Every time I try to pay a contractor as a vendor, it prompts me to pay as a contractor--it's an endless loop without the online bill pay option I get for vendors.

I'd be pleased to assist you in paying your contractors in QuickBooks Online, @nicole-qh-pr-com.

The Online Bill Pay option is only applicable for bills. If you've created a bill for your contractor then you can utilize this option in paying them. Here's a reference that you can bookmark to guide you in using the pay bills feature in QBO: Pay bills in Online Bill Pay.

On the other hand, if you want to issue a check for your contractor, you can pay them by going to the Contractors page. This way, you can create and print a check manually if you refuse to use the direct deposit option. Know that you can also attach a bill to the check that you're going to make.

To do that:

1. Click on Payroll at the left pane.
2. Refer the Contractors tab.
3. Choose the contractors name and hit on Write Check. 
4. Enter the information needed. If you want to add a bill, just select on Add to the bills that will show up. 
5. Tap on Save and Close. 

To give you complete details about paying a contractor in QBO, please see this article: Learn how to create paper checks to pay your contractors in QuickBooks and Intuit Payroll.

Know that I'm always here to help if you need anything else. Have nice day!

Thank you for responding. This contractor requested a paper check (so ACH is not an option), and I don't have the option to print my own checks--I was hoping to have a check sent via Bill Pay/Melio just as I have with other vendors. 

I'm happy to have you back, @nicole-qh-pr-com.

Let me provide some clarifications regarding printing checks for your contractors.

Once you turn on the bill pay option for your vendors' payment, this will not generate a check. To pay your contractor, I recommend creating a check from the contractor's page. Their bills can also be associated with this transaction.

Please follow the steps I've shared above on how to do this.

Moreover, if you want to disable the online bill pay option for this contractor, you'll need to reach out to your service provider so they can do it for you.

Let me know if you have any other questions. I'll make sure you're all set. Keep safe!

Thank you for trying to help but you still haven't actually answered the original question. I am having the same issue.

I have a contractor that is simply a Vendor that will receive a 1099, not an employee of any type. They send me bills and I enter the bills into their vendor profile like every other vendor. When I click on schedule online payment using Melio like all other vendors, it automatically directs me to pay them via direct deposit through Payroll. I do not have a payroll and am not going to set one up.

The direct deposit dropdown in the contractor field is completely blank and doesn't allow me to add the contractors bank info. I cannot pay them via paper check it is not an option.

Please help!

Nice to see you here, @nataliebergeron23,

I want to share some more insights regarding this Direct Deposit concern. Yes, when you opt to pay vendors fro direct deposit, it will require a payroll subscription to enable.

I'm sharing these articles with the information on how to use DD for contractors in QuickBooks:

• Set up and manage direct deposit for your contractors
• Paying Independent Contractors using Direct Deposit

If you need to remove a contractor from direct deposit, follow the steps below.

1. Go to the Vendors menu and choose Vendor Center.
2. Double-tap the name of the vendor you want to edit.
3. Choose Additional Info tab.
4. Click on the Direct Deposit button.
5. Tap to clear the box Use Direct Deposit for: this vendor.

Now you can start paying bills manually in QuickBooks. See this link for the process: Pay bills in QuickBooks Desktop

In case you're still unable to process manual entries, please reach our to our Support Team. They can help you further with the settings and provide additional troubleshooting. To contact us, follow the steps below:

1. Open QuickBooks and click the Help menu.
2. Select QuickBooks Desktop Help.
3. On the pop-up screen select Contact us.
   
4. Click the Search for Something else button then type your concern in the Ask us anything box.
5. Press Search then scroll down to get your contact options.

Check this article to learn more about our contact options and support availability: Contact QuickBooks Desktop support

Come back here again for any updates about this issue. I'll be right here to ensure this vendor concern is fully resolved. Have a nice day!

Hey Nicole, what I discovered is that I have to change the category from something other than "Contractors" which by default in your chart of accounts is a detail type of "Payroll Expenses" to something that is not a "Payroll Expenses" detail type. For example if you swap it over to something like "Interest Paid" (which I know is not right - just for purposes of correcting this) it will allow you to go on to bill payment like you would expect.

Hopefully, Intuit will fix this however, they will probably come back with it "working as designed" which as we know sucks and now we as users have to spoof the system by using some category that does not accurately reflect the true type of expense and we have our books all screwed up just because they programmatically put this in.

I am experiencing the same issue. It seems to be a forced redirect from QuickBooks Online that you can't get around trying to sell their payroll subscription, but if you log into your Melio account directly you'll find the bill there and can pay your contractor that way. 

Thanks. This was the easiest way to make the payment.  Appreciate it.

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@taylorbee wrote:

I am experiencing the same issue. It seems to be a forced redirect from QuickBooks Online that you can't get around trying to sell their payroll subscription, but if you log into your Melio account directly you'll find the bill there and can pay your contractor that way. 

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