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May 13, 2024
Question

How to pay contractors using direct deposit?I've looked up how to pay a contractor in Quickbooks but I don't seem to have the option under payroll. I'm in Canada.

  • May 13, 2024
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1 reply

May 13, 2024

Hi mira_lutsky-iclo,

 

It's nice to see you in Community.  Welcome!  QuickBooks Online Payroll enables you to pay your staff with direct deposit.  However, this option currently isn't available in Canada, for paying contractors.  You'll need to set up the contractors as suppliers.  Here's how:

 

1. Open Expenses, then Suppliers

2. Click on New supplier

3. Enter the required fields

4. In the Additional info section, select Tracking for T4A or T5018

Note:  If you're not sure what form they should receive, consult with your accountant.  If you don't have one follow this link to locate a ProAdvisor in your area.

5. Choose the Supplier type (Individual or Business)

6. When finished, hit Save

You're ready to record your payment to the contractors by going to +New in the left menu and select Expense or Cheque.  You can select Direct Debit as the Payment method using the ▼ dropdown menu.  Now that you've recorded the payment, you're ready to proceed with paying your contractors outside of QuickBooks.

 

Please don't hesitate to reach back out with other questions.  We're always glad to assist!

May 13, 2024

Thank you Trish!

 

can you direct deposit contractors within quickbooks?

May 13, 2024

Hi mira_lutsky-iclo,

 

The option to pay your contractors with direct deposit within QuickBooks is currently not available.  I recommend submitting a suggestion to our Development team by boing to your Settings ⚙, then select Feedback.  Customer recommendations are greatly appreciated in assisting us with improving your overall customer experience with QuickBooks Online.

 

Don't hesitate to post again if you have other questions.  We're here for you!