Set up to make standard ACH payments

Make standard ACH payments to vendors and employees.

Before you begin

Before setting up standard ACH for your company:

  1. Sign up for ACH payments with your bank.

  2. Request information from your bank about how to set up to make ACH payments.

    You'll need this information, typically found in an ACH specification sheet, to fill out the fields on the setup pages.

  3. Contact your Sage Intacct administrator and get the permissions required to set up standard ACH.

    Application permissions
    Application Required permissions

    Cash Management

    ACH bank configuration: List, View, Add, Edit,

    : List, View, Add, Edit

    Accounts Payable

    Vendors: Bank details

    Company

    Employees: Bank details

Create an ACH bank record

Create an ACH bank record in Sage Intacct on the ACH bank configuration page. This bank record contains banking information about how the bank formats standard ACH payments.

Set up checking accounts to make standard ACH payments

Associate one or more checking accounts with the ACH bank record.

Subscription

Cash Management

User type

Business, Project Manager
Permissions

: List, View, Add, Edit

  1. Go to Cash Management > All or Setup > Accounts > Checking.

  2. Find the account you want to set up ACH payments for.

  3. Select Edit at the end of the row.

  4. On the Bank file tab select Enable ACH payments.

  5. In the ACH setup section, select the ACH bank ID of the ACH bank record you created.

    After you select the ACH bank ID, much of the remaining information is prefilled based on the information supplied in the bank record.

  6. As a best practice, select Use the recommended setup in the Payment numbering setup section.

    This setting enables you to generate the most common type of ACH payment file (service class code 220) and automatically sets up numbering sequences for standard ACH payments.

    Clear the Use the recommended setup check box in the following circumstances:

    • Your bank requires service class code 200, a format that allows both credits and debits.

      From the Service class code dropdown list, select 200 (credits only). Service class 200 will be used for compatibility with your bank, but the payment file will continue to contain only credits.

    • To override default numbering sequences.

  7. If you're not using the recommended setup, enter numbering sequence information.

  8. Select Save.

  1. Go to Cash Management > All or Setup > Accounts > Checking.

  2. Find the account you want to set up ACH payments for and select Edit.
  3. On the Bank file tab select Enable ACH payments.

  4. In the ACH setup section, select the ACH bank ID of the ACH bank record you created.

    After you select the ACH bank ID, much of the remaining information is prefilled based on the information supplied in the bank record.

  5. As a best practice, select Use the recommended setup in the Payment numbering setup section.

    This setting enables you to generate the most common type of ACH payment file (service class code 220) and automatically sets up numbering sequences for standard ACH payments.

    Clear the Use the recommended setup check box in the following circumstances:

    • Your bank requires service class code 200, a format that allows both credits and debits.

      From the Service class code dropdown list, select 200 (credits only). Service class 200 will be used for compatibility with your bank, but the payment file will continue to contain only credits.

    • To override default numbering sequences.

  6. If you're not using the recommended setup, enter numbering sequence information.

  7. Select Save.

Enable setup

Enable setup section field descriptions
Field Description

Enable ACH payments

Select this option to enable your bank account to make standard ACH payments.

After you select this option, the ACH setup section appears where you can provide a routing number, account number, and specify an account type.

Enable bank file payments

Enables international bank accounts for use with bank file payments.

None

This is the default option. No ACH or bank file payments are enabled.

ACH setup

ACH setup section field descriptions
Field Description

ACH bank ID

The ID of the bank record associated with this bank account.

Learn more about ACH bank configuration.

Company name

Prefilled with your company name, as specified on the ACH Bank record.

If you’ve more than one with the bank, the bank might request that you enter a different company name for each account. This is the name that appears on the recipient's bank statement.

Company identification

Prefilled with your 10-digit company ID (including hyphens), as specified in the ACH Bank record.

If you’ve more than one with the bank, the bank might request that you enter a different ID for each account.

Originating financial institution

Prefilled with the first 8 digits of your bank's routing number, as specified in the ACH Bank record. You do not need to change this number.

Company entry description

Optional text (up to 10 characters) that can be included with payments. Some banks might require that this field be left blank.

Company discretionary data

Type in up to 20 characters of additional information. Typically this will consist of codes that describe any special handling of entries in this summary payment. These codes will be unique to your bank.

Payment numbering setup

Payment numbering setup section field descriptions
Field Description

Use recommended setup

Enable Intacct to generate the most common type of ACH payment file (service class code 220) and automatically sets up numbering sequences for standard ACH payments. To override the default numbering sequences, clear the Use recommended setup checkbox, then make your changes the Payment numbering setup section.

