Unable to pay my client's employees (W2 and1099) because of Direct deposit limit by QBO

I'll point you in the right direction for your query about the direct deposit limit increase request you have with your QuickBooks Online (QBO) Payroll, @RajeshKAgarwal.

I know how it can be frustrating to be held up like this when you just want to get this payroll concern resolved. We want to make sure this is taken care of by the correct department. Please note that this is a public forum and we do not handle account-related concerns to protect our customer's data.

That said, I highly suggest contacting our Payroll Support team. They can provide extra details about the direct deposit limit increase and further assist you and your client's payments increase.

Here's how to reach them:

1. In QBO, click the Help (question mark) icon at the top right.
2. Select a suggested option, or type Direct Deposit.
3. Tick Contact Us and choose a way to connect with us.

To know more about fixing DD issues in QBO, consider checking out this article for further guidance: Fix direct deposit issues.

Learn what you can do if you get an error message about direct deposit limits when you do payroll. Visit this article for future reference: Get help if you’re over a direct deposit limit.

Feel free to also browse this link in case you need help with payroll reports. It has payroll report topics that'll guide you: Payroll reports and forms.

I'm here to help with any other QBO Payroll-related questions you may have. Drop them in the comments below, and I'll handle them for you. Take good care, @RajeshKAgarwal.

Thank you for your reply.

I have already tried the route suggested by you and after submitting 6 months bank statements etc my request was denied. We can't keep idle funds in our bank account for 6 months just to prove to QBO that we have money to pay our employees. As a result we are running our payroll 3 to 4 times every month. 

I have been using QBO and other apps extensively for quite some time and being a certified ProAdvisor, it is my sincere wish that the word goes to the QBO payroll policy makers. They must revisit such policies which are based on a premise that small businesses can not grow exponentially.

I do understand this a public forum but still a community of QB users and I am sure there many others who would be facing similar challenges. We must not forget that the Systems are to help the business not create bottlenecks. I have a professional obligation towards my clients to offer them business friendly solutions. If this remains unresolved I have to find a system which can handle such scenarios better and more business friendly rather than bureaucratic. Thanks