In QuickBooks Desktop Payroll, you can create and send direct deposit paychecks to your employees.
Your payroll must be processed and sent to Intuit before 5 p.m., Pacific Time, two federal banking days prior to your paycheck date in order to guarantee your direct deposits process on time.
Banking holidays can effect when your employees get paid. Keep holidays in mind before deciding when to create and send paychecks. For more information: How do bank holidays affect my payroll?
Before sending payroll to Intuit:
- Create and send your employee direct deposit paychecks separately from your vendor direct deposit paychecks.
- Create and send your direct deposit paychecks in the same company file where you have been sending your direct deposit paychecks. Sending paychecks in a different company file could cause data loss.
- After creating paychecks, Intuit recommends that you switch to Single-user Mode, before sending. You may switch back to Multi-user Mode when the transmission has completed.
Important for Assisted Payroll: In addition to your direct deposits, in order for your payroll taxes to be paid on time, you must process payroll by 5 p.m., Pacific Time, two federal banking days prior to your paycheck date. If you do not process your payroll in this time frame:
- You may be charged a $100 backdating fee
- Your direct deposits will not clear on time
- You will be responsible for any payroll penalties and/or interest accrued for late tax payments.
To send Payroll to Intuit:
- From the QuickBooks Desktop menus at the top, select Employees > Send Payroll Data.
In the Send/Receive Payroll Data window, review the following information in the Items to Send area:
- The paychecks to be processed.
- Taxes and Direct Deposit (if applicable) amounts.
- The funds to be withdrawn from your account. (The amount shown does not include applicable fees.)
- Any changes in your payroll information. For detailed information about each item, select the item in the Items to Send list, and select View.
Select Send All. Enter your Payroll Service PIN then select OK.
If you are get a message that QuickBooks cannot find the following account, see the information below:
Note: The message that appears might vary depending on your activity. Review the following examples:
- If you just changed your bank account that you use to post Payroll Fees or Direct deposit Fees, you get the message "QuickBooks cannot find the following account."Select the down arrow and select the checking account you use for payroll fees from list of Accounts.
- If you are sending a zero payroll after voiding paychecks, you may receive the message that "QuickBooks cannot find the following account."Select the down arrow and select Payroll Service Asset Account from the list of Accounts. QuickBooks uses this account to post any tax credit (over paid taxes) as result of void.
- When the transmission is complete, you will return to the Send/Receive Data window. Under Items Received, select View to view important payroll messages or Confirmation Reports. While viewing the item, select Print to print the report or message.
- Select Close to close the Send/Receive Data window.
To check if payroll was received by Intuit:
After payroll has been sent, a confirmation of payroll receipt is available to view as a report in the Items Received window. Another way to confirm your payroll sent successfully is to view the paychecks and payroll liability check in your QuickBooks bank register. If the liability check and paychecks have a green lightning bolt beside them, your payroll information was sent successfully.
Note: Individual financial institution policies determine the exact time direct deposits are posted, but employees should receive their direct deposit before 5 PM their local time. Intuit cannot guarantee that direct deposit funds will be available in bank accounts of employees by the paycheck date. Advise your employees to check with their banks to find out when funds are posted. See When do direct deposits post? for more information.