Monetary Requests: Frequently Asked Questions

This article answers some frequently asked questions about the monetary email notifications you may receive from Namely after you process payroll.

Deposit Monetary Return

What is a Deposit Monetary Return?

If you receive a Deposit Monetary Return, it means that all funds paid by you, as an employer, could not be deposited into an employee's account. NPC (our bank) has refunded that money into your account.

What causes a Deposit Monetary Return?

Deposit Monetary Returns occur when NPC are unable to find the employee's bank account. This is usually because the employee has incorrect Banking Information - i.e. an incorrect account or routing number - or they have failed to update their banking information and their account on record has closed. 

What action should I take to resolve a Deposit Monetary Return?

Any employee who you receive a Deposit Monetary Return notification on has not been paid. To resolve this issue, you'll want to obtain the correct banking information from your employee and update their banking information.

You may pay the employee outside of Namely using an "in-house" check for the net amount on the employee's pay stub. An alternative method is to open a manual payroll and enter the missing Net Pay using the Reimbursement Non Taxable earnings code once you have the correct banking information.
 

Non-Monetary Notice of Correction

What is a Non-Monetary Notice of Correction?

If you receive a Non-Monetary Notice of Correction, it means that while there is an issue with the employee's banking information, NPC was still able to deposit funds in their account. This requires manual work by NPC, so funds are typically deposited later in the day than the rest of your employees. 

What could cause an employee to experience a Non-Monetary Notice of Correction?

The cause is similar to that of a Deposit Monetary Return, however, the error is not severe enough to prevent NPC from identifying the correct account to deposit funds into.  

What are the common errors are associated with a Non-Monetary Notice of Correction?

Again - similar to that of a Deposit Monetary Return.:

  • Incorrect Account Number – employee bank account number is incorrect.

  • Incorrect Routing/Transit Number – bank routing number is incorrect.

  • Incorrect Transaction – direct deposit account has been incorrectly listed as a checking/saving account when it is the opposite.

Is there any action required to resolve a Non-Monetary Notice of Correction?

Yes, while NPC was able to deposit the funds successfully for this payroll, there is no guarantee that they will be able to do the same the next time you run payroll. You should advise your employee to review their banking information and ensure it is correct to ensure proper funds transfers going forward.  

TIP:

It is important to speak with someone in your bank's ACH/Wire Department as they will be the best equipped to provide the necessary information.

Please note that returns that are not resolved in a timely manner violate Nacha guidelines and can result in penalties and fines to your account anywhere from $1,000 to $5,000. The ACH Rules Enforcement Panel would notify Namely of any violations and Namely would debit you for said fines. Fines for recurrences may be assessed as follows:

  • The first recurrence of a rules violation will result in an assessment of up to $1,000.

  • The second recurrence of a rules violation will result in an assessment of up to $2,500.

  • The third recurrence of a rules violation will result in an assessment of up to $5,000.

 

Non-Monetary Prenote Return

What is a Non-Monetary Prenote Return?

A Non-Monetary Prenote Return relates to the initial "penny test" done by NPC to verify the direct deposit account an employee has set up in HRIS.

Is there any action required on part of the employee or client due to the Prenote Return?

Yes, the employee will need to re-verify the bank account data provided and correct any errors  so that NPC can re-test the account.
 

Withdrawal Monetary Return

What is a Withdrawal Monetary Return?

You would only receive this notification if you have attempted to retract funds from an employee's bank account if you've made a payment in error. This means the funds were not successfully retracted from the account.

If the retraction failed, what can I do to recover the funds from the employee's account?

Retractions can only be requested once for a specific pay amount on a specific day. If the retraction failed, it means the funds were not available to pull and you must now request the refund from the employee directly. NPC can only process a retraction within 30 days of the initial pay date.