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David P2
November 5, 2021
Question

Quickbooks Payroll on its own creates new checking account in Quickbooks when payroll is submitted

  • November 5, 2021
  • 3 replies
  • 0 views

We are continuing to experience a problem in which Quickbooks Online Payroll which we have had for several months.  Each time that we run payroll, Quickbooks itself creates a “Business Checking” account and places the payroll amounts in the non-existent account.  The non-existent “Business Checking” account, of course, has a negative balance.  The payroll amounts are supposed to be automatically entered into our established operating account.  We have to move the amounts into the operating account by creating a journal entry each time this error occurs.  This has been happening since at least August 2021.

 

We are new users to Quickbooks Online Payroll.  We are NOT happy with the service we're paying for.  This seems like a major programming flaw.  We wonder what other flaws and errors Quickbooks or its payroll system likely are creating.  We are debating whether to drop this service entirely.

 

We have spoken with customer representatives and they say this is a known problem with numerous users that “engineering” is working on.  We have gotten only vague non-responses from representatives.  We want this problem fixed promptly and we want to know when that will happen.

 

We've submitted complaints repeatedly through the online system, which obviously is nothing but a black hole trashcan.  We have received absolutely NO response to submitted complaints.  Does anyone else have this problem or know of a solution?

 

    3 replies

    M
    MirriamM
    November 5, 2021

    Thanks for reaching out to the Community forum, @David P2. I appreciate you providing detailed information about your concern.

     

    Let's go to your payroll setting to review the accounts set up on your accounting preferences to ensure that your payroll is posted correctly on the General Ledger accounts.

     

    Here's how:

    1. Go to the Gear Icon at the top.
    2. Select Payroll Settings.
    3. Click Preferences.
    4. Select Accounting Preferences.
    5. In the Bank Account section, review the account setup and make sure to select the correct account.

     

    For additional reference, you can check this article on how to set up Payroll account preferences. 

     

    Once done, you can run a payroll report to check if the amounts are accurate in your QuickBooks Online (QBO) account. Also, I encourage checking our Employees and payroll taxes page for reference. From there, you can read some of our great articles and learn some tips in managing your payroll.

     

    Let me know if you have any other questions. Simply click the Reply button below to add a post. Have a wonderful day. 

    D
    David P2Author
    November 5, 2021

    I checked (again) the Payroll Settings under the Settings (gear) option.  The "Export Transactions" preference is properly set to the correct account where the payroll expenses are SUPPOSED to be recorded.  However, Quickbooks Online Payroll does not record the expenses there.  It creates the "Business Checking" account on its own and records them there.  We have deleted this non-existent Business Checking account several times and each time we do payroll again, QB Online Payroll recreates the Business Checking account.  Your instructions did NOT resolve the problem.

      J
      JonpriL
      November 5, 2021

      I wish I could make it better, @David P2.

       

      The created checking account is how QuickBooks attempts to track your payroll expenses in one account history. This account can be found on the Checking Account section of your Accounting Preferences from the Payroll Settings menu.

       

      Since you've mentioned the account has been set up correctly, yet it's still creating a new one, I'd recommend contacting our Customer Care Support. Even if you've already reached out to our team, only our specialist online has the tool to pull up your account information.

       

      By doing so, a ticket will be created letting our engineering team investigate why this is happening saying it started last August this year. You can do so by following the steps below:

       

      1. Go to Help.
      2. Select Search.
      3. Click Contact Us.
      4. Enter a few words describing how the checking account is created after submitting your payroll.
      5. Select Continue.
      6. Click Chat with us or Have us call you.

       

      You may also read this reference that'll allow you to manage security settings and keep your payroll account information up-to-date: Help Articles for QuickBooks Online Payroll.

       

      If there's anything else that I can help you with aside from updating your payroll settings, please let me know in the comments below. I'll be here to lend a helping hand. Take care and stay safe!

      C
      cejenkinsjr
      February 28, 2022

      I am now in the same boat. The first time that the payroll program just created this separate "business Checking account" was on Feb 15, 2022. I see that some people have had a problem with this all the way back to the middle of last year. When this happened two weeks ago, I contacted QB for help, first in a chat that got me nowhere and then in two phone calls which burned up my entire afternoon. The fix was to merge accounts and so now I run the payroll again today, Feb 28 and same thing happens. Like I said, this hadn't happened to me previously, in fact, the payroll program has always worked quite well. A google search and I find this message and thread and then see that this has been a problem for QB for maybe as long as 9 months. Good grief, fix it already

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      David P2Author
      April 28, 2022

      Case ID#[removed]

      Investigation# 56670

       

      We are continuing to experience a problem in which Quickbooks Online Payroll which we have had for nearly a year now.  WE HAVE GOTTEN NO ANSWER AT ALL FROM REPEATED INQUIRIES IN WRITING AND BY PHONE FROM QUICKBOOKS PAYROLL.  Each time that we run payroll, Quickbooks itself creates a “Business Checking” account and places the payroll amounts in the non-existent account.  The “Business Checking” account, of course, has a negative balance.  The payroll amounts are supposed to be automatically entered into our established operating account.  We have to move the amounts into the operating account by creating a journal entry.  This has been happening since at least August 2021.

       

      We are new users to Quickbooks Online Payroll.  We are NOT happy with the service for which we are paying $124/month including Quickbooks and the payroll service.  This seems like a major programming flaw.  We wonder what other flaws and errors Quickbooks likely is creating, especially with payroll.  We are debating whether to drop this service entirely.

       

      We have spoken with customer representatives and they say this is a known problem with numerous users that “engineering” is working on.  We want this problem fixed promptly and we want to know when that will happen.  Quickbooks also should not charge us for the service during months in which this has been a problem.

       

      WILL THIS PROBLEM EVER BE RESOLVED?  WHAT IS THE STATUS?

       

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      andream-sosrespo
      June 22, 2022

      We just migrated to QBO in May '22 and noticed we have two payroll accounts too... we were so confused! It appears this issue is not fixed a whole year later and still occurs for new clients. Has anyone figured out to make it right???

      J
      jdishner
      February 10, 2023

      This is just happened to me as well. New Checking account in my chart of accounts with a negative balance equaling this weeks payroll in it. The new account has the same account number as my actual account but with a - in front of the # preceding the last four of the account. First the chat supports asks if someone on our end did it, then said that Intuit does not have the ability to modify accounts, then we go through the audit log and see that "system administration" created the account in the early hours of the morning. So then the solution was to go into settings, change the payroll chart back to the correct account, and then create manual journal entries for each payroll, then deactivate the account. These are the type of experiences that really make looking for an alternative provider an attractive solution. 

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