Electronic Payment Procedure

Home >> Procedures Summary

Electronic Payment Procedure

This electronic payment procedure is designed for those instances when a company wants to avoid making a payment in cash or with a check, and instead uses an ACH or wire transfer as the form of payment.

Authorize Payment (Payables clerk)

Print the scheduled electronic payment report. Have the controller review and approve the report.
If any items on the report are not scheduled for payment, designate them as such in the payables database.
Access the password-protected electronic payment module in the accounting software.
Set up preliminary authorizations for all approved items on the scheduled electronic payment report.
Print the preliminary electronic payment register and match it against the approved list. Adjust payments to match the approved list.
Authorize the electronic payments.
Print the final electronic payment register, staple it to the approved scheduled electronic payment report, and file the packet by date.

Authorize Large Payments (Controller)

Access the password-protected electronic payment module in the accounting software, using a supervisory password.
Review and approve all electronic payments above the approval threshold that are scheduled for payment.

Final Review (Assistant Controller)

At the end of each business day, match the amount of electronic payments as reported by the bank to the approved scheduled electronic payment report. Report any discrepancies to the controller.