Payroll processing time depends on the payment method. Direct deposit payroll in QuickBooks Online requires submission two banking days before the pay date, while printed checks can be issued immediately after payroll is processed.
How To Run Payroll In QuickBooks?
17/03/2026
12Min
Payroll management happens to be one of the most important tasks for any business to take care of. QuickBooks makes payroll management easy for businesses to calculate the wages of employees, deduct taxes, and provide paychecks. If you are wondering how to run payroll in QuickBooks, then it is important to understand the correct workflow.
Whether you’re paying employees on a weekly or bi-weekly basis, having that knowledge of how to run payroll on QuickBooks ensures compliance and smooth payroll operations.
Need help with how to run payroll in QuickBooks correctly? Speak with our certified accounting specialists today +1-888-440-2022.
How To Run Payroll In QuickBooks?: An Overview Of The Payroll Process
Before moving on to the step-by-step process, it is important to have an understanding of the payroll processing system within QuickBooks. When companies learn how to run payroll in QuickBooks, they are essentially following a process that helps them pay their employees the right amount while calculating taxes automatically.
QuickBooks Payroll allows businesses to process payroll using direct deposit or paper checks while automatically calculating federal and state payroll taxes. The system helps track employee earnings, deductions, and tax liabilities in one place.
Many small businesses searching how to run payroll on QuickBooks discover that the process becomes simple once the initial setup is complete.
The Typical Payroll Workflow In QuickBooks
The standard sequence of payroll is as follows:
- Setting up employees and payroll tax information.
- Choosing a payroll schedule (weekly, biweekly, monthly).
- Entering employee hours or salary amounts.
- Reviewing payroll deductions and tax calculations.
- Previewing payroll totals before submission.
- Submission of payroll for processing purpose.
- Generation of paychecks or even direct deposits.
- Providing employees with pay stubs.
Once payroll is submitted, QuickBooks processes the payments and schedules employee deposits on the selected pay date. The system also records payroll transactions automatically in your accounting reports.
Understanding this workflow makes it much easier for businesses learning how to run payroll on QuickBooks, especially when managing multiple employees or different pay schedules.
Prerequisites Before Running Payroll In QuickBooks
There are several steps inside the software that need to be completed before proceeding with running payroll in QuickBooks. QuickBooks payroll is designed to automate tax calculations and payments, but it relies on accurate employee and company information.
If these steps are bypassed, payroll problems may result. Therefore, it is necessary to ensure that all settings have been correctly configured prior to running payroll.
1. Activate QuickBooks Payroll Subscription
To run payroll, your company must have an active QuickBooks Payroll plan. Many businesses researching how to run payroll QuickBooks online often discover that payroll features only become available after the payroll service is activated.
2. Adding Employees Details To QuickBooks
You must enter each employee’s details before payroll can be processed. This includes:
- Full name and address.
- Their Social Security Number.
- Job role and compensation type.
- Pay schedule.
- W-4 Forms (Federal and state tax withholding forms).
3. Set Up Payroll Schedules
Payroll schedules determine when employees are paid. Common schedules include:
- Weekly
- Bi-weekly
- Semi-monthly
- Monthly
4. Connect A Bank Account For Payroll Payments
QuickBooks requires a verified bank account to process payroll transactions. This account is used for:
- Direct deposits of employee
- Tax payroll payments
- Paycheck withdrawals
Businesses that want to understand how to run payroll QuickBooks online must ensure their payroll bank account is verified to avoid payment delays.
5. Reviewing Employee Pay Rates And Timesheets
Before submitting payroll, you need to verify the following:
- Hourly payments or salary amounts
- Overtime rules
- Timesheets for hourly workers
- Bonuses or commissions
If you’re unsure about payroll configuration or facing setup issues while learning to run payroll in QuickBooks, our QuickBooks specialists can guide you through the process. Contact our payroll experts anytime +1-888-440-2022 for professional assistance.
How To Run Payroll In Quickbooks Online?
Once payroll setup is complete, the entire process of how to run payroll in QuickBooks online becomes straightforward. QuickBooks Online comes with a payroll dashboard that easily walks you through each step, from entering hours to submitting payroll.
Step 1: Open the Payroll Dashboard, log in to QuickBooks Online and then go to Payroll →
Employees. From this section, you can manage employee information, timesheets, and payroll runs.
