Set up and manage direct deposit for your contractors

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Set up direct deposit for vendors in quickbooks desktop 

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Set up direct deposit for vendors in quickbooks desktop.How to Pay Vendors in QuickBooks

 

Select Payroll , then Contractors. For a new contractor, select Add a contractor or select the existing contractor to add or edit bank info. Select Bank account.

Select a vendor and double-click their name. Select the Additional Info tab, then select the Direct Deposit button. Follow the on-screen instructions until you get to the Confirmation screen.

Now you'll be able to set up your independent contractors for direct deposit. Double-click the vendor you wish add the direct deposit to. Filter the list so that only vendors marked for payment by Direct Deposit appear. In the Payment section, select Direct Deposit from the Method dropdown list.

In the Account dropdown, select the bank account you set up to pay your vendors for Direct Deposit. In the Payment section, double-check the date. All you have to do is choose the vendor and enter the details correctly. Note: Remember that split direct deposit payments are not currently available for independent contractors.

QuickBooks Desktop Payroll Assisted users can also set up the vendor in their account. To proceed with this, you will have to select the relevant vendor, enter the required details and PIN to continue. In QuickBooks Online Payroll, one has to connect a company bank account so that the direct deposit can be used. Before you are granted the option to enter your business bank account details into its system, you have to input payroll tax information and data about your existing employees such as name, address, and pay rate.

For more details, check out our full-length guide on how to set up payroll in QuickBooks. If you are in the process of setting up QuickBooks Payroll, just click the Start button located beside the Connect your bank task and then select Get Started. QuickBooks then leads you through the steps for inputting or verifying bank account and other information needed to set up your account. Before moving forward, have all of your business and bank account information, including the principal officer information, ready for reference and easy verification.

Depending on your view, there are two ways to get to the setup. Source: QuickBooks demo on YouTube. Next, you will have to connect your business bank account to QuickBooks. QuickBooks takes you step by step through the process of adding your account. In such a case, it can verify the account in moments, whereas manual connection can delay the verification by a few days.

However, if you could not find your bank or preferred to input the information manually, then QuickBooks will need you to verify the connection. You can call your bank and check your bank statement online to see if the test transaction pushed through. You will receive an email requesting you to verify the test transaction.

After you have confirmed the amount, you will receive another email stating that your account has been verified. There are several ways to do this. Select Verify your Account and then enter and confirm the amount of the test transaction from your bank account. Then, enter and confirm the test amount. Connecting your bank account is only the first part of paying employees with direct deposit.

If you need to change your existing payroll bank account, check out Change your payroll bank account. Select Get Started. Select Continue. If you do not have an Intuit Account, select the Create an account link.

Select Start on the Business tab and fill in the info. Select Next. Fill in the Principal officer info. Select Add new bank account. Enter the name of your bank and then enter your online bank credentials or if prompted, your bank routing and account numbers.