Workhorse Update: NACHA Compliance for Payroll Entry Description
At Workhorse Software, we continuously monitor industry standards and regulatory changes to ensure our customers remain compliant and can operate without disruption. As part of that commitment, we have updated the Workhorse Payroll system to align with a new rule issued by NACHA regarding Company Entry Descriptions for payroll transactions.
Beginning March 20, 2026, the updated NACHA rule requires that payroll-related ACH transactions use the Company Entry Description “PAYROLL.” Previously, some payroll transactions in Workhorse used the description “PAYCHECK.”
To ensure compliance with this new requirement, Workhorse has implemented a system update that automatically changes the Company Entry Description from PAYCHECK to PAYROLL for applicable payroll ACH transactions.
What This Means for You
- The update has already been applied within the Workhorse system.
- No action is required from your team.
- Payroll direct deposit processing will continue to function exactly as it does today.
This update ensures that your payroll transactions remain fully compliant with the new NACHA standards before the rule takes effect on March 20, 2026.
If you have any questions about this update, please feel free to contact the Workhorse support team (support@workhorsewi.com).