TIME FOR SPRING CLEANING!


Reduce clutter and save yourself time by using the Direct Deposit option in FA² for your employees’ pay. It is easy to set up and use.

Here’s how to get started:

1. Make Arrangements with your bank.
a. FA² creates an ACH formatted direct deposit file with each payroll that you will send to the bank.
b. Ask the bank representative to help you complete the NACHA Information form. This information is entered into FA² in order to create your direct deposit file. You can print a copy of this form from the NACHA file maintenance option in System Configuration. An example of this form is located on page PR6-2 in the FA² user manual.

2. Enter NACHA information into FA².
a. Go to System Configuration in the Management menu.
b. Select NACHA File Maintenance from the PR Options.
c. Enter the file header, batch header, and user information. Detailed instructions are located on pages PR6-4/6 in the FA² user manual.

3. Collect Employee Information.
a. Each employee can elect to deposit pay in up to six accounts, which can be divided on a dollar amount or percentage basis.
b. You can run one payroll for both direct deposit and non-direct deposit employees.
c. Collect a blank voided check or deposit slip for each of the employee’s bank accounts. Be sure the employee indicates how much should go into which account. Keep the voided checks or deposit slips in the employee’s file.

4. Enter the employees’ bank information.
a. Locate an employee in Create and Edit employees and select the Direct Deposit Tab.
b. Enter DD in the deposit sort tab.
c. Select the amount or percent radio button.
d. Enter the bank information for each bank. See pages PR6-6/8 for in the FA² user manual for more detail.
e. You can add bank routing numbers as you enter each employee. FA² saves this information so that you can browse for a bank number that has already been used. This will save you data entry time.
f. Mark the pre-note column on each item. This allows you to create a test or pre-note file to send to the bank prior to running your actual payroll. Until the prenote mark is removed, your employees will continue to receive paper checks. Please see step 6 or pages PR 6-9/10 in the FA² user manual.

5. Create a Pre-Note test file to send to the bank.
a. Go to the payroll reports from the payroll menu.
b. Select Master Lists and Magnetic Pre-Note.
c. The pre-note file will be created on your C drive unless otherwise indicated. If you need to send the file on a disk, change the path to say A:\PRENOTE.DAT. Many banks allow you to upload the file to them on their websites. You can upload directly from the C drive.
d. Select Generate File. This will create the file to be sent to the bank.

6. Clear the pre-note box After the bank approves your pre-note file.
a. Be sure you have a recent back up of your FA² data.
b. Go to the Payroll Utilities option in the Payroll menu.
c. Open the Clear Payroll information selection.
d. Choose PreNote.

7. You are now set up to use the direct deposit feature for your payroll.
a. Print employees’ deposit slips after print employees’ paychecks in step 6 of the pay cycle.
b. Run the Check Deposit Slip Register.
c. Generate the Magnetic Direct Deposit file.
i) Select Print Optional Reports and choose Magnetic Direct Deposit.
ii) Check the effective entry and file creation dates. The effective entry date is the same as the check date. The file creation date defaults to the current date. Change the file creation date if you are processing the file more than two days ahead of the effective entry date.
iii) Print and review the report.
iv) Generate the file on your C drive or on a disk.

8. Helpful Hints.
a. Make a copy of the direct deposit file you send to the bank.
b. ALWAYS make a back up prior to ending pay cycle. Do not overwrite this back up until you receive confirmation from the bank that file went through successfully.
c. Create a pre-note file for employees as they are added to the direct deposit option.
d. More information about Direct Deposit can be found in the FA² user manual.
e. Contact our support department if you have any questions or need any help.