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Setup Auto Payroll to pay employees in QuickBooks

Setup Auto Payroll to pay employees in QuickBooks

What is the meaning of payroll automation?

To begin with, what exactly is payroll? Payroll is the process of paying employees. It involves calculating payroll as well as accounting for payroll taxes and withholdings for employee benefits. Payroll also refers to a company’s financial record of employees, as well as the delivery of employee paychecks and records of annual income. Although payroll is necessary for every organization, it is expensive, and mastering these processes takes a lot of time and effort—which is why you should automate payroll.

Payroll automation is the process of streamlining payroll processing operations using automated technology in order to increase efficiency. So, what exactly is a payroll system that is automated? Payroll automation is a method of automating the process of paying your employees. Filing taxes, making direct deposits, generating payroll reports, and computing tax withholdings are all operations that can be managed with payroll automation software.

All of these processes would take a lot longer if they weren’t automated. You can delegate payroll to automation tools and concentrate on growing your business.

What functions can an automated payroll system perform?

An automated payroll system can perform a variety of business operations. It can perform the following functions, to name a few:

  • Keep track of and update your payroll information.
  • Make a payroll.
  • Keeping track of time
  • Make a tax return
  • Calculate overtime, double-time, bonuses, raises, and other compensation options.
  • Calculation of tax savings
  • Better record-keeping
  • Both the employer and the employee should prepare their finances.
  • Important documents should be updated.

Utilize QuickBooks to automate payroll-

Almost anything can now be mechanized in today’s environment. Why not automate your payroll as well? Payroll automation has a variety of benefits for your firm. Consider how much more free time you’ll have once you’re no longer responsible for payroll. Payroll automation improves the efficiency of your organization, reduces the risk of human error, and ensures that your employees are paid correctly.

The moment has come to make the switch to payroll automation. Consider QuickBooks Payroll if you need an automated payroll solution that’s simple to set up. QuickBooks Payroll comes with several features that are targeted at small enterprises. You can obtain big business benefits on a small business budget with QuickBooks, so you can streamline your payroll operations. It also collaborates with QuickBooks Online accounting software, making it simple to track payroll spending.

You will never look back if you move to automated payroll now.

Set up Auto Payroll in QuickBooks Payroll to pay your employees

With Auto Payroll, you may save time on payroll each paycheck. Auto Payroll will create your paychecks automatically if all or portion of your team is salaried or hourly and works the same amount of hours each paid month. Payday is one less task to remember in your already hectic schedule. It also works if your employees are paid through paper checks or direct deposit.

You must have completed your payroll setup and executed your first payroll before using Auto Payroll.

Here’s how to get started:

Step 1: Assemble your employees

Ensure that the employees for whom you want to use Auto Payroll have the following:

  • Active employment status
  • Salary or hourly rate with default hours 
  • A pay schedule
  • Tax information (W-4 and state taxes)

Auto Payroll isn’t suitable for commission-based businesses. Workers, inactive employees, and 1099 contractors are the only choices. We don’t recommend it for hourly workers whose schedules change from pay period to pay period.

Step 2: Setup Auto Payroll

You’ll select which employees you want to pay with Auto Payroll in this step.

  • Sign in as the Primary Admin to QuickBooks Online.
  • Select Settings⚙, then Payroll Settings from the drop-down menu.
  •  Select the Edit ✎ icon in the Auto Payroll box.
  • Select Manage Auto Payroll.
  • On Auto Payroll, select the employees you want to pay. Only eligible employees will be available for selection.
  • Select Save Changes.
  • Confirm the total number of employees and important dates related to your Auto Payroll processing on the confirmation display.
  • Select Done.

After your employees were enrolled, let’s see what occurs next-

  • We provide you with the details and timing for your upcoming payday two business days before Auto Payroll generates your payroll checks. 
  • We’ll email you another email after your Auto Payroll has been processed. You may view or print paychecks by logging into QuickBooks Online.

How Does Automatic Payroll Work?

After you’ve processed your first payroll, you can turn on Auto Payroll to save time on payroll processing. Based on the last payroll, QuickBooks Online Payroll will auto-generate payroll information. Auto Payroll imports each employee’s hours from their previous payroll run data.

1. Activating Auto Payroll

Auto Payroll must be enabled (turned on). The following are the steps to set up Auto Payroll:

  • Step-1 Choose the Gear icon.
  • Step-2 Check the basic Payroll Settings option. Step-3 Pay your employees automatically.
  • Step-4 Select Save.
  • Step-5 Choose Done.

Note: If you have any problems related to Payroll automation, you may also call us. Our qualified payroll professionals are accessible 24/7 to assist you.


  1. Does QuickBooks pay employees automatically?

    Yes, according to the schedule you created and the expense request setup, your employee’s payroll will run automatically. Within a day or two, you’ll also receive an email with the pay runs you need to approve.

  2. In QuickBooks, how do I pay an employee massively?

    To make your payment easier, once you’ve registered for automatic extra payments, complete these instructions:

    1. Select Major Payments from the Employees tab > Reports Menu.
    2. You must choose New Super Batch Payment from the Super Payments page.

  3. Does a payroll feature in QuickBooks Online?

    Overview. A QuickBooks Payroll Service is a subscription that allows you to use QuickBooks Desktop Software’s payroll functions. You can choose from Basic, Enhanced, or Assisted Payroll, depending on the features you need.

  4. In QuickBooks, how do I assign payroll to employees?

    In QuickBooks, assigning a payroll item

    1. Select Employees < Payroll menu.
    2. Select the employee’s name.
    3. Select Edit employee from the menu.
    4. Select Add new payment types.
    5. Choose the payment method that best suits your needs.
    6. Choose Done.

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