ACH Universal is client-side software to originate
ACH files. Below are 5 tips that many of our clients, both first
time and experienced ACH users, have found helpful.
1. Excel - limited to 15 digits of significance
Excel is an excellent file format to use, but remember that Excel
can only handle 15 digits of significance.
After 15 digits, Excel goes into scientific notation. While rare,
this can come into play in the account number field, which accommodates
up to 17 positions. If you have an account number exceeding 15 digits,
it will be incorrect.
What's the solution?
Either:
--format the account number as a text field in Excel by including
a leading apostrophe in the cell, or
--use a csv (comma delimited format) for intermediate use.
2. Use your bank, not a processor whenever possible
If you have an existing relationship with a bank, check with them
before you search elsewhere for ACH service.
By using your bank, you can:
typically get lower rates
- use offsetting balances in your disbursement and savings accounts
as a method of increasing your ACH 'float' limit
- use your good banking history in the underwriting process
- centralize your treasury management processes- you may also
be participating in online or positive pay services - now or in
the future.
Rates - As an example:
Participating in direct deposit through QuickBook's processor Intuit
- will cost 99 cents per payment (starting at the 1st employee).
Most national banks charge approximately 12 to 14 cents for this
transaction.
3. Obtain an ACH solution which meets your current and future
needs
What to look for (either built in, or upgrade path):
Infrastructure
- Portable - to a multi-user platform, such as SQL Server
- Secure, Audit Trail that meets auditor specifications - ability
to edit untransmitted records, but locks down records already
transmitted
- Segregation of Duties - provide utilities for corporate treasury
departments to read ACH files in 'human readable' format, such
as ACH2Excel.
- Fully automated - imports source files, processes them, transmits
to bank, and archives the source and ACH file without manual intervention.
Emails a confirmation to your staff.
ACH Features
- an EDI engine for CTX payments - CTX format
- ability to create tax payments with the TXP formatted addenda
record
- import an ACH Return file and resubmit as needed
- Accommodate additional 'SEC' (Standard Entry Class) codes, such
as ARC, BOC, POP, RCK, TEL and WEB.
Ease of use features
--copy and paste from Excel, or simply import any spreadsheet or
csv file
--individual notification emails to employees, customers or vendors
of upcoming transactions
4. Automate - Import, don't input.
 Use
ACH Universal to create transactions that are already in electronic
format - whether in Excel, csv (comma delimited), a database - or
in an accounting package.
Import the list of transactions into ACH Universal. Do not retype
them into a processor's web portal - or anywhere else.
Our Software Integration Kit (SIK) has been developed for accounting
software developers and other third party developers (including
end-users) who are looking to integrate Treasury Software applications
into a seamless and automated process for their users.
The Software Integration Kit (SIK) is accessible as a "point
and click" feature from the program's main menu. No programming
skills are required.
5. Your debit is their credit
 Golden
rule: Think in terms of your general ledger cash account. If you
want to increase your G/L's cash account - create a debit.
Remember: Think 'centric' to your books - not the bank's.
Debits increase G/L cash - ie. collections from customers. ACH Universal
shows as positive
Credits decrease G/L cash - ie. payments to vendors employees. ACH
Universal shows as negative.
Want to import a file containing vendor payments? Import a file
into ACH Universal with the dollar amount shown as a negative -
or simply map the amount field as 'Amount_Reverse_Sign'.
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