What happened to payroll on December 16th? I ran payroll this week as normal for two of my companies, but the funds were not direct deposited into my employees accounts.

I understand the importance of having the funds direct deposited to your employee’s account in time. I’ll share everything you need to know about processing payroll through direct deposit (DD).

Your employees might not get their direct deposits on schedule for a variety of reasons. One of them is because of your direct deposit lead time. Depending on it, you must submit your payroll by 5:00 PM PST 1 or 5 working days before payday in order to guarantee that your employees receive their direct deposits. Your employees will receive their paychecks the next day if you submitted the payroll after 5:00 PM PST.

This may also occur if there is an issue with your employee's account or if the information on their bank account is incorrect. If this is the case, the direct deposit will be rejected, and the funds will be returned to the business bank account within 2-3 business days after the pay date. As a workaround, you can pay your employees with a paper check.

However, if you want to check the status of the direct deposit, I suggest reaching out to our QuickBooks Support Team. This way, you can request a direct deposit trace and find out when it'll be deposited into your employee's account.

Here’s how:

1. Sign in to your QuickBooks Online account.
2. Go to the Help button.
3. Select the Search chatbox, then click Contact us.
4. Enter your concerns, then hit Continue.

You might want to read these articles to know how to fix direct deposit issues in QuickBooks Online:

• Handle a direct deposit paycheck that was not received by an employee
• When do I need to submit payroll to pay employees on time?

If you have further concerns with QuickBooks feel at ease to let us know. The Community is open 24/7 to assist you. Stay safe always.