Setting up direct deposit in QuickBooks requires the correct banking information and authorization before payments can be processed electronically. Whether you are paying employees or independent contractors, direct deposit for small business can make recurring payments easier to manage. 

A QuickBooks direct deposit form is used to collect an employee’s banking information and authorize direct deposit payments. Depending on the payroll product, businesses can collect this information using a direct deposit authorization form, a voided check, or available electronic setup options. 

If you’re searching for a direct deposit form QuickBooks users can complete, this guide explains where to find the available form, what information it contains, how to set up direct deposit, and how employee and contractor setup differs.

What Is a QBO direct deposit form?

A QuickBooks payroll direct deposit form is an authorization document that an employer can use to collect the information required to set up an employee for payroll direct deposit. 

The form generally records:

1. Employee’s name  
2. Bank name  
3. Routing number  
4. Account number  
5. Account type  
6. Authorization and signature  
7. Voided check, where required

What Is a QuickBooks Direct Deposit Authorization Form Used For?

A QuickBooks direct deposit authorization form provides a written record of an employee’s request to receive wages electronically. 

1. Employers can use the form to:
2. Collect employee banking information
3. Document authorization for payroll direct deposit
4. Record checking or savings account details
5. Provide payroll staff with the information needed for employee setup
6. Maintain a record of the employee’s payment instructions
7. Collect updated information when an employee changes bank accounts

What Information Is Included on a QuickBooks Direct Deposit Form?

A QuickBooks direct deposit form should provide enough information for the employer to identify the employee’s bank account and configure the appropriate payment method.

Employees should review their banking information carefully before submitting the form. An incorrect routing or account number can cause problems with a direct deposit payment.

How to Fill Out a QuickBooks Direct Deposit Form

Follow these steps to complete the form and provide the information needed for employee direct deposit:

Employee Information → Bank Details → Account Type → Deposit Instructions → Review → Authorize → Submit

1. Enter Employee Information- Enter the employee’s full name as it appears in the payroll records.
2. Add Bank Details- Enter the employee’s bank name, routing number, and account number. Review these numbers carefully to avoid payment issues.
3. Select the Account Type- Choose whether the employee’s account is a Checking or Savings account.
4. Add Deposit Instructions- If the payroll setup allows deposits to two accounts, specify how the paycheck should be divided between the accounts.
5. Review the Information- Check the employee name, bank name, routing number, account number, account type, and deposit instructions for accuracy.
6. Sign and Date the Form- Complete the required authorization, signature, and date according to the employer’s payroll procedures.
7. Submit the Form- Return the completed form and any required documentation, such as a voided check, to the employer, payroll administrator, or HR department.

After submission: The payroll administrator can use the banking information to add or update the employee’s direct deposit payment method in QuickBooks Payroll.

QuickBooks Direct Deposit Setup Requirements

Before setting up direct deposit for small business, gather the information required for the company and employees. 

You generally need:

1. Legal business name and address
2. Employer Identification Number (EIN)
3. Principal officer’s full name
4. Principal officer’s home address
5. Principal officer’s Social Security number
6. Principal officer’s date of birth
7. Business bank routing and account numbers, or online banking credentials
8. Employee or contractor banking information

The business must also have a U.S. bank account that supports ACH transactions for direct deposit setup.

How to Set Up QuickBooks Direct Deposit

The company must complete its direct deposit setup before adding employee or contractor banking information. 

The process has three main stages:

1. Connect the business bank account.
2. Verify the bank account if required.
3. Add employee or contractor banking information.

Step 1: Connect Your Business Bank Account

The exact steps depend on your QuickBooks payroll product.

QuickBooks Online Direct Deposit Setup

For a new QuickBooks Online Payroll setup:

1. Sign in to QuickBooks Online.
2. Go to All apps.
3. Select Payroll.
4. Select Overview.
5. Select Get started if you’re new to payroll.
6. In the Business section, select Edit.
7. Enter your federal tax ID and other required business information.
8. Enter the principal officer’s required information.
9. Select Add new bank account.
10. Search for your bank.
11. Enter your online banking credentials if prompted.
12. If automatic connection isn’t available, choose the option to enter the bank information manually.
13. Enter the routing and account numbers.
14. Save the information.
15. Review the details and submit the setup.

Depending on the account and bank, instant bank verification may be available. If the account cannot be verified instantly, additional verification may be required.

QuickBooks Desktop Direct Deposit Setup

To activate direct deposit in QuickBooks Desktop Payroll:

1. Open QuickBooks Desktop and sign in with the appropriate administrator credentials.
2. Select Employees.
3. Select My Payroll Service.
4. Select Activate Direct Deposit.
5. Select Get Started.
6. Enter the required business information.
7. Enter the principal officer’s information.
8. Select Add new bank account.
9. Enter your bank information or connect through online banking.
10. Create your direct deposit PIN.
11. Confirm the PIN.
12. Submit the information.
13. Review and accept the required information.
14. Complete any additional verification requested.

