Your SEO optimized title page contents

How to set up NACHA Payments for US Payroll in Dynamics 365 for Finance and Operations

If you are trying to set up NACHA (National Automated Clearing House Association) Payments for Payroll in Microsoft Dynamics 365 and don't see the "Payroll electronic NACHA PPD" as an option on the Method of Payment, you need to add the File format by clicking the Setup link.

I created this blog as a quick reference, since it's a little easy to forget sometimes if you don't setup Methods of Payments often.

To add the Payroll electronic NACHA PPD File format, and make it available in the drop-down menu of the Electronic format field on the Payroll Electronic Method of Payment:

  • In Accounts Payable > Methods of Payments > File formats, click Setup.

  • When the File format for methods of payment page opens, click Payroll electronic NACHA PPD from the Export options.
  • Click the arrow -> to add the selected format.

NOTE: The export format Payroll electronic NACHA PPD is the same as Standard NACHA - PPD format, but required for Payroll. Customization is required if your commercial bank has format variations from the Standard NACHA - PPD format. If your company has customizations on the Standard NACHA - PPD format, the same considerations will need to be made for the Payroll electronic NACHA PPD export format.


Find more for US Payroll Direct Deposit setup in my post: How to set up Direct Deposit Payments for US Payroll in Microsoft Dynamics 365



Amy Flowers

Premier Field Engineer - Microsoft Services

Skip to main content