Issue
When I set up the employee's direct deposit, I didn't check the option to "Include prenotices only. The employee is selected for prenotice. Will the employee be included in the ACH file?
Explanation
Yes, the employee will be included in the ACH file.
If you're running a normal payroll run and an employee is set to prenotification status, the system will include the prenotification routing and accounting information with the direct deposit file.
The reason why you would select the Include prenoticies only checkbox is to create a file between processing payroll so the bank can verify the routing and account information before you process the next payroll. It the prenoticies are processed early enough, you can switch the employee status from prenotice to active so the employee can use direct deposit to deposit their payroll check.
Most banks need time to verify a new direct deposit request. We recommended sending a new direct deposit employee through a regular payroll run
with the employee's direct deposit status set to prenotification, and
printing a paper payroll check for the employee.
Solution
When the bank verifies the employee's direct deposit information change the employee direct deposit status from prenotification to active. The employee will be included in the ACH file.
202305 2023Mar28
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