We can help you learn setting up direct deposit in QuickBooks Desktop Payroll.
Are you willing to sign up for direct deposit? QuickBooks Desktop Payroll comes with very easy steps to register. Read through to know the requirements and understand the procedure.
Requirements for Signup
You will have to confirm the following before you sign up for direct deposit in QuickBooks desktop.
- Supported version of QuickBooks Desktop
- Active QuickBooks Desktop Payroll subscription
- Federal Employer Identification Number (EIN)
- Internet access
- Bank account that can handle Automated Clearing House (ACH) transactions within the United States
Important: Nominal per-payroll transmission and per-transaction fees may apply. Terms, conditions, features, pricing, service options, and support are subject to change without notice.
Signing up for Direct Deposits
- Go to the Employeesmenu, select My Payroll Services, then Activate Direct Deposit.
- Complete and review the form. In theVerify Your Company Information section:
- Select Edit.
- Make sure the Zip code has only 5 digits. Extension should not be included.
- From the Industrydrop-down, choose the industry which closely reflects your company’s main business.
- Enter the owner’s or principal’s email address, 9-digit Social Security Number, and date of birth (mm/dd/yyyy). These are required according to the National Automated Clearing House Association (NACHA) rules and regulations.
- Edit the Payroll Administrator Information and confirm the email address.
- Enter the bank account information that Intuit QuickBooks Payroll debits for Direct Deposit transactions and fees. This is the bank account used to pay your employees.
- Select View Agreement. Once looked over, select the I have read and agree to the terms of service agreement
- In the Check Security Limitssection, answer the questions provided.
- Select Submit. (If nothing happens after selecting Submit, remove all the information on the form. This includes information from the Edit links. Manually re-enter the information, then select Submit)
- A Confirmation page appears with the Next Stepsinstructions, which you can print.
- SelectReturn to QuickBooks at the bottom.
Before using Direct Deposit
Once you have signed up, but before you can use direct deposit, do the following three things.
- Verify your bank account.
Intuit makes 2 small withdrawals of less than $1.00 each after you have provided your initial bank information during signup. The amounts deducted helps to verify that you’re the authorized user and the account is ready for authorized payroll transactions and fees. (For more information, see Enter Direct Deposit test debits.)
- Set up your employee’s bank account information in QuickBooks.
All the employees who want to be paid by Direct should provide you with their bank account information and must give written approval to you for Direct Deposit of their pay checks. (For more information, see Set up, edit, and remove Direct Deposit for Employees in QuickBooks Desktop.)
- Create pay checks for direct deposit. (See this article for instructions: Create pay checks for Direct Deposit.
- Direct Deposit processing timeline
It’s important to understand payment processing timelines, so deposits to your employees aren’t delayed.
- Direct Deposit is sent to Intuit before5 pm PST, two banking days before the check date. (Important: Pay checks can be sent up to 45 days in advance.) At this time:
- The transaction is still considered Pending.
- You can avoid any previously sent pay checks or send additional pay checks.
- Payroll is then offloaded at 5 pm PST, two banking days before the check date.
- The transaction can’t be stopped from being processed.
- The payroll is electronically sent to the Automatic Clearing House (ACH) for processing.
- Intuit debits your bank account 1 banking day before check date.
- This can happen within a 24-hour window.
- The funds should be available in the bank account no later than 5 pm PST, two banking days before the check date.
- If the payroll is returned due to NSF, you can check this article to know more.
- Funds are posted (pay day).
- Check date will make ensure that Funds are deposited to your employee’s account on the given date.
- The Direct Deposit posting time or the availability of funds is determined by the employee’s bank and is not controlled by Intuit.
- If the check date falls on a non-banking day, the funds are posted in the employee’s bank account on the next banking day.
- The employee’s bank only has until 5 pm local time on the day of the check date to post the funds to the employee’s bank account.
- To know more about when funds are posted, see when do direct deposits post?
Late Direct Deposit checks
If the Direct Deposit checks are sent later than 2 banking days before the check date, your employees won’t be able to receive their pay checks on time. (You can set up a payroll schedule so QuickBooks can remind you when you need to create and send payroll.)
If you’re getting the following late alerts try the following:
Late Payroll warning while entering hours and reviewing pay checks.
You can change the Direct Deposit checks to Printed checks. Either clear the Use Direct Deposit checkbox in the Preview Pay check window or clear the check in the Direct Deposit column on the Review & Create Pay checks windows.
Late Payroll warning while attempting to send Direct Deposit pay checks to Intuit.
Change the pay check from Direct Deposit check to a Printed check.
- Go to the Pay Employees
- Under Other Activities, selectEdit/Void Pay check.
- Select the appropriate check, then Edit.
- On the pay check, select Pay check Detail, and then remove the check in the Use Direct Deposit
- Select OK, then Save & Close. You can now print the pay check with the rest of your payroll.
You may call our QuickBooks Customer Care Support USA executive on our toll-free number. There are other mediums also to contact us. You may contact us to visit our website portal @ www.quickbooksupport.net or even reach out to us by sending us an email at firstname.lastname@example.org.