Paying Vendors by ACH

If a vendor prefers to be paid by ACH, users can configure this preference on the Vendor record by changing the Payment Method to ACH. In addition to setting the Payment Method on the Vendor record, the ACH Report type must also be selected on the Bank record. 

When a payment is created for the vendor, the payment run generates an ACH file which can then be sent to the vendor's bank for processing. If an ACH file was not exported at the time of the payment run, it can be exported using the ACH Export in My Reports. Restaurant365 is also capable of producing positive pay exports. Click here for information on the Positive Pay report.

Although most banks allow for ACH upload, please contact your organization's bank to ensure that the account type is compatible with ACH uploads. Restaurant365 recommends sending your bank representative a sample of the available ACH report types. 

Prepping the Vendor Record for ACH

On the Vendor Additional Info tab of the Vendor record, set the Payment Method to ACH and complete the following fields:

• Bank Account Type

• Bank Account Number

• Routing Number

Prepping the Bank Record for ACH

The ACH Report field on the Bank record informs the software of the specific NACHA file format that should be used when exporting ACH payment files. Use the following logic to choose the option that best fits your organization:

1. If your organization's bank appears in the ACH Report drop-down, select the option for your bank. 

2. If the bank requires a balanced NACHA file, choose ACH with Offset.

3. Otherwise, select ACH Export (default) 1. This is the national standard used by most banks. 

Sample ACH Exports

The following table contains a few examples of ACH exports. These exports were produced using the following sample data:

Vendor Name: Beverage Vendor 

Vendor Bank Account Number: 999999999

Vendor Routing Number: 555555555

Payment Date: 05/02/2024

ACH Generation Date (Date Check Run was performed): 05/02/2024

Bank Routing Number: 123456789

Record Types: Varies depending on the bank and their coding preferences.

Checking Account: 1020 - Checking 1

Bank: Credit Union

Next Check Number: 516

Total Check Run (1 check): $615.87

Location: Location 100

Legal Entity: Legal Entity 1

Legal Entity Tax ID (EIN) Number: 777777777

*Right-click the link and select Save As to save the .txt file to your device.