We are switching from Sage 50 to QBO and have all vendors and employees set up for eft payments. How is this possible with QBO?

Welcome to the Community, accounts@spanwes.

You'll want to set up your company for direct deposit. Once done, you can update your employee and contractor's information for EFT payments. 

To set up DD for employees:

1. Go to Workers or Payroll menu and select Employees.
2. Select the employee's name, and then select the edit icon beside Pay.
3. Under How do you want to pay this employee? select the way the employee wants to receive their pay:
   • Direct deposit
   • Direct deposit to two accounts
   • Direct deposit with balance as a check
4. Enter the routing and account numbers from the employee's voided check and select Done.

For contractors:

1. On the Workers menu select Contractors.
2. Choose the contractor's name. The drop-down for Pay with direct deposit will show if the bank account is already added to the contractor's profile.
3. Click the Add bank.
4. Enter the contractor's bank account information, then choose Save.

Check out these articles for more information and future references:

• Pay a contractor with direct deposit
• Change an employee's direct deposit information
• Create pay checks in online payroll

Let me know if you need to set up anything in QuickBooks. I'll be more than willing to help.

Thanks for the reply. I have all the information for the direct deposit for employees and contractors but QBO that I use does not have that option. Do I need to change the QBO I have to a higher one? In January 2021 I will be activating the payroll but not until then.

Is there a work around? I have the essential version I believe.

Hello there, accounts@spanwes.

First of all, I'd like to thank you for allowing QuickBooks to serve you with your business needs. 

When it comes to your concern with paying your employees and contractors, you'll need to have an active payroll subscription to utilize the direct deposit feature.

For now, to pay them, you'll need to create manual checks since you're not activating the payroll yet. 

Once you're ready to activate the payroll subscription, you can always check out this link that contains different payroll plans that we offer: Let’s find the payroll plan that’s right for you.

In addition, I'd also like to share this article that provides information on how to track paychecks that were created outside QuickBooks in the system in case you need it: Manually enter payroll paychecks in QuickBooks Online.

Please know that I got your back if you have any other questions with QuickBooks. I'd be pleased to assist you. Keep safe.