Difference between revisions of "Accounts Payable ACH Setup Process"

Latest revision as of 12:03, 30 September 2026

General Information

Function: The Accounts Payable ACH process generates an ACH-formatted payment file, known as an AP EFT file, for each AP check paid. The file can then be saved and uploaded to your bank for payment processing.

This process includes vendor ACH data, the ACH Data Setup rule, checking account settings, and an email template.

Payment File Menu Location: Transactions > Accounts Payable > Generate AP EFT File

Common Uses

Set Up a Vendor for ACH Payments - Add the Vendor ACH/EFT Data attribute and enter the vendor's EFT/ACH information.
Set Up a Checking Account for ACH Payments - Configure the ACH Data Setup rule and the corresponding System Cash/Checking Account.
Generate an ACH Payment File - After creating an AP check and obtaining payment approval, generate an EFT file for upload to your bank.

Before You Begin

Identify the vendor and the checking account that will be used for ACH payments.
Have the vendor's EFT/ACH information available.
Confirm the appropriate file format with your consultant. The ACH Data Setup rule supports a Standard Entry Class (SEC) code or the AMEGY format.
Complete the initial setup below before generating a payment file.
Before generating the EFT file, the AP check must have been created and approved for payment.

Fields / Options

ACH Data Setup Rule

These fields are maintained in the ACH Data Setup rule.

Field / Option	Description	When to Use
GL Account	Specifies the checking account from which payments will be made.	Set this to the checking account being configured for ACH payments.
File Name	Specifies the name of the generated file.	Set this when configuring the payment file for the checking account.
Format	Specifies the Standard Entry Class (SEC) code used by the GL account. An AMEGY format is also available.	Use the format confirmed by your consultant. See the Nacha ACH File Details for information about SEC codes.
Batch Number	Identifies a group of transactions that the system processes and balances as a unit.	Set this as part of the ACH Data Setup rule.

Checking Account Settings

These settings are maintained in System Cash/Checking Accounts.

Field / Option	Description	When to Use
ACH Information	Stores the ACH information for the checking account referenced in the ACH Data Setup rule.	Complete this when setting up the account for ACH payments.
Check Forms	Specifies the check forms used for payments from the account.	Select the forms when configuring the checking account.
Check Numbers	Defines the check numbers used for generated checks. By default, check numbers increase by 1 with each ACH transaction processed in Adjutant.	Configure the check numbering before processing ACH transactions from the account.

Generate AP EFT File

Field / Option	Description	When to Use
Account	Selects the account from which payment will be made.	Select the checking account configured for the ACH payment.
Transaction Date	Automatically populates with today's date.	Review this before generating the payment file.
First Check Number	Automatically populates from the check counter on the selected checking account.	Review this before generating the payment file.
Vendor Information	Identifies the vendor for the AP invoice to be paid.	Enter this when preparing the vendor's payment file.
Generate EFT	Generates the EFT file that can be saved and uploaded to your bank.	Use after selecting the account and entering the vendor information.

How to Use

1. Add the Vendor's ACH Data

Open the Organizations screen and select the vendor.
If the vendor does not already have the Vendor ACH/EFT Data attribute, click the plus sign in the green box on the right and add the attribute to the record.
Save the newly added attribute.
Click the underlined Vendor ACH/EFT Data attribute to open the EFT Data screen.
Enter the vendor's EFT/ACH data and click Save.

2. Configure the ACH Data Setup Rule

Open Rule Maintenance.
Select ACH Data Setup - ACHDATA from the dropdown.
Select New Rule Details to add a checking account to the rule.
Complete the GL Account, File Name, Format, and Batch Number fields using the descriptions above.

See ACH Data Setup Rule for related setup information.

3. Configure the ACH Checking Account

Open System Cash/Checking Accounts.
Add the ACH information to the GL Account referenced in the ACH Data Setup rule.
Select the check forms to be used for payments from this account.
Define the check numbers to be used for generated checks from this account.

By default, check numbers increase by 1 with each ACH transaction processed in Adjutant.

4. Set Up the Email Template

The following screenshot shows the EFT email template setup.

5. Generate the AP EFT File

Confirm that the AP check has been created and approved for payment.
Open Transactions > Accounts Payable > Generate AP EFT File.
Select the account from which payment will be made.
Review the Transaction Date and First Check Number. These automatically populate with today's date and the check counter from the selected checking account.
Enter the vendor information for the AP invoice to be paid.
Click Generate EFT.
Save the generated file for upload to your bank.

Expected Results

After Initial Setup

The vendor has a Vendor ACH/EFT Data attribute containing the vendor's EFT/ACH information.
The ACH Data Setup - ACHDATA rule contains the checking account and payment file settings.
The corresponding System Cash/Checking Account contains the ACH information, check forms, and check numbering settings.

