contact your bank for assistance with this.