Trustee Payment

To manage trustee payments from a trustee to beneficiaries using Real-Time Payments (RTP) and FedNow through an escrow and Client Trust Account (CTA), and integrate these transactions into QuickBooks Online (QBO) or QuickBooks Enterprise via Real-TimePayments.com, follow these steps:

Step 1: Set Up Accounts

1. Client Trust Account (CTA): Ensure the trustee has a properly set up CTA for holding and managing funds on behalf of beneficiaries.
2. Escrow Account: Establish an escrow account to temporarily hold funds before they are distributed to beneficiaries.
3. Beneficiary Accounts: Ensure all beneficiaries have bank accounts that can receive RTP and FedNow payments.

Step 2: Set Up Real-TimePayments.com Account

1. Visit Real-TimePayments.com: Go to Real-TimePayments.com and create an account for the trustee if not already done.
2. API Access: Obtain API credentials from Real-TimePayments.com for integrating RTP and FedNow services.

Step 3: Integrate Real-Time Payments with QuickBooks

1. Install Plugin: Download and install any necessary plugins or add-ons for integrating Real-TimePayments.com with QuickBooks Enterprise or QBO.
2. API Integration: Configure the integration with the API credentials obtained from Real-TimePayments.com to enable RTP and FedNow payments.

Step 4: Trustee Transfers Funds to Escrow

Using Real-TimePayments.com

1. Log In: Access the trustee’s Real-TimePayments.com account.
2. Initiate Transfer to Escrow:
   • Navigate to the “Send Payment” section.
   • Fill in the required details:
     • From Account: Trustee’s CTA details.
     • To Account: Escrow account details.
     • Amount: Payment amount.
     • Currency: USD.
     • Reference Information: Details like “Transfer to Escrow for Beneficiary Distribution”.

Example API Request to Transfer to Escrow

json code

{

  "fromAccount": {

    "bankId": "87654321",

    "accountNumber": "0123456789"

  },

  "toAccount": {

    "bankId": "12345678",

    "accountNumber": "9876543210"

  },

  "amount": "1000.00",

  "currency": "USD",

  "referenceInformation": "Transfer to Escrow for Beneficiary Distribution"

}

3. Confirm and Send: Review and confirm the transfer.

Step 5: Distribute Funds to Beneficiaries from Escrow

1. Access Escrow Account: Trustee accesses the escrow account via Real-TimePayments.com.
2. Initiate Payments to Beneficiaries:
   • For each beneficiary, fill in the payment details:
     • From Account: Escrow account details.
     • To Account: Beneficiary’s bank account details.
     • Amount: Payment amount.
     • Currency: USD.
     • Reference Information: Details like “Trustee Payment to Beneficiary”.

Example API Request to Pay Beneficiary

json code

{

  "fromAccount": {

    "bankId": "12345678",

    "accountNumber": "9876543210"

  },

  "toAccount": {

    "bankId": "23456789",

    "accountNumber": "0123456789"

  },

  "amount": "500.00",

  "currency": "USD",

  "referenceInformation": "Trustee Payment to Beneficiary"

}

3. Confirm and Send: Review and confirm each payment.

Step 6: Sync Transactions with QuickBooks

1. Automatic Sync: Ensure the Real-TimePayments.com integration is configured to automatically sync transactions with your QuickBooks Enterprise or QBO account.
2. Manual Sync: If needed, manually sync transactions by navigating to the sync option within the integration settings.

Step 7: Verify Transactions in QuickBooks

1. QuickBooks Enterprise:
   • Open QuickBooks Enterprise.
   • Navigate to the relevant accounts and verify the sent and received transactions.
2. QuickBooks Online:
   • Log in to your QBO account.
   • Check the transaction history and account statements for the FedNow payments.

Step 8: Security Best Practices

• Secure API Keys: Keep your API keys and credentials secure.
• Two-Factor Authentication: Enable two-factor authentication on all relevant accounts.
• Regular Monitoring: Regularly monitor account activities for any unauthorized transactions.
• Software Updates: Keep your QuickBooks and Real-TimePayments.com integration updated to the latest versions.

Conclusion

By following these steps, trustees can efficiently manage and distribute funds using RTP and FedNow via Real-TimePayments.com, and ensure seamless integration with QuickBooks Enterprise or QBO. Regular verification and secure practices are essential to maintain the integrity and security of the transactions.