EFT Payments Explained: Recording Electronic Transfers in Beancount

Electronic funds transfers (EFTs) quietly move most of the money in a modern business. Rent, payroll, customer payouts, even reimbursements are increasingly routed through digital networks instead of paper checks. That speed and convenience comes with new bookkeeping expectations: you have to follow the money before, during, and after it leaves your bank.

This guide unpacks how the major EFT rails operate, what to look for in the settlement timeline, and how to model the entire flow in Beancount so your ledger always tells the truth about cash.

What is an EFT payment?

An electronic funds transfer is any movement of money between bank accounts that happens via digital messaging rather than cash or paper instruments. The umbrella covers ACH debits and credits, wire transfers, debit card transactions, peer-to-peer payments, instant payout products, and more. Instead of carrying a physical authorization, the sender instructs their bank to push or pull funds through a shared network.

The key bookkeeping implication: the timestamp when you initiate an EFT, the date it posts on your bank statement, and the date the counterparty recognizes the cash are often different. You need to record the intent, the in-flight balance, and the final settlement to keep your balances reliable.

Popular EFT rails for small businesses

• ACH (Automated Clearing House). Batch-based transfers that settle in one to three business days. Common for payroll, vendor invoices, and recurring billing because of predictable fees.
• Same Day ACH. An accelerated flavor that still clears through NACHA but credits the destination account the same day if submitted before the network deadlines. Useful for urgent payroll corrections or supplier rush payments.
• Wire transfers. Real-time gross settlement with higher fees, typically used for large, time-sensitive transactions or international deals.
• Debit and virtual card networks. Card-not-present sales and payouts from platforms (Stripe, PayPal, marketplaces) ultimately sweep through EFT settlement, though a card processor stands in the middle.
• Instant payout services. Offer immediate movement to a debit card or account using RTP or push-to-card rails. Fees are higher but valuable for gig payouts or emergency disbursements.
• Bank-to-bank payment links. Open banking APIs and RTP allow customers to authorize a one-off pull directly from their accounts with instant confirmation and finality.

How an EFT moves from initiation to settlement

1. Authorization. You (or your platform) capture the customer or vendor’s consent, storing the banking details or tokenized credentials.
2. Submission. Your bank or payment processor bundles instructions and submits them to the appropriate network (ACH, RTP, SWIFT, etc.).
3. Network processing. The network validates the transaction, checks for sanctions or errors, and schedules settlement.
4. Settlement. Funds move between the participating financial institutions. Your bank reflects the pending amount, then the posted balance when cleared.
5. Notification and reconciliation. Statements, webhooks, or CSV exports confirm the final figures and any associated fees or chargebacks.

Your ledger should mirror that timeline. Use supporting accounts (like clearing or undeposited funds) when money is in flight so cash-on-hand never looks higher or lower than reality.

Recording EFT activity in Beancount

Customer payments collected via ACH

When a platform deposits card or ACH payouts, fees are usually withheld before the deposit reaches your bank. Record the gross sale, the fees, and the net cash in a single transaction:

2025-09-03 * "Stripe Payout" "August card sales"
  Assets:Bank:Operating                4,850.00 USD
  Expenses:Fees:PaymentProcessors        150.00 USD
  Income:Sales                        -5,000.00 USD

If the payout is marked as pending for a day before it posts, add an intermediate account:

2025-09-03 * "Stripe Payout" "August card sales"
  Assets:Clearing:Stripe               4,850.00 USD
  Expenses:Fees:PaymentProcessors        150.00 USD
  Income:Sales                        -5,000.00 USD

2025-09-04 * "Stripe Payout Settlement"
  Assets:Bank:Operating               -4,850.00 USD
  Assets:Clearing:Stripe               4,850.00 USD

Vendor payments sent via ACH or wire

Separate the approval date from the bank posting date so you can monitor cash commitments:

2025-09-05 * "ACH Payment" "Pay Greenline Supplies"
  Expenses:CostOfGoodsSold             1,920.00 USD
  Assets:Clearing:OutboundACH         -1,920.00 USD

2025-09-06 * "ACH Settlement" "Greenline Supplies"
  Assets:Clearing:OutboundACH          1,920.00 USD
  Assets:Bank:Operating               -1,920.00 USD

For wires, swap in a dedicated clearing account to capture the fee separately:

2025-09-07 * "Wire Fee"
  Expenses:Fees:Bank                     25.00 USD
  Assets:Bank:Operating                 -25.00 USD

Payroll direct deposits

Payroll processors often withdraw one lump sum for net pay plus taxes. Split the entry so liabilities zero out when the EFT posts:

2025-09-10 * "Payroll Funding" "September cycle"
  Expenses:Payroll:Wages             18,500.00 USD
  Expenses:Payroll:Taxes              4,200.00 USD
  Liabilities:Payroll:TaxesPayable   -4,200.00 USD
  Assets:Clearing:Payroll           -18,500.00 USD

2025-09-11 * "Payroll Settlement"
  Assets:Clearing:Payroll            18,500.00 USD
  Assets:Bank:Operating            -18,500.00 USD

Reconciliation checklist for EFTs

• Match every payout or debit against the bank statement date, not just the processor report.
• Confirm that clearing accounts return to zero; lingering balances signal stuck transactions.
• Capture gateway fees, chargebacks, and reversals in the same period they occur.
• Store the processor’s confirmation number as metadata (txn_id or eft_id) for audit trails.
• Schedule periodic reviews of ACH returns (R01–R85 codes) so you can re-initiate payments quickly.

Controls and automation ideas

• Configure bank feed imports to flag EFT transactions above a threshold and require secondary review.
• Use Beancount’s balance directives to enforce the expected clearing account totals at month end.
• Attach YAML metadata to note processing times (settlement_days: 2) and calculate cash forecasting scenarios in Fava or downstream analytics.
• Export NACHA or processor event logs to version control so you maintain an immutable history outside the banking portal.

Frequently asked questions

Are EFT payments secure? They rely on encrypted bank-to-bank messaging and regulated networks. Your internal controls—like dual approval for new beneficiaries—are the most important safeguard.

How fast do EFTs clear? ACH is usually T+1 or T+2, wires settle same day, and instant payment products clear in seconds if both banks support the rail. Record the exact posting date to avoid timing mismatches.

Do I need special accounts in Beancount for EFTs? Not mandatory, but clearing accounts make it easy to spot delays and reconcile complex payouts. Think of them as a staging area that mirrors the processing network.

Keeping EFT activity transparent in Beancount gives you real-time visibility into working capital. With accurate postings, you can forecast cash, respond to customer inquiries faster, and close the books without hunting through bank portals.