Question

What day will Friday paychecks deposit into employee accounts the week of Christmas and New Year's??

Forum|Forum|5 years ago
November 17, 2020
25 replies
77 views

No text available

QuickBooks Online

Level 12

If you do nothing different they will deposit on the Monday following the Friday holiday.

Two things you will have to do to plan ahead, change your payday to Thursday the 24th and 31st and process on Tuesday, not Wednesday as usual.

john-pero

Level 12

I believe you also will have to process payroll on Tuesday before Thanksgiving since tge deduction from your bank account must occur the day prior to the direct deposit and they obviously cannot process the deduction on turkey day

AlcaeusF

Level 14

Welcome to the Community, @jacque-1stwebsal.

I agree with john-pero. Also, if the paychecks will be created and submitted by Friday (Christmas and New Year), it will be deposited to your employees' account after two business days (Tuesday the week after).

It will only change if the payday falls on, or two days after, a holiday. In this scenario, you need to submit payroll one business day earlier than you normally would.

To learn more about how to ensure your employees get paid on time when there’s a holiday, I suggest checking out this article: How do federal holidays affect my direct deposit?

Please let me know if you have any additional questions or concerns in the comment section below. I'll be here to assist. Have a wonderful day!

G

gee_gee

Employees are usually gets paid every Friday - but Friday is Holiday which is Christmas day Is it necessary to change paycheck date on the 24th even payroll run and send to intuit Tue before 5pm pst time?

IamjuViel

Level 8

You can submit your payroll in advance without changing your paycheck date, @gee_gee.

Let me share some information on how the direct deposit lead time or funding time assigned to your account affects your payroll submission for Christmas day.

QuickBooks Online have a 1-day lead time or a 5-day lead time.

1-day lead time - Since December 24 is a working holiday, your employee will still receive their pay on December 25th. Just make sure to submit your payroll before 5:00 PM PST 1 business day prior to payday. There's no need to change its paycheck date. After you’ve submitted payroll, you can still void or add paychecks up to 4:59 PM PST that day. After 5:00 PM, payroll begins processing and cannot be stopped.
5-day lead time - This means you need to submit your payroll before 5:00 PM PST 5 business days prior to payday. If payday is on a Friday, you’ll need to submit payroll the Friday before payday.

I've added these articles to help as additional reference processing your direct deposit payroll:

Get back to us here if you have other questions about running payroll in QuickBooks. I'm always here to help.

G

gabbott517

If you have to move it up by a day, how do you get around the 10 day requirement between direct deposits?

K

Kevin_C

Moderator

Thank you for joining this thread, @gabbott517. I'd like to share some insights about your concern.

With payroll, you can pay employees on time by submitting your payroll on the right day. Learn more about when to submit payroll and the lead time of your payroll service.

Lead time is the span of time between the day you submit your payroll and the day your employees receive their direct deposits. While payroll submission day is the day of the week that you submit your payroll. Your lead time will determine what your payroll submission day will be.

I'm adding this article for more details about federal holidays: How do federal holidays affect my direct deposit?

The following links contain a list of federal holidays and additional information about setting up and managing payroll schedules:

I'll be around if you have other questions or concerns. Please don't hesitate to let me know in the comment section. Take care and have a great day!

C

cmcginnis1

According to the link that everyone is sharing about Federal Holidays, December 31st is considered a holiday because New Year's Day falls on a Saturday. Is that correct? No direct deposit on December 31, 2021?

I either need to process the direct deposit early so that it can be scheduled for December 30th or process it on the typical day (12/29) but the amount will not deposit until January 3rd.

The significant issue with the second option is QB does not let you input updated tax rates until January 1st. So if I process the payroll on 12/28 for a 1/3 deposit, the tax rates will be incorrect. What a mess!!!

U

Unicomp

In my situation, I just did payroll for this week, today, Sunday Dec 19th, for what is normally a Friday, Dec 24th payroll. The entre payroll is direct deposit.

Now, I realize, from experience, that the bank will be closed on Friday, and expected my direct deposit to go into employee banks on Thursday 12/23.

My direct deposit payroll check dates are still 12/24 and if I had sent the payroll people would not be paid until the following Monday. This would be a great hardship for many people.

I changed all the direct deposit check dates to 12/23.

Normally these dates change to the holidays and I am not sure why they did not this time.

I am glad I checked and am letting all of you know to do the same.

Merry Christmas!

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