Pre-Notes for EFT

To verify the electronic funds transfer files, the first payroll or A/P payment calculated with electronic funds transfer creates a check and a Pre-Note $0.00 amount record that is sent to your financial institution. When the next payroll or payment is calculated for the employee or vendor, the normal record is created and sent. No check is created, only the voucher will print. (This payroll or payment must be three banking days after the Pre-Note.)

  • Direct Deposit: The pre-note function is based on the last changed setting in either the Maintain>Payroll>Direct Deposits or by the Administrator using Organization>Set Up Modules>Electronic Funds Transfer - Bank Information Tab.
  • A/P Electronic Payments: The pre-note function is based on the last changed setting in either the Maintain>Accounts Payable>Vendors - Payment and Terms Tab or by the Administrator using Organization>Set Up Modules>Electronic Funds Transfer - Bank Information Tab.

Examples of When the System Generates Pre-Notes

Listed below are examples of what will cause the system to generate a pre-note (unless Disable Pre-Note has been selected):

  • The system will generate a pre-note, and create checks the first time you use the direct deposit module. The direct deposit file must be created in order for vouchers to print the next time payroll is processed.
  • Creating a direct deposit file before 3 banking days have passed from the previous date you created a file, will cause the system to create a pre-note.
  • When specific changes are made to an employee’s direct deposit setup information the employee will receive a pre-note and check instead of a voucher. The changes in an employee’s direct deposit setup information that will generate a pre-note are:
    • Changes to bank routing number information.
    • Changes to bank account number.
    • Addition of bank account information.
    • Bank account type.

    • In this example, changing one employee’s setup information will only cause the one employee to receive a pre-note and check. The remaining employees without changes will receive vouchers.

  • Adding a new employee will generate a check and pre-note for the first payroll for that employee.