1. Administering Payroll for the United States
  2. Employee and Third-Party Check Payments for the US

Employee and Third-Party Check Payments for the US

Use the Generate Check Payments for Employees and Third Parties process to generate check payments.

This process creates check payments for employees and third parties who:

  • Are included in the prepayments process for a given payroll

  • Are using the Check payment method

You must run this process standalone. It isn't part of the US Simplified Payroll Cycle flow. That flow uses the Generate Check Payments process. The Generate Check Payments process doesn't support third-party checks. For further info, see Payroll Payments Distribution for the US in the Help Center.

You have several options when it comes to generating check payments.

What you want to do

How you do it

Generate check payments

Run the Generate Check Payments for Employees and Third Parties process. This generates your checks for employees. Run the process again to generate checks for your third parties. Use Payee Type while running this process to select the appropriate payee.

For further info, see Generate Check Payments for Employees and Third Parties for the US in the Help Center.

Combine multiple employee deductions into a single payment

You might have multiple employee deductions being made to the same third-party payee, such as multiple child support orders. In this case, rather than make separate payments for each employee deduction, use the Third-Party Payments Rollup process to combine the deductions and make a single payment.

Exclude a third party from the rollup process

There are cases where you want to exclude a third party from the Third-Party Rollup process, such as if they want an individual check per payment.

Select Exclude from Third-Party Rollup Process on the Third-Party Payment Methods task.

Deliver payments on a date other than the employee payment date

A third-party payee might want the payments on a date that's different from the employee payment date. To do this, you apply a time definition to the third-party payment method.

For example, you can make employee payroll payments on the last day of the month and then, make third-party payments 5 days later.

To do this:

  1. Use the Time Definitions task to create a time definition for a 5-day time span.

  2. On the Third-Party Payment Methods task, select this time definition in Time Definition.

  3. Enter the relevant process dates.

  4. Run the prepayments process with an appropriate process date.

    The payments process runs twice, once for the process date and once for the deferred date.

    For example, if you entered a process date of June 30:

    1. It runs once for the employees with a process end date of June 30.

    2. It runs again for the third parties with:

      • Process end date of July 05

      • Payment date override of July 05

Use a bank-specific check template

Different banks might require different check templates. The predefined template supports printing checks on 8.5 x 11 stock paper with the stub on top of the page and the check on the bottom third.

To accommodate this requirement:

  1. Create a report category for each separate bank and check template.

  2. Select this report category for the requisite bank's payment source so that the process uses the correct check template to generate the check payments.

  3. Use the Organization Payment Methods task to define the payment source for third-party payments.

    Attach the correct report category for that payment source.

  4. Use Report Category for Third-Party Payee or Report Category for Worker in the Payee info section of the Create Payment Source page.

For further info, see Configure Check Templates for the US in the Help Center.

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