Prenotifications for the US

Prenotes are Automated Clearing House (ACH) prenotifications. They are $0 ACH entries you send to a bank at least 10 banking days before sending the first live payroll credit.

The prenote validates the routing number and account number of the receiving bank or credit union.

Note: The following processes generate prenotes only when they detect changes to an employee's bank account info.They don't generate a prenote for a bank account that has already been verified with a previous prenote.

Configure the Organization Payment Method

To issue prenotes, you must first configure the following prenotification rules on the organization payment method (OPM) for Direct Deposit payment types. Use the Organization Payment Methods task.

Note: Prenotifications aren't supported for third parties.

Field name	What it does
Prenotification Required	Designates whether the prenotification process is required for employees.
Prenotification Amount	Default value for this field is $0.
Days	Number of days required for a prenotification wait period. The employee is paid by check until the waiting period is completed. For example, if the prenote wait period is 10 days and running a weekly payroll, depending on the timing employees might receive two paychecks before direct deposit starts. This is required if you are enabling prenotifications.

Field name

What it does

Prenotification Required

Designates whether the prenotification process is required for employees.

Prenotification Amount

Default value for this field is $0.

Days

Number of days required for a prenotification wait period. The employee is paid by check until the waiting period is completed. For example, if the prenote wait period is 10 days and running a weekly payroll, depending on the timing employees might receive two paychecks before direct deposit starts.

This is required if you are enabling prenotifications.

If a prenote is required for the OPM, the Make EFT Payments process sends a prenote entry with $0 in the direct deposit file (PPD) for all new hires and retirees. For a person's checking account, the prenotification transaction contains the transaction code of 23 in the entry detail record. For the person's saving account, the prenotification transaction contains the transaction code of 33.

You can create prenotes for existing people by assigning them a personal payment method with new banking info.

Generate a Standalone Prenote File

You can generate a stand-alone file that's not dependent on any payroll processes.

To create this file:

Start the Generate Prenote File process.

Set these parameter values.

Field name	What it does
Process Start Date Process End Date	Enter a date range that captures any account number changes or creations on the employee personal payment methods.
File Reference	By default, this process gives the first file it generates on a given date a file reference of A. It increments this value alphabetically for each subsequent run on that given date. Use this field to enter a single-character override. The value here applies only to that run.
Organization Payment Method	Identifies the OPM requiring this prenote. The OPM prenotification amount must be $0.
Process Configuration Group	Select a process configuration group if needed.