How to Set Up Direct Deposit For Employees in QuickBooks Desktop?

Do you know ‘How to set up direct deposit for QuickBooks Desktop? – This is the topic for today, if you don’t know ‘How to do this?’ then, read this blog carefully, and enhance your knowledge to perform it.

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Procedure to Set Up Direct Deposit for Employees in QuickBooks Desktop:

We have to follow two steps to set up and manage the direct deposit for employees, so let’s start without wasting any time:

Step 1: Do the Paperwork Together

In this step, you can set up the process of checking, savings, pay card, or money market accounts in direct deposits.

First, you need to fill out the direct deposit authorization form of, sign, and date by your company employees.  For getting the form you can select the section below for your version of payroll.

And then you sure to get to the account and routing number of your company employees. Tell them to attach a voided check to provide the necessary bank account information ( and provide the information that is not a deposit slip, only a void check).

Important points to be noted:-

  • The employee’s bank accounts must be United States accounts that accept ACH transactions.
  • If it should be set up as savings or checking then your company employees will need to verify with their bank for the money market accounts.

Set Up the Direct Deposit Authorization Form:

QuickBooks Desktop Payroll

The QuickBooks Desktop employees who want direct deposit must fill out a Direct Deposit Authorization form and with a voided check from their bank account that provides you the information of the bank details( but check that that is not a deposit slip). The authorization form and voided check are for your records only, and then you do not need to submit them to QuickBooks Desktop.

QuickBooks Online Payroll

  • Firstly, you go to the Taxes option and click on the option of Payroll Tax.
  • Then, click the Employee Setup option.
  • After that, once you reach the page of Authorization for Direct Deposit, then you click on the option of Bank Verification.
  • And then finally, click on the View and print option.

Intuit Online Payroll

  • In this section, you can firstly click on the Taxes & Forms option
  • After that, you can click the Employee & Contractor Setup option.
  • And then you can finally click on the option of Bank Verification, and then select the View and print option.

Step 2: Add Employee to Direct Deposit

When you will complete these above setup, then you create for the employee will be marked for a direct deposit that is the next paycheck. You can also do a version that you want, then select your version of the payroll to follow the below steps:-

QuickBooks Desktop Payroll

You can inform your company employee that QuickBooks Desktop only accepts checking or savings accounts if the employee’s bank says that the account should be tagged as a money market, So, that time you should select the checking option.

  • To open your employee list then you can click the option of Employees and then choose the Employee Center.
  • Then, click on the option of the employee’s name of your company.
  • After that, you can click on the Payroll Info tab.
  • Then, you can click on the option of Direct Deposit button.
  • After the above process completed you can select the option of Use Direct Deposit for [employee’s name] in the Direct Deposit window.
  • Select the given option of whether to deposit the paycheck into one or two accounts.
  • Then it is necessary to enter the employee’s financial institution information, which is Bank Name, Routing No., Account No., and Account Type.
  • You can enter the amount or percentage if you choose to deposit to two accounts that in the Amount to Deposit field the employee wants to deposit to the first account. After that, the remainder goes to the second account.
  • Click on the OK option to save the information.
  • Then, finally, you can enter the direct deposit PIN when prompted.

QuickBooks Online Payroll

  • In this payroll, you can first go to the Workers or Payroll menu option and then click on the given option of Employees.
  • After that, select the employee’s name option, and then click on the edit icon, and that is beside the Pay.
  • Then you can select the way the employee wants to receive their pay when you can find out the details of How do you want to pay for this employee?:-
    • First one is Direct deposit
    • Then, the Direct deposit to two accounts
    • And the last one is Direct deposit with balance as a check
  • Then, you can also enter the routing and account numbers from the employee’s voided check, and then you can click on the option of Done.

Note:- You need to set a dollar amount (not a percentage) if you set up accounts to split the money between.

Intuit Online Payroll

  • Go to the option of Employees.
  • Click on the employee’s name option, and then click on the Edit beside Pay option.
  • Click the OK option.
  • Choose one option that is given and then click on it, the options are given below:-
    • First one is Direct deposit
    • Then, the Direct deposit to two accounts
    • And the last one is Direct deposit with balance as a check
  • Then, you can also enter the routing and account numbers from the employee’s voided check, and then you can click on the option of Done
  • Click the OK option.

Additional Changes to Set up Direct Deposit for Employees:

Here in the below, we have provided some information for additional changes, these are optional. You can skip these, either you can perform these, it is totally depends upon you.

Change Payroll Info

Now that you’re all set up, here are some helpful links on how to change the info you’ve put in if you ever need to.

Employee’s Direct Deposit Info Changed

Learn how to see Change an employee’s direct deposit information after you can update the employee bank account.

From an employee’s profile, you can delete direct deposit permanently

From an employee’s profile when you can permanently delete bank info 

Disable direct deposit temporarily on a paycheck

You can temporarily turn off the direct deposit on a payroll check.

Conclusion

We hope, this information helps you to understand how to set up and manage your employee’s direct deposit in the QuickBooks Desktop. Try to follow the steps carefully, still, if you have any problem then you can get ProAdvisor support from Accountwizy.

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