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From 15 June 2026, QuickBooks Payroll is changing how it calculates your monthly per-employee charge.
What exactly is changing?
The way QuickBooks counts employees for billing is changing. Currently, you're billed for every employee whose payroll was run during the month. From 15 June 2026, you'll be billed based on which employees are marked as Active at the start of your billing month. The base fee and per-employee amounts stay the same, only the counting method is changing.
What does 'Active' mean?
An Active employee is someone currently on your payroll who will be included in your monthly bill. An employee marked as 'Not on payroll' for example, someone on extended leave, a seasonal worker not currently engaged, or someone who has left the business won't be included in your bill.
Do I need to do anything before 15 June?
Yes! It's worth reviewing your employee statuses before your Billing Day of Month (BDOM). Any employee who isn't currently on a pay run should be marked as 'Not on payroll'. If you don't update statuses before your BDOM, you could be charged for employees who are no longer active.
How do I update an employee's status?
Step 1: Open your employee list [Help Article]
Step 2: Update each employee's status. [Help Article]
What will my first bill look like after the change?
Your first bill on or after 15 June 2026 will include two separate charges, a final charge for the previous month under the current billing model, and a charge for the upcoming month under the new model. This is a one-time occurrence. From the following month, you'll receive a single charge as normal.
Are the fees changing?
No. There are no changes to the fees for QuickBooks Online Payroll Core. The base fee and per-employee rate stay the same.
I use QuickBooks Online Core Payroll alongside a QuickBooks Time product, does this affect me? Yes, slightly. Your subscription will be updated to an equivalent bundled plan, and your QuickBooks Time access will be included in the new plan.
I have more questions, where can I get help?
Drop your question in the thread below and our team will help. You can also visit our support article for the full breakdown.
