Submitting payments

The "Payments" tab on the Tipalti Hub is where you manage the entire payment cycle. For this tab to display, you must be assigned the View Payments user role. Additional user roles are required to view balances, submit, update and approve payments.

Payments can be made either by submitting a payment fileA CSV or TXT file that contains one or more payment orders/ instructions to Tipalti. It can be submitted via the Tipalti Hub or Tipalti's FTP path. (csv) to multiple payees at once, or by filling out a two-step form to send out an individual payment to a single payee.

Payment cycle

Payment instructions can be submitted in one of the following ways:

• Upload a payment file or add an individual payment through the Tipalti Hub (see Submit payment instructions)
• Submit instructions through our REST APIs
• When you pay bills through the Tipalti Hub, payment files are created (see Pay bills)

Submit payment instructions to get approval from your designated approvers and payment providers, after which a notification of successful payment is sent to you. Retrieve the results of your submitted payment instructions for your records.

Using Tipalti's payment cycle to remit payments is similar to remitting payments using your bank.

• When you ask Tipalti to send a payment, they will attempt to do so.
• If for some reason Tipalti is unable to send a payment, they will not send it. Tipalti will never retry remitting a rejected payment, even if the reasons for the rejection are removed. If you want to remit a payment again, you must submit new payment instructions.

Submitting and processing of payments

The recommended approach for remitting payment is: pay all payees with a positive balance. You (the payer) are managing the balance for the payee. You know which payees need to be paid and how much you need to pay them. On payment day, submit payment instructions for all payees with a positive balance.

Payments are processed immediately after payment instructions are submitted (and have been approved, if payment groupA group of payment orders/ instructions that the payer submits to Tipalti to execute payments to payees approval is required). The bank may take a couple of hours to execute payments.

Consider the following terms when submitting payments:

• PDThe processing date (PD) is the date the bank considers the payment request has arrived = Processing date
• Value dateThe estimated date the payee will receive the funds - Derived from the PD
  • US wires are PD+1
  • ACHAutomated Clearing House is PD+1/ PD+2

For value dates by payment method and country, see Payment methods coverage.

The date payment instructions are executed depends on the following:

• Payment instructions delivered to Tipalti by 10:30 a.m. PST (11:30 a.m. PDT) on a banking business day are executed that same day.
• Payment instructions delivered to Tipalti after 10:30 a.m. PST (11:30 a.m. PDT) on a banking business day will be executed on the next banking business day.
• Banking business days are typically Monday through Friday, but banking holidays in the US and UK may affect the value date assigned by the bank.

Tipalti notifies payees when their payments have been processed successfully. Payees can also track payments in the iFrame/ Supplier Hub.

Submit payment instructions

Users with Submit Payment role permission can upload a payment file via csv, or add an individual payment.

To submit a payment file:

1. Create a CSV or TXT file containing the payment instructions (see Payment file).
2. Go to Payments > Add payment.

3. In Mass payment, drag and drop your file, or click select a file. A window opens displaying your files.

4. Select the relevant file and click "Open".
5. Click "Upload".
6. A "Submit payments" screen displays details about the payment group (see Submit payment summary below). If errors are indicated, please fix the errors and repeat steps 2 to 5 above. Once the file passes validation with no errors, continue to step 7.
7. Click "Submit".

• Validating the payment file: After a payment file is uploaded, it is validated, which is a check the system performs to ensure the file has been prepared correctly. Once the file has been validated, you see the amount of funds required for the payment. Compare the required funds to the balance currently available in the various payment accounts.

To add an individual payment instruction:

1. Go to Payments > Add payments.

2. In Individual payment, click "Add payment".

3. Select the Payee name/ IDAP, amount and currency of the payment you want to add.

4. Select whether to pay immediately or to schedule payment.

5. Click "Next" and fill in the instruction information.

6. Add payment.

Individual payment is currently only supported for Mass Pay payers.

