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State ACH Debit

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    State ACH Debit

    We make withholding paymets from pension plans. We have come acoss a few states that have an application to make ach debit payments. Does this make any sense to anyone. If someone sent a payment without the application would they really reject incoming money. Anyone ever run across this.

    HAPPY NEW YEAR

    #2
    Your question appears to be a question about "payroll" processing with pension payments. Yes, maybe you would get as far as having money debited to the state but you would be way short of meeting the withholding responsibilities with disbursements of payroll/pension payments. You would have no way to be sure that your payments would get properly credited to your account and to your recipients' accounts. You do have to fill out whatever applications they require.

    In my own state, ACH debit for estimated state income tax, known as WebPay, works very, very smoothly. Anyone can type in the information and get payments credited today or scheduled for some future date.

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