SEPA Payments for Payroll
Generate ISO20022-compliant XML payment files for employee salaries
The SEPA Payments for Payroll module enables automated generation of ISO20022-compliant XML payment files for employee salary payments. This module integrates with the European SEPA (Single Euro Payments Area) banking system, allowing companies to export validated payslips as SEPA credit transfer XML files.
The module supports multiple ISO20022 formats (pain.001.001.03, pain.001.001.09), handles Swiss ISO20022 payments, validates employee bank accounts (IBAN), and tracks payments with unique transaction references (UETR).
Key Features
Key points
• SEPA Export: Generate ISO20022 XML files for bank upload
• Batch Processing: Process multiple payslips in a single payment file
• IBAN Validation: Automatic validation of employee bank accounts
• Multi-Account Payments: Split salary across multiple employee accounts
• Swiss Support: Dedicated Swiss ISO20022 format
• Payment Tracking: UETR (Unique End-to-End Transaction Reference) for enhanced tracking
• Dashboard Alerts: Real-time warnings for invalid IBANs or missing data
• Country-Specific Rules: Automatic priority settings (e.g., HIGH for Belgium)
User Roles & Permissions
Role Permissions
| Role | Permissions |
|---|---|
| HR Officer | Generate payment reports, view payslips, access dashboard warnings |
| Payroll Manager | Full access to payroll processing, SEPA export, journal configuration |
| Administrator | System configuration, journal setup, employee data management |
Generating SEPA Payment Files
From individual payslip:
Steps
1. Navigate to Payroll → Payslips
2. Open a validated payslip (status must be "Done")
3. Click the Payment Report button
4. In the wizard: select Export Format ("SEPA" or "Swiss ISO20022"), choose Bank Journal, set Effective Date (cannot be in the past)
5. Click Generate
6. Download the generated XML file
7. Upload the XML file to your bank's online banking system
Batch Payment Processing
From payslip batch:
Key points
• Efficiency: Process 50+ payslips in a single file
• Bank Fees: Reduce transaction costs with batch uploads
• Consistency: Ensure all employees paid on same date
• Audit Trail: Single file for entire payroll period
Steps
1. Navigate to Payroll → Payslip Batches
2. Open a payslip batch with validated payslips
3. Click the Payment Report button (visible in kanban/form view)
4. In the wizard: select Export Format, choose Bank Journal, set payment date
5. Click Generate
6. Download the batch XML file containing all payslip payments
Bank Journal Configuration
Before generating SEPA payments, configure your bank journal:
| Fields | Trường dữ liệu | Description |
|---|---|---|
| Bank Account | Bank Account | Must be IBAN format, used as debtor account in SEPA file |
| SEPA Pain Version | SEPA Pain Version | pain.001.001.03 or pain.001.001.09, choose based on bank requirements |
| ISO20022 Charge Bearer | ISO20022 Charge Bearer | SLEV (recommended) - who pays transfer fees |
| Currency | Currency | EUR (for SEPA) - SEPA requires Euro currency |
Employee Bank Account Setup
Adding employee bank accounts:
Key points
• The system automatically validates IBAN format when you save
• Invalid IBANs will show an error message and appear in dashboard warnings
• Employees can have multiple bank accounts for salary allocation
Steps
1. Navigate to Employees → Employees
2. Open an employee record
3. Go to Private Information tab
4. In Bank Accounts section, click Add a line
5. Fill in: Account Number (IBAN format, e.g., BE68539007547034), Bank, Account Holder Name
Dashboard Warnings
Navigate to Payroll → Dashboard to view warnings.
Key points
• Employees With Invalid IBAN Bank Accounts: One or more employees have invalid IBAN format. Cannot generate SEPA payments for these employees. Click the warning to see affected employees and correct the IBAN format
• Employees Without Any Country: Employee records missing country data. May affect payment processing and compliance
ISO20022 Format Versions
Version Comparison
| Version | Features | Use When |
|---|---|---|
| pain.001.001.03 | Widely supported across European banks, basic payment information, no UETR | Your bank requires pain.001.001.03 format, you don't need advanced payment tracking |
| pain.001.001.09 | Enhanced format with additional fields, includes UETR, better payment traceability | Your bank supports pain.001.001.09, you need end-to-end payment tracking |
| Swiss ISO20022 | Swiss-specific ISO20022 implementation, follows Swiss banking conventions | Company operates in Switzerland, bank requires Swiss ISO20022 format |
Troubleshooting
Key points
• Error "The payment date cannot be in the past": Set effective date to today or future date
• Error "Some employees don't have a work contact": Set Work Contact field on employee record
• Error "The journal requires a proper IBAN account": Ensure bank journal's bank account is valid IBAN format
• SEPA File Rejected by Bank: Check wrong SEPA pain version, invalid IBAN format, missing mandatory fields, incorrect charge bearer setting
Best Practices
Key points
• Before Payroll Processing: Validate employee data, update bank accounts, test configuration, coordinate with bank
• During Payment Generation: Check effective date, review amounts, batch wisely, download immediately
• After File Upload: Bank confirmation, payment tracking using UETR references, archive files, mark as paid
• Security: Access control, file handling, secure transfer, audit trail
• Compliance: GDPR (employee bank account data is personal information), retention (keep payment files per local financial regulations)