ABA File

Save yourself time with ABA File

As a business owner, time really is money. If you’re looking for new ways to improve your time and efficiency, we recommend setting up an ABA file. This acronym stands for ‘Australian Banking Association file’, and you’ll need an accounting software system that can export data using the ABA file format.

What Exactly is an ABA file?

An ABA file is a form of standardised data used by all major Australian banks and financial institutions. An ABA file typically looks like an Excel spreadsheet or similar. It contains points of identifying information so that you don’t need to process individual payments manually.

Each line in an ABA file is a coded ‘record’. An ABA file includes three main components, the descriptive record; the detailed record; and the file total record. This file structure matters and it can be complex. Hatcher can help set up your accounting system so that your ABA file is correct and ready for use.

What are the advantages of using an ABA file?

The real advantage of setting up your business with an ABA file is that you’ll be able to make multiple payments in bulk. That’s right – with the appropriate accounting software, an ABA file equips you to pay multiple invoices and suppliers at once with just a few clicks.

For example, the ABA file system is most commonly used by employers to pay their employees (payroll). You may also wish to pay regular suppliers, contractors, and other stakeholders that your business frequently engages using an ABA file. Batch payments can save your business valuable time and money and will reduce the volume of administration required day-to-day.

Which Accounting Software can support an ABA file?

There are many accounting software systems that can export ABA files to link in with Australian banks and financial institutions. For personalised support to get your business set up correctly, chat with the team at Hatcher. We have the expertise and experience to make this process easy and hassle-free.

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Disclaimer: Hatcher Advisory and its subsidiaries, together with its owners, managers and employees have endeavoured to ensure the information on this website is accurate. However, you must undertake your own research and seek advice from your financial advisor, broker or accountant to ascertain its application to your specific circumstances. We do not take responsibility for any outcomes based on this material.

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