After Generating the File

An AP EFT file is generated that can be saved and uploaded to your bank.

File generation and upload to the bank are separate steps. Generating the file in Adjutant does not, by itself, confirm that the bank has received or processed the payment.

@@ Line 1: / Line 1: @@
 __NOTOC__
-===General Description===
+==General Information==
-A new Accounts Payable ACH process has been developed that sends an ACH formatted file per AP check paid. This process can also send a formatted email to the AP Contact of the check recipient, or a default email address of your choice. Below is a breakdown of the screens involved, and the required setup.
+'''Function''': The Accounts Payable ACH process generates an ACH-formatted payment file, known as an AP EFT file, for each AP check paid. The file can then be saved and uploaded to your bank for payment processing.
-===Screens Involved===
+This process includes vendor ACH data, the ACH Data Setup rule, checking account settings, and an email template.
-- Rule Maintenance
+'''Payment File Menu Location''': Transactions > Accounts Payable > [[Generate AP EFT File]]
-- Checking Accounts
-- Contacts
+==Common Uses==
-- Generate AP EFT File
+* '''Set Up a Vendor for ACH Payments''' - Add the Vendor ACH/EFT Data attribute and enter the vendor's EFT/ACH information.
+* '''Set Up a Checking Account for ACH Payments''' - Configure the ACH Data Setup rule and the corresponding System Cash/Checking Account.
+* '''Generate an ACH Payment File''' - After creating an AP check and obtaining payment approval, generate an EFT file for upload to your bank.
-===Required Setup===
+==Before You Begin==
-'''Rule Maintenance''':
+* Identify the vendor and the checking account that will be used for ACH payments.
+* Have the vendor's EFT/ACH information available.
+* Confirm the appropriate file format with your consultant. The ACH Data Setup rule supports a Standard Entry Class (SEC) code or the AMEGY format.
+* Complete the initial setup below before generating a payment file.
+* Before generating the EFT file, the AP check must have been created and approved for payment.
-First requirement is to setup the ACH Data Setup rule.
-'''GL Account''' - Here you will specify the checking account from which payments will be made.
+==Fields / Options==
-'''File Name''' - This is where you will specify the name of the file that is generated.
+===ACH Data Setup Rule===
-'''Format''' - This is currently built to handle Amegy Bank's format. Contact your consultant to discuss what is needed to generate a format for your specific bank.
+These fields are maintained in the [[ACH Data Setup - ACHDATA Rule|ACH Data Setup rule]].
-'''Default Email''' - Here you can specify a default email for the file to be sent to; the process will only send to this email address if there is no AP contact associated to the Company receiving the check payment.
+{| class="wikitable"
+! Field / Option
+! Description
+! When to Use
+|-
+| '''GL Account'''
+| Specifies the checking account from which payments will be made.
+| Set this to the checking account being configured for ACH payments.
+|-
+| '''File Name'''
+| Specifies the name of the generated file.
+| Set this when configuring the payment file for the checking account.
+|-
+| '''Format'''
+| Specifies the Standard Entry Class (SEC) code used by the GL account. An '''AMEGY''' format is also available.
+| Use the format confirmed by your consultant. See the [https://achdevguide.nacha.org/ach-file-details Nacha ACH File Details] for information about SEC codes.
+|-
+| '''Batch Number'''
+| Identifies a group of transactions that the system processes and balances as a unit.
+| Set this as part of the ACH Data Setup rule.
+|}
-[[File:AP_ACH_Data_Setup.png]]
+===Checking Account Settings===
+These settings are maintained in [[System Cash/Checking Accounts]].
-'''Checking Accounts:'''
+{| class="wikitable"
+! Field / Option
+! Description
+! When to Use
+|-
+| '''ACH Information'''
+| Stores the ACH information for the checking account referenced in the ACH Data Setup rule.
+| Complete this when setting up the account for ACH payments.
+|-
+| '''Check Forms'''
+| Specifies the check forms used for payments from the account.
+| Select the forms when configuring the checking account.
+|-
+| '''Check Numbers'''
+| Defines the check numbers used for generated checks. By default, check numbers increase by 1 with each ACH transaction processed in Adjutant.
+| Configure the check numbering before processing ACH transactions from the account.
+|}
-Next, navigate to the Checking Accounts screen, and add the ACH information to the GL Account you specified in the rule above.
+===Generate AP EFT File===
-'''ACH Name''' - The name of the Bank.
+{| class="wikitable"
+! Field / Option
+! Description
+! When to Use
+|-
+| '''Account'''
+| Selects the account from which payment will be made.
