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EDI 820

EDI 820 Payment Order/Remittance Advice:

The X12 820 transaction set provides the EDI format for transmitting information relating to payments. It is typically used in conjunction with an electronic transfer of funds for payment of goods, insurance premiums or other transactions. The actual funds transfer is often coordinated through the Automated Clearinghouse (ACH) system, and an 820 may be effectively wrapped in an ACH banking transaction.

The 820 transaction is used in a number of situations:
  • by businesses to provide instructions to banks for making a payment, such as a funds transfer, to a payee
  • by businesses directly to individual suppliers to communicate the details of a pending payment, including adjustments reflected in the payment
  • by companies providing premium payment information to health insurance plans
The information provided in an 820 document includes payer and payee identification, bank and account IDs, invoice number(s), adjustments from an invoice, billed and paid amounts. This information allows the suppliers and health plans to reconcile payments they receive against invoices they have issued.

In healthcare, the 820 is similar to the EDI 835 transaction set. The 820 is specifically for plan sponsors – that is, companies providing healthcare benefits to their employees – to transmit information on premium payments to the health plans. The 835 is used by the health plans for transmitting information on payments to healthcare providers.

With so many rules, and constant changes, it may be hard to keep it all straight. To get you where you need to go, don’t hesitate to contact 1EDISource Professional Services. With more than 20 years of experience building and implementing EDI solutions, we have the knowhow and the tools to help you. Contact 1EDISource to discuss your needs.

EDI 820 Format:

ISA*00*          *00*          *12*4405197800     *01*999999999      *111219*1726*^*00406*000000299*0*P*>
GS*RA*4405197800*999999999*20111219*1726*299*X*004060
ST*820*0289
BPR*I*4858.77*C*ACH*PBC
TRN*1*8888856834
CUR*BY*USD
REF*ZZ*8888856834
DTM*020*20111213
N1*PE*1 EDI SOURCE
REF*VR*999999
N1*PR*ABC CORP
ENT*1
RMR*IV*999742**631.55*644.44*12.89*PT*0
REF*PO*9995987985
DTM*999*20111206
RMR*IV*999734**489.81*499.81*10*PT*0
REF*PO*0007986970
DTM*999*20111206
RMR*IV*999740**882.51*900.52*18.01*PT*0
REF*PO*0007987985
DTM*999*20111206
RMR*IV*999735**1559.45*1591.28*31.83*PT*0
REF*PO*0008987657
DTM*999*20111206
RMR*IV*999736**7.78*7.94*0.16*PT*0
REF*PO*0005987886
DTM*999*20111206
RMR*IV*999744**342.17*349.15*6.98*PT*0
REF*PO*0009988315
DTM*999*20111206
RMR*IV*999741**946.68*966*19.32*PT*0
REF*PO*0008987985
DTM*999*20111206
RMR*OS*64024003**-1.18*-1.18*0*CM*0
REF*PO*990209
DTM*999*20111202
SE*35*0289
GE*1*299
IEA*1*000000299

EDI 820 Specification:

This X12 Transaction Set contains the format and establishes the data contents of the Payment Order/Remittance Advice Transaction Set (820) for use within the context of an Electronic Data Interchange (EDI) environment. The transaction set can be used to make a payment, send a remittance advice, or make a payment and send a remittance advice. This transaction set can be an order to a financial institution to make a payment to a payee. It can also be a remittance advice identifying the detail needed to perform cash application to the payee's accounts receivable system. The remittance advice can go directly from payer to payee, through a financial institution, or through a third party agent.

Sources
Accredited Standards Committee X12. ASC X12 Standard [Table Data].
Data Interchange Standards Association, Inc., Falls Church, VA.

EDI 820 News:

Using EDI/HQ to E-Mail Payment Advice Reports

Thursday, February 07, 2013

Did you know you can create and email consolidated reports from EDI/HQ?

The first step in creating a great report is by determining what data you are receiving and how it needs to be organized. One of the popular consolidated reports is based off the 820, the Payment Order/ Remit Advice map.

Using this inbound document EDI/HQ can create a report that consolidates the information into a single report. The report will show grand totals for each company that sent in an 820, instead of hundreds/thousands of payment detail lines, from all customers.

Enhancements to the Nordstrom 820 - Effective 7-26-2011

Thursday, July 21, 2011

Effective 7/26/2011, Nordstrom will be enhancing the EDI 820 to send, when available, additional information on adjustments in a new REF*PO segment. When this information is available, an additional REF with PO qualifier will be sent in the ADX loop:


ADX Adjustment
REF ZZ - Adjustment description
REF PO – PO/Remit Message - NEW!
DTM 097 – Date adjustment was taken

1 EDI Source, Inc - Solutions

Tuesday, July 06, 2010

You’ve got a challenge and need a solution – we’re the perfect fit and here’s why!

EDI Conversion Deadline for Loblaw Companies

Thursday, August 07, 2008

Loblaw Companies announced today important changes required for all of their Trading Partners and Vendors to continue to do business with them. These changes will begin to be in effect September 29, 2008.

Sears Trading Partner Update

Tuesday, March 04, 2008

Our move to Wachovia Bank has been delayed.

Page Title: Learn about the EDI 820 Payment Order/Remittance Advice