Receiving the "auto payroll is blocked for..." error message. What is the cause of the error message?

It's a pleasure to welcome you to the Community. I can help you identify why you're receiving the error message in QuickBooks Online.

The auto payroll may have been blocked because the direct deposit for paying your employees and contractors has not been set up. Kindly verify by using this article as your reference: Set up your company payroll for direct deposit.

If you want to manually pay your employees and contractors, check out this article: Manage your Auto Payroll.

I've also included the following articles that will guide you in handling payroll moving forward:

• Set up Auto Payroll to pay your employees in QuickBooks Online Payroll
• Add pay history to QuickBooks Online Payroll
• Add or change pay types in QuickBooks Online Payroll 

If there is anything else you need to clarify, feel free to click the Reply button again. Have a nice day!