Most banks expect to receive files that use service class code 220, which is a type of ACH payment file that contains only payments (credits).

If your bank requires service class code 200, a format that allows both credits and debits, clear the Use recommended setup checkbox. From the Service class code dropdown list, select 200 (credits only).

Service class 200 will be used for compatibility with your bank, but the payment file will continue to contain only credits.

Batch number

Required if the Use recommended setup checkbox is cleared.

Unique numbering sequence used to automatically number payment batches. Numbers must be 7 digits with no prefixes or suffixes.

When creating the Sequence ID, incorporate the bank name (such as "MyBank_ACH_Batch") to distinguish this batch from other batches.

Trace number sequence

Required if the Use recommended setup checkbox is cleared.

Created by concatenating the bank's routing number with a unique numbering sequence. Numbers must be 7 digits with no prefixes or suffixes.

You can use the same pattern as for summary numbers, but be sure to create a unique sequence with a different Sequence ID, such as "MyBank_ACH_Payment".

Payment number sequence

Required if the Use recommended setup checkbox is cleared, but you can re-use the trace number. You can create a unique payment number sequence to post confirmed payments to AP. Or, you can choose to use the same number sequence that you selected for the trace number.

Set up vendors and employees to receive standard ACH payments

Select the vendors or employees that can be paid via standard ACH and provide their bank account details.

View field descriptions.

Update information for multiple records at once by importing vendor ACH information or importing employee ACH information.
Subscription

Accounts Payable

Time

Expenses

Time & Expenses
User type

Business, Project Manager
Permissions

Accounts Payable

Vendors: List, View, Add, Edit, Bank details

Expenses

Employees: List, View, Add, Edit, Bank details
  1. Go to the Vendors or Employees list, based on the record type you want to update.

    • For vendors: Go to Accounts Payable > All > Vendors.

    • For employees: Go to Expenses > All > Employees.

  2. Find the record that you need to update.

  3. Select Edit at the end of the row.

  4. Select the tab with the information you need to update, as follows:

    • On the vendor record, select the Bank file tab.

    • On the employee record, select the Reimbursement information tab.

  5. Select Enable ACH payments.

    The ACH payments section appears.

    For security reasons, there are separate permissions for vendor payment information. Ask your administrator for permissions for Bank details in either Accounts Payable or Time & Expenses.

  6. Enter the Routing number, Account number, and Account type.

  7. From the Account classification dropdown list specify whether the account is a personal or business account.

    • If the vendor is an individual contractor using a personal account, select Personal (PPD).
    • For business accounts, find out from your bank whether to select Business (CTX) or Business (CCD).

  8. Select Save.

  1. Edit the vendor or employee record.

    • For vendors: Go to Accounts Payable > All > Vendors.

    • For employees: Go to Expenses > All > Employees.

  2. Select Edit next to the record you want to update.
  3. Select the tab with the information you need to update, as follows:
    • On the vendor record, select the Bank file tab
    • On the employee record, select the Reimbursement information tab

  4. Select Enable ACH payments.

    The ACH payments section appears.

    For security reasons, there are separate permissions for vendor payment information. Ask your administrator for permissions for Bank details in either Accounts Payable or Time & Expenses.

  5. Enter the Routing number, Account number, and Account type.

  6. From the Account classification dropdown list specify whether the account is a personal or business account.

    • If the vendor is an individual contractor using a personal account, select Personal (PPD).
    • For business accounts, find out from your bank whether to select Business (CTX) or Business (CCD).
  7. Select Save.

ACH payments

The following section appears after you select Enable ACH payments.

ACH payments field descriptions
Field Description

Routing number

Required for standard ACH.

The routing number of the account where the vendor will receive payments.

Account number

Required for standard ACH.

The account number of the account where the vendor will receive payments.

Account type

Required for standard ACH.

Choose either or savings account.

Account classification

This field is only used for standard ACH payments.

Specify whether the vendor account is a personal or business account. For business accounts, select the classification code that your bank uses for ACH payments made to business accounts. This determines how line items in a payment file are tagged for processing by the bank.

  • If the vendor is an individual contractor using a personal account, choose Personal (PPD).
  • For business accounts, find out from your bank whether to choose Business (CTX) or Business (CCD).

Give permissions to users who process standard ACH payments

Edit the permissions for any user who will be processing standard ACH payments.

Subscription

Cash Management

User type

Business
Permissions

ACH file generator: Run

ACH payment file: List, View, Export, Confirm, Void, Delete