Payroll Direct Deposit Fee Account

Hi KimAZ,

Hope you’re doing great. I wanted to see how everything is going about changing the direct deposit fee account. Was it successful? Do you need any additional help or clarification? If you do, just let me know. I’d be happy to help you at anytime.

Looking forward to your reply. Have a pleasant day ahead!

Hi Charlene,

Yes, that worked.  Thank you for your help!

Have a great day,

Kim

We are a tax, bookkeeping and payroll company. We are encouraging our payroll customers to start direct deposit. Is there a way to have just the fees debited from our company account and the payroll from the employer's account?

Thanks!

Hi Paula!

Thank you for letting your customers use the direct deposit service.

Currently, we're unable to take charges from a different account, but only to the one that is being used for direct deposit. What I can suggest is just refund your customers if that would work between you both.

Let me know if you have other questions in mind. Take care and have a good day!

Can you set up a class for direct deposit fee, we have two camps and our employees get classed by which camp they are employed at, if we could also put a class in for the fee vs being unclassified that would be awesome!

Good to see you on this thread, Hamilton12.

In QuickBooks Desktop (QBDT), you have the option to set up a class for your direct deposit fee. I'll be happy to guide you the way:

1. Go to the Employees menu at the top.
2. Select Send Payroll Data.
3. Click the Preferences button to open the Payroll Service Accounts window. If the Preferences button is missing, update QuickBooks to the latest release.
4. Set the Class assignment. 
5. Click OK.
6. Choose Send.
7. Enter your PIN.

To help you manage your payroll, you can read the below articles:

• Set up your company payroll for direct deposit
• Change your payroll bank account

Let me know if there’s anything else you need in managing your payroll service. I’ll be around ready to lend a helping hand. Have a good one and keep safe!

I see that you can add the class for the payroll fees in general, but is it possible to have this tied to the employee's class? My client has two locations each using direct deposit to pay their employees but one location has 24 employees the other has 6. Right now the payroll expense is showing a direct deposit fee of 1.75 per employee but all 30 are lumped into one amount and not able to be split by class besides manually adjusting this. The class setup is new so I'm trying to apply this to prior payrolls run earlier this year. My question is, can I do this in bulk? And will the direct deposit fee be split by class on future payrolls? Or will it still be one lump total that can only be assigned to a single class?

Good day, @erikajwsco.

You're correct that you can add the class for the payroll fees. However, tying it to the employees' class is unavailable. Thus, the other options you're looking for are currently impossible. Though we don't have a specific timeframe when this will be made available, rest assured that our latest news and updates, including product improvements, will be posted on this page or visit the What's New section on your QuickBooks Desktop (QBDT) account.

In the meantime, I suggest sending feedback straight to our product engineers. Sharing features and options you'd like to implement is how our engineers look for new product updates.

To send feedback, here's how:

1. Go to the Help menu at the top.
2. Select Send Feedback Online.
3. Click Product Suggestion.
4. Choose a feedback type and product area on the QuickBooks Feedback window. 
5. Enter your feedback, name, and email address (optional).
6. Once done, click on the Send Feedback button.

In addition, you might want to check this great article that provides detailed information on how to print paychecks in QBDT.

For future reference for tips and related articles about the "How Do I" steps in QBDT, visit our QuickBooks Community help website.

If you have any additional ideas or concerns, please let me know. Take good care.

I too am a tax, payroll accountant. I pay for the payroll service but want the direct deposit fees to come out of the bank account the payroll is coming out of.  I have several payroll clients and currently it is being charged to my credit card I use for the annual payroll service.  Then I have to split it out and direct bill each customer.

How do I change the fee to come out of each bank account the respective client's payroll is coming out of?

Good day, Alaskan Accountant.

Let me help you change the account for your direct deposit fees in QuickBooks Desktop Payroll.

QuickBooks posts fees (such as monthly, employee, or direct deposit fees) to a specific account once payroll is transmitted. I'll show how to assign the fees to a specific bank account.

Here's how:

1. Go to Employees, then Send Payroll Data.
2. Click the Preferences button to open the Payroll Service Accounts window.
3. Using the drop-down arrow, select the appropriate choice for your Payroll Service Fees Account.
   
4. Hit OK.
5. Select Send. Then, enter the PIN.

Also, If the Preferences button is missing, update QuickBooks to the latest release.

I've added this article for more information in managing your payroll:

• Set up your company payroll for direct deposit.
• Change your payroll bank account

Get back to this thread if you need further assistance with your payroll. I'll be here to lend a hand. Keep safe!

This recommendation only changes where the expense portion of the direct deposit fees are applied to in the account.  It does not change where my individual fees are paid from for each of my clients.  I am unable to choose each bank account for each client that I process.  The direct deposit fees should come directly out of the bank account that the direct deposit payroll is coming out of. As of right now, they are all being charged to my business credit card, and I must separate and bill each client individually.

I agree that the suggestion above only changes where the expense part of the direct deposit fee is applied to the account, @Alaskan Accountant. 

I'll share additional details about this matter so I can guide you accordingly. 

If you use QBDT Payroll Enhanced for Accountants, ensure to use the same bank account in the Bank account and Payroll Service Fees Account fields. This way, the direct deposit fees and employee payroll will apply to this account. See the screenshot provided by Archie_B above. 

If your payroll subscription isn't Enhanced for Accountants, the monthly employee fees may be charged to your business credit. The payroll subscriptions offer no limit on the number of employees you can add to QuickBooks. However, some subscriptions may charge additional fees.

• Basic - $2.00/ employee per month
• Standard - no charge for adding employees
• Enhanced - $2.00/ employee per month
• Enhanced for Accountants - no charge for adding employees
• Assisted - $2.00/ employee per payroll

For more information, check out this article: QuickBooks Payroll Services and Features for QuickBooks Desktop.

Though there is no limit to the number of employees that can be added, QuickBooks is geared toward small enterprises. If you have added 800 or more employees, you may incur performance concerns or additional costs. I recommend contacting our payroll specialists to confirm the exact fees. 

Here's how: 

1. Go to the Help menu and select QuickBooks Desktop Help/Contact Us.
2. Select Contact Us. 
3. Enter your concern in the list and click Continue. 
4. Pick Chat with us or Have us call you and complete the necessary details.

Ensure to call them within business hours for a swift response. 

I've added the following articles so you can learn how to increase your direct deposit limit and manage employee information:

• Change your employee's direct deposit info.
• Get help if you're over a direct deposit limit.

I'm always ready to assist you if you have other questions or concerns about your payroll. Tag me in your reply, and I'll sprint back into action. Keep safe.