Submitting the payment instruction: Once a payment is added, validated and errors/ warnings and payment instructions are reviewed, it can be submitted for processing.

Click each topic below to view further information about submitting payments.

Submit payment summary

Tipalti scans and validates the payment group. You can wait for the system to finish, continue to use the Tipalti Hub while the scan and validation run in the background or log out. Once the process is complete, you are notified via an alert or email.

After the file is validated, the "Submit payments" screen appears, which displays details about the file—there is a different description row for each provider account (e.g., Tipalti [USD], Tipalti [EUR], etc.). If payment orders are submitted in multiple currencies, the amounts are converted to the payment provider's account currency. When you click the amount, a tooltip displays indicating the amounts in the original currency.

The following fields display on-screen. Beneath these fields are various subtabs detailing further information. Once you have reviewed all information and fixed any errors, the payments can be submitted.

Field	Description
Total number of payment orders	The total number of payment orders in the payment group
Total number of vendor credits	Only displays if you use the Bills module and vendor credits have been applied to payment orders in the group
Total number of invoices	Only displays if you use the Bills module
Account type	The provider accounts that will be used to pay the payment orders
Total	The total amount of funds from each account that will be used to pay the payment orders Displays in the currency of the payment account
Payable	The amount of payable payments to be paid immediately Displays in the currency of the payment account Not applicable to a scheduled payment group
Payer fees	Fees required by Tipalti, if applicable Displays in the currency of the payment account
Estimated provider payer fees	Additional fees that may be required by the provider Displays in the currency of the payment account
Scheduled payments	The amount of payments to be processed on a scheduled date Displays in the currency of the payment account Only displays if you have uploaded a payment file that has values entered in the "ScheduledDate" field or you have selected to schedule payments using the Bills module
Outstanding payments	The amount of pending payments in the payment cycle (steps 7 to 9) (i.e., payments that have been submitted and are either pending approval or have been sent to the provider but funds have not yet been deducted) Displays in the currency of the payment account
Funds required	The total amount of funds required from each provider account for this payment cycle Fees are included in the total amount Displays in the currency of the payment account
TABS
Errors and warnings	Displays a summary of errors or warnings that must be rectified before you can submit the payments to Tipalti—for example, if the account holds insufficient funds (the amount set to pay the payee is higher than the funds in the account), then an error message displays indicating the account requires funding
Payment instructions	Displays the individual payment orders in the group
Applied by vendor credit	Displays the individual vendor credits that were applied to payment orders in the group
Withholding amount	Displays a breakdown of withholding rates (only applicable if the Tax Withholding module is enabled)

Payment approval

If payment orders require internal approval, an email is sent to a designated user with the Approve Payment role. This email indicates that a payment has been submitted and requires authorization. The recipient must log into the Tipalti Hub to review and either approve or decline this payment from the Payments > Payment history subtab. Once approved, Tipalti submits the payment to the payment provider.

Account balance

Only payees with a positive balance are paid by the Tipalti system. If your account balance is insufficient, Tipalti pays as many payees as possible (starting from the oldest date [smallest to largest amount] to the most recent date). You must be assigned the View Balance user role to view your accounts balance.

Payment results

The results of your submitted payment are available as reports in the API or as files in the SFTP folder. The results indicate who has and has not been paid. Successful payments are marked "Submitted" and unsuccessful payments are marked "Deferred", "Deferred (Internal)" or "Pending Funds", depending on your Tipalti configuration (see Payment error codes for reasons for deferred [or rejected] payments). Update your business records for those payees who have been paid successfully while taking note of those who have not been paid in this payment cycle.

When payments are marked "Deferred", payees receive an email that advises them to update and resolve the reason the payment has not been remitted. This notification allows payees to quickly correct the problem and be ready to receive payment in the next payment cycle.

Deferred & rejected payments

While the most payments sent through Tipalti process successfully and end in a "Paid" status, some payments will have errors, resulting in a "Deferred" or "Rejected" status.