+| Select the checking account configured for the ACH payment.
+|-
+| '''Transaction Date'''
+| Automatically populates with today's date.
+| Review this before generating the payment file.
+|-
+| '''First Check Number'''
+| Automatically populates from the check counter on the selected checking account.
+| Review this before generating the payment file.
+|-
+| '''Vendor Information'''
+| Identifies the vendor for the AP invoice to be paid.
+| Enter this when preparing the vendor's payment file.
+|-
+| '''Generate EFT'''
+| Generates the EFT file that can be saved and uploaded to your bank.
+| Use after selecting the account and entering the vendor information.
+|}
-'''ACH ID''' - The associated ACH ID Number used to process the transactions.
-'''Next ACH Check Number''' - Enter the first check number to begin with. This will count up as checks are processed.
+==How to Use==
-[[File:AP_ACH_Data_Setup_Checking_Accounts.png]]
+===1. Add the Vendor's ACH Data===
+# Open the '''[[Organizations]]''' screen and select the vendor.
+# If the vendor does not already have the '''Vendor ACH/EFT Data''' attribute, click the '''plus sign''' in the green box on the right and add the attribute to the record.
+# Save the newly added attribute.
+# Click the underlined '''Vendor ACH/EFT Data''' attribute to open the '''[[EFT Data]]''' screen.
+# Enter the vendor's EFT/ACH data and click '''Save'''.
-'''Contacts:'''
+[[image:ap_ach_1.png]]
-The system will send the file in an email to the AP Contact associated to the recipient company. To make a contact an "AP Contact" simply navigate to the Contacts screen, and add the "AP Contact" attribute to the contact record.
+[[image:ap_ach_2.png]]
-[[File:AP_ACH_Setup_AP_Contact.png]]
+[[image:ap_ach_3.png]]
-===Generating A File===
+===2. Configure the ACH Data Setup Rule===
-'''Generate AP EFT File:'''
+# Open '''[[Rule Maintenance]]'''.
+# Select '''ACH Data Setup - ACHDATA''' from the dropdown.
+# Select '''New Rule Details''' to add a checking account to the rule.
+# Complete the '''GL Account''', '''File Name''', '''Format''', and '''Batch Number''' fields using the descriptions above.
-Once you have created an AP check and it has been approved for payment, navigate to the Generate AP EFT File screen by going to ''Transactions > Accounts Payable > Generate AP EFT File''.
+See [[ACH Data Setup - ACHDATA Rule|ACH Data Setup Rule]] for related setup information.
-Select the account from which the payment will be made. The Transaction Date and First Check Number will auto populate based on today's date, and the check counter from the Checking Account screen of the selected account. Then simply enter the Customer ID of the recipient company, and hit Generate EFT. A file will be generated and sent to either the email of the AP contact for the company, or the default email address in the rule.
+[[image:AP_ACH_rule_Setup.png]]
+===3. Configure the ACH Checking Account===
+# Open '''[[System Cash/Checking Accounts]]'''.
+# Add the ACH information to the '''GL Account''' referenced in the ACH Data Setup rule.
+# Select the check forms to be used for payments from this account.
+# Define the check numbers to be used for generated checks from this account.
+By default, check numbers increase by 1 with each ACH transaction processed in Adjutant.
+[[image:setup_ach_ss.png]]
+===4. Set Up the Email Template===
+The following screenshot shows the EFT email template setup.
+[[File:EFT.png]]
+===5. Generate the AP EFT File===
+# Confirm that the AP check has been created and approved for payment.
+# Open '''Transactions > Accounts Payable > [[Generate AP EFT File]]'''.
+# Select the account from which payment will be made.
+# Review the '''Transaction Date''' and '''First Check Number'''. These automatically populate with today's date and the check counter from the selected checking account.
+# Enter the vendor information for the AP invoice to be paid.
+# Click '''Generate EFT'''.
+# Save the generated file for upload to your bank.
 [[File:AP_ACH_Setup_Generate_AP_EFT_File.png]]
+==Expected Results==
+===After Initial Setup===
+* The vendor has a '''Vendor ACH/EFT Data''' attribute containing the vendor's EFT/ACH information.
+* The '''ACH Data Setup - ACHDATA''' rule contains the checking account and payment file settings.
+* The corresponding '''System Cash/Checking Account''' contains the ACH information, check forms, and check numbering settings.
+===After Generating the File===
+An AP EFT file is generated that can be saved and uploaded to your bank.
+File generation and upload to the bank are separate steps. Generating the file in Adjutant does not, by itself, confirm that the bank has received or processed the payment.
+==Related Topics==
+* [[Organizations]]
+* [[EFT Data]]
+* [[ACH Data Setup - ACHDATA Rule|ACH Data Setup Rule]]
+* [[Rule Maintenance]]
+* [[System Cash/Checking Accounts]]
+* [[Generate AP EFT File]]
 [[Category:Accounts Payable]]