After the company setup is submitted, QuickBooks will indicate whether the bank account is ready or requires verification.

Step 2: Verify the Bank Account

If instant verification isn’t available, the bank account may need to be verified before it can be used for direct deposit. 

QuickBooks states that a test debit of less than $1.00 may be sent to the business bank account. It can take up to two business days to appear.

After the transaction appears:

1. Check the business bank account.
2. Locate the test debit.
3. Note the exact amount.
4. Return to the bank verification screen in QuickBooks.
5. Enter the exact amount.
6. Submit the verification.

Once the account is successfully verified, you can continue with employee or contractor setup.

Step 3: Add Direct Deposit Information for Employees

QuickBooks Online / QuickBooks Workforce

1. Go to All apps > Team > Employees.
2. Select the employee.
3. Select Job & pay.
4. In Payment method, select Add or Edit.
5. Select Direct deposit.
6. Choose how you want to pay the employee:
   Direct deposit to one account
   Direct deposit to two accounts
   Direct deposit with the balance as a check
7. Enter the employee’s routing and account numbers.
8. Select Save.

QuickBooks Desktop Payroll

1. Go to Employees > Employee Center.
2. Select the employee.
3. Open the Payroll Info tab.
4. Select Direct Deposit.
5. Select Use Direct Deposit for [employee’s name].
6. Choose one or two accounts.
7. Enter the Bank Name, Routing No., Account No., and Account Type.
8. If using two accounts, enter the amount or percentage for the first account.
9. Select OK and enter the direct deposit PIN when prompted.

Step 4: Set Up Direct Deposit for Contractors

QuickBooks Workforce

1. Go to All apps > Payroll > Contractors.
2. Select Add a contractor or choose an existing contractor.
3. Select Bank account.
4. Enter the contractor’s:
   Account number
   Account type
   Routing number
   Account holder phone number
   Account holder full name
5. Select Save.

You can also invite the contractor to provide their own W-9 and bank information.

QuickBooks Desktop Payroll

1. Open the Vendor Center.
2. Double-click the contractor/vendor.
3. Select Additional Info > Direct Deposit.
4. Select Use Direct Deposit for [Vendor Name].
5. Enter the contractor’s bank information.
6. Enter your direct deposit PIN.
7. Select Continue.

Note: Split direct deposit isn’t available for independent contractors in QuickBooks Desktop Payroll.

Process for QuickBooks Direct Deposit Form Download

If you need a QuickBooks direct deposit form PDF, the available form depends on the QuickBooks Payroll product you use. 

For QuickBooks Online Payroll, Intuit provides an Employee Bank Verification form through the payroll setup forms. You can open the form, then download or print it for use during the employee bank verification process. 

For QuickBooks Desktop Payroll, Intuit’s setup process does not provide the same downloadable form workflow. Instead, employers can collect the employee’s banking information or a voided check and enter the details directly into the employee’s Direct Deposit settings. 

Tip: Always use the form or setup process applicable to your QuickBooks Payroll subscription rather than relying on an unrelated third-party PDF.

Benefits of Using QuickBooks Direct Deposit Forms

Using standardized QuickBooks direct deposit forms can make employee payroll setup more organized and provide a clear record of the information supplied by the employee.

Simplifies Payroll Authorization

A completed QuickBooks direct deposit authorization form documents the employee’s request to receive wages electronically and gives the payroll administrator a record of that authorization.

Organizes Banking Information

A direct deposit form for QuickBooks brings important information such as the bank name, routing number, account number, and account type together in one place.

Helps Reduce Data-Entry Errors

Having employees provide their banking information in a standardized format allows payroll administrators to review the details before entering them into QuickBooks.

Provides a Payroll Record

A completed form can serve as documentation of an employee’s direct deposit instructions and authorization, subject to the employer’s recordkeeping policies.

Makes Banking Updates Easier

When an employee changes banks or accounts, a new authorization process can help the payroll administrator collect updated information before changing the employee’s payment method.

Supports Direct Deposit for Small Business

Direct deposit for small business payroll can reduce reliance on paper checks and provide employees with an electronic way to receive their wages. A standardized authorization process can also make employee onboarding and recurring payroll administration easier to manage.

Works With Different QuickBooks Payroll Workflows

The appropriate QuickBooks direct deposit form or electronic setup process depends on the payroll product being used. QuickBooks provides different employee setup workflows, so employers should follow the process applicable to their subscription. 

Conclusion

A QuickBooks direct deposit form helps employers collect and document the banking information needed to pay employees electronically. Depending on the QuickBooks Payroll product, employees may complete a paper authorization form, provide a voided check, or enter their banking details through an electronic setup process.

QuickBooks Online Payroll and QuickBooks Desktop Payroll use different workflows, so follow the steps that match your payroll product. Before processing payroll, review the routing number, account number, account type, and authorization details carefully to help prevent payment issues. If you need assistance with QuickBooks direct deposit setup, Accounts Confidant can help you configure payroll and resolve setup-related issues.

Frequently Asked Questions