Establish Goods/Services Vendor in Payroll System


Prior to paying a Goods & Services vendor, the F/EA must receive a completed Goods & Services Vendor Package.  The F/EA utilizes this information to establish the vendor as such in the F/EA's payroll system.  This procedure ensures that payments to the vendor go where intended, but also that the F/EA has required information to send tax returns to the vendors at year-end.  Form W-9 is required for all Goods and Services vendors prior to payment is issued.

F/EA will process vendor payments on a bi-weekly basis completed, valid payment request forms (PRFs) are received.

The payment request forms are distributed to all consumers when they join the program, in the Goods & Services Vendor Enrollment Package.  Consumers or vendors can request PRF’s by calling F/EA’s toll-free customer service line or the form can be accessed online. 

The PRF allows the participant to inform F/EA of what vendor is to be paid, in what amount and from what line in the participant’s budget to use allocated funds. 

  1. <<Insert process to quality check vendor package.>>
  2. Ensure that the vendor has completed Form W-9, regardless of the vendor's status as a corporation, non-profit, sole proprietor, or Limited Liability Corporation.
  3. <<Enter vendor data, including vendor TIN, name and address into payroll system.>>
  4. <<As applicable, associate vendor with consumers who will pay vendor.>>
  5. <<If vendor has submitted direct deposit paperwork, establish vendor for direct deposit.>>
  6. <<Store vendor paperwork in participant file for a minimum of 7 years per File Retention Policy.>>
Internal Controls: 

The internal controls used by F/EA to monitor this process establish responsibility, segregate duties, document procedures and ensure independent internal verification.

The methods of internal control utilized by F/EA to collect and process Goods & Services Vendor Packages are:
1.            Vendor Information is not entered into the payroll system until the Goods & Services Vendor Package has satisfactorily passed a quality check.
  • This ensures that vendors with incomplete packages are not paid.
2.            All packages are date stamped immediately upon receipt.
  • Verification of date stamp occurs by a separate staff member when packages are entered in payroll system and Goods & Services Vendor Packages
3.            During quality check, each form is separately initialed and dated as it passes a satisfactory quality check.
4.            A control sheet is used to Quality Check each packet.
  • During quality check, this control sheet is completed by the reviewer
  • The control sheet is reviewed secondarily during entry of vendor information in to the payroll system