Rejected payments

Rejected payments are payments that were rejected by the payee's bank, or Tipalti payment provider. These are payments that were sent for processing, and might even have reached a "Paid" status, and then were rejected by the beneficiary bank. Common reasons for a payment to be rejected are:

• The account name was incorrect
• The payee entered the incorrect account number.
• The payee entered the incorrect routing information.

Since these payments were sent for processing, Tipalti charges transaction fees. When a bank rejects a payment, they will return the funds of the payment to Tipalti account (the amount returned might be smaller than the original amount of the payment due to lifting fees taken by the beneficiary and intermediary banks). An email is sent to the payee notifying them with the rejection reason, so that they can fix the error.

View rejected reasons

To view the specific reason why the payment was rejected:

1. Go to Payments > Payment history.
2. Find the payment group and click the row to access the "Details of payment group" screen, which shows you the individual payment orders in that group.
3. Click the relevant payment with the "Rejected" status to view the rejection reason directly on the payment orderA single payment instruction for a payee.

Your funds are returned to your funding account. Since the payment was sent for processing before being rejected, a transaction fee is charged, so you may receive a lesser amount than the original payment amount.

Deferred payments

Deferred payments means the payment was rejected by Tipalti (before it went to our banking partner) due to issues with the payee account. A common reason for this status is that the payee is not payable, which may be due to the following:

• Payee's banking information is incorrect.
• Payee didn't register in the Supplier Hub.
• Payee didn’t choose their payment method.
• Payee didn’t fill in their tax form.

Since these payments are not actually sent for processing, Tipalti does not charge transaction fees. If a payment is deferred, an email is sent to the payee notifying them with the deferral reason, so that they can fix the error.

View deferred reason

To view the specific reason why the payment was deferred:

1. Go to Payments > Payment history.
2. Find the payment group and click the row to access the "Details of payment group" screen, which shows you the individual payment orders in that group.
3. Click the relevant payment with the “Deferred” status to view the reason why the payment was deferred (outline the Deferred reasons block in the image).

What to do with deferred payments

As a general rule, pay everyone with a positive balance. If payments are deferred, payees are notified to correct the problem. Once fixed, assign new unique refcodes to these payments so that Tipalti will recognize the payments as new. Then upload these payments to Tipalti for the next payment cycle.

If you have frequent enough payment cycles (you can determine what "enough" is), then there is nothing more to consider. However, if you feel that your payment frequency is insufficient to address those who updated their information, consider adding a corrections cycle several days after the original payment cycle.

Pending Funds model

The Pending Funds model is a more robust method of handling deferred payments due to insufficient payer funds. Instead of paying these payments in subsequent payment or corrections cycles, you can pay these payments right away by depositing the required funds into the payer account.

When payments are submitted to Tipalti for payment (if internal approval is required, then payments must first be approved) and there are not enough funds in your account to cover all payments, Tipalti pays as many payees as possible (starting from the oldest date [smallest to largest amount] to the most recent date). Instead of unsuccessful payments being marked "Deferred (Internal)", these payments are assigned a status of "Pending funds". As soon as the payer account has a positive balance again, "Pending funds" payments are sent to payees.

After an uploaded payment file is validated, a summary table displays where pending payments are listed on the "Payment instructions" tab. Payments that are pending sufficient funds are marked "Upon funds arrival" in the "Scheduled date" column. If you hover over this text, a tooltip displays: "Payments will be sent once the required funds are deposited."

Payments pending funds can also be viewed on the Payments > Payment history subtab of the Tipalti Hub and the Payments > Funds required subtab.

View payment history

In the Tipalti Hub, you can view the history of your payments (payment groups and payment orders).

