Defining the Payroll Processing Rules

The Payroll section on the Credit Union Profile – ACH/Payroll tab contains the credit union’s payroll processing options. To access the Credit Union Profile - ACH/Payroll tab, under Administration on the Portico Explorer Bar, click Profiles. On the Profiles top menu bar, click System, then click Credit Union. The Credit Union Profile window appears. Click the ACH/Payroll tab.

Portico use the following fields and check boxes in the ACH Payroll section on the ACH/Payroll tab for payroll processing:
Field/Check Box	Description
Branch	The credit union branch where positive payroll rejects are reported. Used for branch level payroll reporting. A valid branch number is 000 through 099. The default is the main office branch 000. Length: 3 numeric (Portico Host: 908 Transaction - BRANCH field)
Purge Days	The number of days (1-999) prior to quarter-end the system will check a payroll record for activity. If a payroll posting has not occurred, the system will purge the payroll record at quarter-end. Length: 3 numeric (Portico Host: 908 Transaction - ACT PURGE DAYS field)
Use Description	If the checkbox is selected, the system will print the description specified in the Statement Message field on the Payroll Posting Summary window on the member's statement. On IRA distribution payrolls, the payroll description is required. The description specified in the Statement Message field on the Payroll Posting Summary window will print even when this checkbox is not selected. (Portico Host: 908 Transaction - USE PR DESCPTN field)
Multiple Member Maintenance	If the checkbox is selected, the credit union uses the Payroll Deduction Maintenance window for exception payrolls. This window allows the user to enter a list of deductions for an exception payroll as opposed to changing existing amounts on the Payroll Group Details window. (Portico Host: 908 Transaction - MULT MBR PR MTN field)
Transmit to Sponsor	No longer available.
Loan Priority Post	If the checkbox is selected, the credit union has access to the New Loan Payroll Priority checkbox on the Loan Profiles – Account Information tab. Using the New Loan Payroll Priority checkbox specific loan types may be forced to the bottom of the distribution list on the Member Payroll Maintenance dialog box when a new payroll-paid loan is added. If the New Loan Payroll Priority checkbox is selected, new payroll-paid loans with the same frequency as the payroll will be prioritized last on the Member Payroll Maintenance dialog box, unless the priority is changed on the New Loan – Payroll Information window. If the New Loan Payroll Priority checkbox is not selected, new payroll-paid loans are prioritized before all other types of distributions and may be manually changed. System default. (Portico Host: 908 Transaction - LOAN PR POST field)
Post Online	If the checkbox is selected, the credit union allows late ACH, exception, and positive payrolls to be posted online. If the checkbox is not selected, all payrolls are posted in the back-office cycle. (Portico Host: 908 Transaction - POST ONLINE field)
Post Online Teller ID	The teller ID to be used for online posting of payrolls. This teller ID must be opened on the system to perform the financial transactions. Length: 2 alphanumeric (Portico Host: 908 Transaction - ONLINE TELLER field)
Allow Adjustments to Distribution Holds	If the checkbox is selected, the credit union allows tellers to modify the distribution hold amount specified in the Distribution Pending field on the Member Payroll Maintenance dialog box for members when the payroll deduction is posted online due to a late effective date. The Post Online checkbox must be selected. Portico places a temporary hold for the total amount of distributions. The hold will be released prior to the cycle and the payroll distributions will be posted before any other share draft activity in the batch cycle. Changes made to the distribution hold amount are immediately reflected in the available balance on the Account Information - Overview tab, and in the payroll distribution hold amount on the Available Funds Summary tab and Shares – Holds Detail tab. (Portico Host: 908 Transaction - DIST HOLD OPTN field)

The Credit Union Profile – Loans tab contains additional payroll processing options. For payroll-paid loans, Portico uses the Payment Method field in the Loan Options section on the Credit Union Profile – Loans tab:

Field/Check Box	Description
Payment Method	Indicates the default method of payment for the loan on the New Loan - Setup tab. The valid options are: C - Cash P - Payroll deduction. System default. S - Payroll deduction. The New Loan – Payroll Information tab appears automatically. A - Automatic transfer. The Supported field in the Auto Transfer section on the Credit Union Profile - Loans tab must specify Y. This is a branch-level field. (Portico Host: 902 Transaction - PMT METH field)

Field/Check Box

Description

Payment Method

Indicates the default method of payment for the loan on the New Loan - Setup tab. The valid options are:

C - Cash

P - Payroll deduction. System default.

S - Payroll deduction. The New Loan – Payroll Information tab appears automatically.

A - Automatic transfer. The Supported field in the Auto Transfer section on the Credit Union Profile - Loans tab must specify Y.

This is a branch-level field.

