Set Up Payment Sources in Organization Payment Methods for Mexico

This example demonstrates how to set up payment sources when creating organization payment methods for payroll processing. You set up payment sources on the Organization Payment Methods page.

In this example, the InFusion Mexico company pays its workers by Direct Deposit payments. The company sets payment rules to pay from two different banks based on the tax reporting unit (TRU). You need one method to pay by Direct Deposit in Mexican Pesos. There are three payment sources defined. One default payment source for Mexico, one source for payments in Sonora, and one source for payments in Chihuahua.

Summary of Tasks

This worked example includes details for the tasks you perform when creating organization payment methods:

1. Creating the basic details

2. Adding Direct Deposit file information

3. Setting up payment sources

4. Creating payment rules

Before You Begin

Before you set up the payment sources, complete these tasks.

1. Set up the primary ledger in Oracle Cloud General Ledger.

2. Set up the banks, branches, and account information to use as the payment sources in Oracle Cloud Cash Management.

3. Assign the legal entity associated with the legislative data group (LDG) to a general ledger.

4. Set up the TRUs.

How to Create the Basic Details

1. In the Payment Distribution work area, click Organization Payment Methods.

2. In the Search Results section, click Create.

3. Select the legislative data group, for example, Mexico LDG.

4. Select the date when you want this payment method to be available for use, and then click Continue.

   Tip: Select a date that's on or before the effective date of the payroll definition or other objects that use this payment method.

5. In the Basic Details section, complete the fields as shown in this table and then click Save.

   Field	Value
   Name	Payroll Direct Deposit Mexico
   Payment Type	Direct Deposit
   Currency	Mexican Peso

6. Click Save.

How to Add the Direct Deposit Information

When you select the Direct Deposit payment type, you can enter the Direct Deposit information at these levels:

• Organization payment method level

• Payment source level

• Both levels

Note: Direct Deposit information entered at the payment source level takes priority over information entered at the organization payment method level.

Perform these steps to create each payment source.

1. In the Payment Sources section under Payment Source Information, click Create.

2. On the Create Payment Source page, complete the fields in order, as shown in this table, and then click Continue.

   Field	Mexico Value	Sonora Value	Chihuahua Value
   Name	Payroll Direct Deposit Source MX	Payroll Direct Deposit Source SO	Payroll Direct Deposit Source CH
   Bank Account Name	National Bank of Mexico	Sonora Bank	Bank of Chihuahua
   Bank Reference	123456789	234567890	345678901
   Company Reference	456789012	567890123	678901234

   Tip: Keep your payment source names unique and as specific as possible for each scenario. This naming convention helps when managing complicated combinations of organization payment methods and payment rules.

How to Create Payment Rules

1. In the Payment Method Rules section, for Payroll Direct Deposit Source MX, ensure that the default setting is set to Yes.

2. In the same section, click Create and select the values shown in this table to create two payment rules that map a payment source to a TRU.

   Field	Sonora Value	Chihuahua Value
   Default	No	No
   Tax Reporting Unit	Sonora TRU	Chihuahua TRU
   Payment Source	Payroll Direct Deposit Source SO	Payroll Direct Deposit Source CH

3. Click Submit.