To view payment history:

1. Go to Payments > Payment history. All past executed payment groups display. See "Past executed payment groups" screen below for details.
2. At the end of a payment group row, click (or click the payment group row) to see the payment orders in that group. The "Details of payment group" screen displays.
3. To see specific details about a payment order, at the end of the payment order row, click (or click the payment order row). The "Details of payment order" screen displays. If you use the Bills module, below the payment order details, a list of bills linked to the payment order also displays.
   You can also perform actions on a bill by clicking at the end of the bill row. The actions available depend on the bill status and your user role.

Click each topic below to see descriptions of the fields on each history screen.

"Past executed payment groups" screen

The "Past executed payment groups" screen displays a list of all payment groups submitted to Tipalti. The following table describes the payment group fields.

Field	description
Date	The date the payment group was submitted to Tipalti
Group name	The name of the payment group that has been uploaded to the Tipalti Hub
Count	The number of unique payments in the uploaded file
Amount submitted	The total amount of all submitted payments Each unique submitted currency displays as a separate amount.
Status	If internal approval of payments is enabled, and the payment group has yet to be approved, "Decline" and "Approve" buttons display. After approval, Tipalti submits the payments to providers. Once submitted, a progress bar shows the percentage of completed payments in the group. When all payments have reached a final payment status, the status displays as "Completed". Note that "Deferred" is considered a final payment status. If the entire payment group has been declined or is pending funds, the relevant text displays.

"Details of payment group" screen

The "Details of payment group" screen displays the number of payment orders in the group, amounts (by currency) that are in process (e.g., awaiting approval, pending funds^*, scheduled, submitted), amounts that have been completed (e.g., paid, canceled, deferred, rejected), and a list of individual payment orders in that group. The following table describes the payment order fields.

^* If internal approval of payments is required, the payment group must be approved for pending funds amounts to display.

Field	description
ID	Unique payee identifier (the payee ID) Click the ID to open the payee record
Date	The date the payment order was submitted to Tipalti
Amount submitted	The amount submitted for payment
Payment method	Payee payment method
Status	Status of the payment (e.g., "Paid", "Submitted", "Deferred", "Pending funds") See Statuses.
Beneficiary Name	Name of payee

At the end of a payment order row, click to perform actions ("Cancel payment", "Update status", "Download receipt", "Download Payment report") on the payment order; available actions differ depending on payment order status and payment method.

"Details of payment order" screen

The "Details of payment order" screen displays further details about the payment order, which are described in the table below. Additional fields may display depending on the payment method, status of the payment order and whether the payment was an early or scheduled payment.

For information on how payee fees are calculated, click here.

Field	description
Deferred reasons	The dates and reasons why the payment has been deferred
Created date	The date the payment order was submitted to Tipalti
Reference code	The reference code for the payment
Status	The status of the payment order See Statuses.
Payee	Name of payee
Payee ID	Unique payee identifier ("Idap") Click the ID to open the payee record
Payer entity	The payer entity linked to the payment order
Amount submitted	The amount submitted for payment
Payer transaction fee	The part of the Tipalti transaction fee (which is based on the payer agreement with Tipalti) that is incurred by the payer It is equal to the Tipalti transaction fee minus the payee transaction fee.
Withholding amount	The amount withheld from the payment (in the payment currency) Only displays if applicable
Payee transaction fee	The part of the Tipalti transaction fee (which is based on the payer agreement with Tipalti) that is incurred by the payee The fee is based on the payee selected payment method and is deducted from the amount paid to the payee.
Net amount	The amount to be paid to the payee
Funding amount	The amount that needs to be allocated to the payment order Funding amount = Amount Submitted - Withholding amount (if applicable) + Payer transaction & FX fees
Amount paid	The amount that was paid to the payee Displays only after the payment has been paid
Payee exchange rate	The foreign exchange rate for conversion of payer account currency to payee currency Only displays if a payee exchange rate was applied to the payment
Payer exchange rate	The foreign exchange rate for conversion of submitted currency to payer account currency Only displays if a payer exchange rate was applied to the payment
Payment method	Payee payment method
Remittance information	Additional remittance information for wire transfers

You may perform the same actions on this screen as on the "Details of payment group" screen by clicking "Actions" in the top right corner.