Step 2: Click the Run Payroll button. If you have multiple pay schedules, QuickBooks will display the appropriate payroll period automatically.
At this point, confirm the following:
- Pay period start and end dates
- Employee pay date
- Payroll schedule being used
Step 3: Choose the Employees you need to pay to. QuickBooks then will display all employees assigned to that payroll schedule. You can select or deselect employees depending on who needs to be paid during the payroll run.
For each employee, enter:
- Regular hours worked
- Overtime hours, if applicable
- Bonuses or commissions
- Sick leave or vacation hours
This is one of the key steps when performing payroll QuickBooks online, since accurate hours determine the payroll calculations.
Step 4: After entering employee hours, QuickBooks automatically calculates:
- Gross pay
- Federal payroll taxes
- State taxes
- Employee deductions
- Employer payroll contributions
Click Preview Payroll to see a detailed summary before submission.
Step 5: Once everything looks done and is correct, click on Submit Payroll. QuickBooks will then do the following:
- Process employee paychecks.
- Schedule the direct deposits.
- Record payroll expenses in accounting reports.
For businesses using direct deposit, payroll must usually be submitted two banking days before the pay date.
Step 6: After payroll is submitted, QuickBooks generates pay stubs that employees can access through the employee portal. Even the employers can download reports such as:
- Summary reports of payroll
- Tax liability reports of payroll
- Employee earnings reports
These reports help businesses track payroll expenses and maintain accurate financial records.
Errors During Running Payroll In QuickBooks
If you ever face errors during running payroll in QuickBooks online, professional assistance can help you avoid payroll delays or tax mistakes. Our QuickBooks payroll specialists are available to guide you through the process. Call our accounting support team anytime +1-888-440-2022.
How To Run An Off Cycle Payroll In QuickBooks Online?
Sometimes businesses need to issue payments outside the regular payroll schedule. In these situations, QuickBooks allows employers to run unscheduled payroll.
While looking for how to run an off cycle payroll in QuickBooks online, know that an off cycle payroll ensures employees receive specific payments quickly while still maintaining proper payroll records and tax calculations.
When Off-Cycle Payroll Is Used?
Businesses typically run off-cycle payroll in the following situations:
- Employee bonuses
- Commission payouts
- Termination or final paychecks
- Payroll corrections
- Reimbursements or fringe benefits
These payments are treated separately from the regular payroll schedule, allowing employers to process them immediately.
Steps To Run Off Cycle Payroll In QuickBooks Online
If you’re learning how to run an off cycle payroll in QuickBooks online, follow these steps:
- Open QuickBooks Online and go to Payroll.
- Click Employees from the payroll dashboard.
- Select the Run Payroll dropdown option.
- Choose a payroll type such as:
- Bonus only payroll
- Commission only payroll
- Unscheduled payroll
- Select the employee who will receive the payment.
- Enter the payment amount or applicable earnings.
- Review taxes and deductions in Preview Payroll.
- Click Submit Payroll to finalize the payment.
Once the submission is done, QuickBooks then calculates the necessary payroll taxes and records the transaction automatically in your payroll reports.
Important Tip: Remember that even though off cycle payroll runs outside your regular schedule, the payments still follow standard payroll tax rules. So, always review payroll totals before submitting to be sure about the accuracy.
If you’re unsure about how to run an off cycle payroll in QuickBooks online or want help processing bonus or correction payments properly, call our QuickBooks specialists today +1-888-440-2022 for immediate support.
How To Run Payroll In QuickBooks Desktop?
Businesses with QuickBooks Desktop can easily process the payroll functionality directly from the Employees menu. While the interface is a little different from QuickBooks Online, the overall payroll workflow still remains similar.
While looking for how to run payroll in QuickBooks desktop, it is normal to discover that once payroll items and employee details are configured, running payroll becomes a routine task.
However, businesses must ensure their payroll tax tables are updated regularly to maintain accurate calculations.
Steps To Run Payroll In QuickBooks Desktop
To get an easy grasp on how to run payroll in QuickBooks desktop, follow the following steps:
- Open QuickBooks Desktop software, then go to the Employees menu.
- Click on Pay Employees.
- Choose Scheduled Payroll or Unscheduled Payroll depending on the payment type.
- Select the payroll schedule for the employees you want to pay.