(Portico Host: 902 Transaction - PMT METH field)

For delinquent payroll-paid loans, Portico uses the following check boxes in the Delinquency Options section on the Credit Union Profile – Loans tab:

Field/Check Box	Description
Payroll Late Fee	If selected, Portico will assess late fees for delinquent payroll paid loans. The late charges are automatically assessed during payroll processing. (Portico Host: 902 Transaction - P/R LT FEE field)
Payroll Notice	If selected, the system will produce late notices (440 Report) for payroll-paid loans that are delinquent. (Portico Host: 902 Transaction - P/R NOTICE field)

Field/Check Box

Description

Payroll Late Fee

If selected, Portico will assess late fees for delinquent payroll paid loans. The late charges are automatically assessed during payroll processing.

(Portico Host: 902 Transaction - P/R LT FEE field)

Payroll Notice

If selected, the system will produce late notices (440 Report) for payroll-paid loans that are delinquent.

(Portico Host: 902 Transaction - P/R NOTICE field)

For list bill insurance processing, Portico uses the following check boxes in the List Bill group box in the Insurance section on the Credit Union Profile – Loans tab:

Field/Check Box	Description
List Bill Minimum Balance	If selected, the minimum share balance is checked during list bill processing. The processing rules for the specific share type contains the minimum balance. System default is not selected. (Portico Host: 901 Transaction - MIN BAL field)
List Bill Partial	If selected, partial payments for list bill premiums are allowed. Pledges and check holds will be ignored. System default is not selected. (Portico Host: 901 Transaction - PARTIAL field)

Field/Check Box

Description

List Bill Minimum Balance

If selected, the minimum share balance is checked during list bill processing. The processing rules for the specific share type contains the minimum balance. System default is not selected.

(Portico Host: 901 Transaction - MIN BAL field)

List Bill Partial

If selected, partial payments for list bill premiums are allowed. Pledges and check holds will be ignored. System default is not selected.

(Portico Host: 901 Transaction - PARTIAL field)

For payroll transfer processing, Portico uses the following check boxes in the Auto Transfer section on the Credit Union Profile – Loans tab:

Field/Check Box	Description
Supported	If selected, auto transfer loan payments are supported. (Portico Host: 905 Transaction - AUTO XFER field)
Shares Held	If selected, shares will be held for automatic loan payment transfers. This hold applies to online activity only. (Portico Host: 905 Transaction - SHRS HELD field)

Field/Check Box

Description

Supported

If selected, auto transfer loan payments are supported.

(Portico Host: 905 Transaction - AUTO XFER field)

Shares Held

If selected, shares will be held for automatic loan payment transfers. This hold applies to online activity only.

(Portico Host: 905 Transaction - SHRS HELD field)

The following fields in the Transaction Activity section on the Credit Union Profile - Purge tab also support payroll processing:

Field/Check Box	Description
Open-end Loan	If selected, the system will purge zero balance open-end loans on the next purge date, when it is 365 days or greater than the last transaction date. Any loan types specified on the report rules for the Purge by Loan Type Report 930 will not purge. Both open and closed-end records are needed for interest refund processing. Note: The system will purge zero balance open-end loans with year-to-date interest. The interest amount is added to the Purged Loan field on the Dividends, Interest, Late Charges and Fees Maintenance dialog box. Payroll-Paid Loans: The system will not zero out member distributions on payroll-paid loans when the loan balance becomes zero, but will purge the distributions when the loan purges. (Portico Host: 906 Transaction - OPEN-END LN field)
Closed-end Loan	If selected, zero balance closed-end loans will purge on the next purge date, when it is 365 days or greater than the last transaction date. If this check box is selected, these loans will purge regardless of YTD interest. Any loan types specified on the 930 Report will not purge. Both open and closed-end records are needed for interest refund processing. Payroll-Paid Loans: The system will zero out distribution amounts on payroll-paid loans if a payroll posting has not occurred since the loan was paid off. (Portico Host: 906 Transaction - CLSD-END LN field)

Field/Check Box

Description

Open-end Loan

If selected, the system will purge zero balance open-end loans on the next purge date, when it is 365 days or greater than the last transaction date. Any loan types specified on the report rules for the Purge by Loan Type Report 930 will not purge.

Both open and closed-end records are needed for interest refund processing.

Note: The system will purge zero balance open-end loans with year-to-date interest. The interest amount is added to the Purged Loan field on the Dividends, Interest, Late Charges and Fees Maintenance dialog box.

Payroll-Paid Loans: The system will not zero out member distributions on payroll-paid loans when the loan balance becomes zero, but will purge the distributions when the loan purges.

(Portico Host: 906 Transaction - OPEN-END LN field)

Closed-end Loan

If selected, zero balance closed-end loans will purge on the next purge date, when it is 365 days or greater than the last transaction date. If this check box is selected, these loans will purge regardless of YTD interest. Any loan types specified on the 930 Report will not purge.

Both open and closed-end records are needed for interest refund processing.

Payroll-Paid Loans: The system will zero out distribution amounts on payroll-paid loans if a payroll posting has not occurred since the loan was paid off.

(Portico Host: 906 Transaction - CLSD-END LN field)