View Tipalti virtual account activity

On the "Account statement" screen, you can view the history of your Tipalti virtual account activity.

1. Go to Payments > Account statement to view your Tipalti account activity.
2. To switch between Tipalti accounts, in the "Select account" field above the table, click and select a different account (accounts are displayed by currency) to replace the data from your selection.
3. To include non-settled transactions, toggle the "Also show non-settled transactions" option on.

The following table describes the account statement fields.

Cancel scheduled payments

If you submitted a scheduled payment and it has not yet been paid, you can cancel the payment if needed. The Update Payment role is required.

1. Go to Payments > Payment history. All past executed payment groups display.
2. At the end of the payment group row, click (or click the payment group row) to access the individual payment orders in that group. The "Details of payment group" screen displays.
3. Find the payment order.
4. At the end of the payment order row, click and select "Cancel payment". A dialog displays.
5. Click "Confirm".

If the payee claims payment has not been received

If a payee claims payment has not been received, there are various options available depending on the payment method and when payment was sent. Click each option below to see the details.

Find payee payment information

Payee payment details can be found on the Tipalti Hub (see Find previous payments). You can also download a payment report and provide it to the payee and/ or download a payment receipt, as proof of payment to keep for your records (see Provide payee with payment confirmation).

Investigate further

On the Payees > Payments subtab, you see the status of each payment (for status descriptions, see Statuses). The following information explains what each status means in the context of a payee claiming non-receipt of payment.

• Submitted: The payment is currently at Tipalti or being processed by a payment provider. Payment has not yet reached the beneficiary bank.
• Deferred (Internal): Tipalti stopped this payment before it was sent out for processing. Once a payment is assigned this status, Tipalti will not try to send it out for processing again.
• Paid: The payment has reached the beneficiary bank. If the payee's payment is in this status and the payee is claiming non-receipt, please provide the payee with the payment report or receipt from the Tipalti Hub. Advise the payee to reach out to the bank with this document, which will help the bank find the payment.
• Rejected: The payment was rejected by the beneficiary bank (or an intermediate bank) and was sent back to the payment provider or Tipalti. Once a payment is assigned this status, Tipalti will not try to send it out for processing again.
• Cleared: The payment has been deposited in a bank account. This status only applies to paper checks.

Contact Tipalti

If the payee has not received payment by the expected value date, submit a request to our Support Team and provide the following information. Ensure you inform our team that the payee is claiming funds have not been received.

1. Idap (payee ID)
2. Payment refcode

The value date, which is the estimated date the payee received the funds, can be viewed in a Payment details report (a report of all payments loaded to the Tipalti Hub during a specific month or date range) or a payments summary file (a payment details report of a single payment file).

Depending on the payment method, our Support Team can help in various ways.

1. Wire transfer or Global ACH/Local Bank Transfer: Tipalti can initiate an investigation with the payment provider to determine what happened to the payment.
2. Check: Tipalti can request a "stop payment" on the check.
3. Direct deposit/ ACH: Tipalti can initiate an ACH reversal within three days. After that, the likelihood of getting the funds back decreases significantly.

Provide payee with payment confirmation

To provide a payee with payment confirmation, download a payment report from the Tipalti Hub. Payment reports can be downloaded only for wire transfer, ACH, Global ACH/Local bank transfer, and check payment methods. Keep in mind that the payment report is available only after the bank processes the payment.

1. Go to Payments > Payment history. All past executed payment groups display.
2. At the end of the payment group row of interest, click (or click the payment group row) to access the individual payment orders in that group. The "Details of payment group" screen displays.
3. Find the relevant payment order.
4. At the end of the payment order row, click and select "Download Payment report". A PDF containing all the payment information downloads to your computer.
5. Provide your payee with the payment report.

To get confirmation of your payment to the payee, select "Download receipt" from the "Actions" dropdown menu. Keep this receipt for your records.