- Review the pay period and paycheck date.
- Enter employee hours for hourly workers or confirm salary details.
- Add any additional earnings such as bonuses or overtime.
- Review taxes, deductions, and net pay amounts.
- Click Create Paychecks to process payroll.
After paychecks are created, QuickBooks records the payroll transactions automatically in your company file.
Printing Paychecks Or Using Direct Deposit
Once payroll is processed, employers can choose how employees receive payment:
- The first option is to print Paychecks, as QuickBooks Desktop allows you to print physical checks using check stock.
- Second is Direct Deposit, if the direct deposit is enabled in your payroll service, employees receive their payments electronically.
Payroll Reports And Records
QuickBooks Desktop also generates several payroll reports that are really helpful for businesses to track payroll expenses, including:
- Payroll Summary report
- Employee Earnings report
- Payroll Tax Liability report
These reports help ensure payroll records remain accurate for accounting and tax compliance.
If you run into issues while figuring out how to run payroll in QuickBooks desktop, professional support can help prevent payroll errors or tax miscalculations. So speak to our QuickBooks payroll specialists by calling +1-888-440-2022.
Common Payroll Mistakes To Avoid In Quickbooks
Even after learning how to run payroll in QuickBooks online, businesses can still face payroll issues if certain details are overlooked.
Even a small error can result in incorrect paychecks, tax filing problems, or even delayed employee payments. So, avoiding these common errors helps in making sure that the payroll process is a smooth one.
1. Payroll Submission After The Direct Deposit Cutoff: One of the most common issues happens when payroll is submitted too late. QuickBooks requires payroll to be submitted before the direct deposit cutoff time, which is usually two banking days before the pay date.
2. Incorrect Employee Tax Information: Employee tax forms such as the W-4 determine federal withholding amounts. If this information is missing or incorrect, QuickBooks may calculate payroll taxes inaccurately.
3. Missing Or Incorrect Timesheets: For hourly employees, payroll calculations depend entirely on recorded work hours. Businesses knowing how to run payroll in QuickBooks online should confirm that timesheets are complete before running payroll.
4. Using The Wrong Payroll Schedule: Many companies manage multiple payroll schedules, especially if they pay both hourly and salaried employees. Choosing the wrong schedule during payroll processing can generate incorrect pay periods.
QuickBooks allows you to verify the pay period before submitting payroll, so it’s important to double-check this step.
5. Skipping Payroll Review Before Submission: QuickBooks comes with a Preview Payroll feature that displays the full payroll summary before submission. Skipping this step may cause businesses to overlook a lot of important checkpoints.
Knowing how to run payroll in QuickBooks is important for any business that wants to pay employees accurately while staying compliant with payroll regulations. Whether you’re using Online or Desktop, this guide will help you in mastering the act of how to run payroll in QuickBooks and save time and reduce payroll errors.
If you’re stillfeeling troubled on how do I run payroll inQuickBooks online?, our certified payroll professionals can help. Contact our experts today+1-888-440-2022 for immediate support.
You May Also Read:
How To Download QuickBooks Desktop?
How To Set Up Payroll In QuickBooks?
FAQ's
How Long Does It Take For QuickBooks Payroll Process To Complete?
Can Payroll Be Done Manually In QuickBooks?
Yes. Businesses can process the payroll manually by entering the hours of employee and salary details before submitting payroll. However, using automated payroll tools when learning how to run payroll on QuickBooks online helps calculate taxes and deductions automatically, reducing manual errors.
What Happens If Payroll Is Submitted Late In QuickBooks?
If the payroll is submitted after the cutoff time for direct deposit, employees may not receive their pay until the next banking day. There may also be a need to issue manual checks to employees to ensure that they receive their pay in a timely manner.
Can QuickBooks Automatically File Payroll Taxes?
Yes. QuickBooks Payroll can automatically calculate, file, and pay payroll taxes depending on the payroll plan you choose. This comes with federal taxes, Social Security, Medicare, and state payroll taxes where applicable.
Is There Any Need Of Payroll Subscription To Run Payroll In QuickBooks?
Yes. To utilise the payroll features, businesses must have an activated QuickBooks Payroll subscription. Without an active payroll plan, QuickBooks accounting software cannot process employee paychecks or tax calculations when trying to run payroll in QuickBooks.
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