Can I Run Payroll Through QuickBooks Online?

Yes, you can run payroll through QuickBooks Online — but it requires a payroll subscription add-on. QuickBooks Online offers built-in payroll solutions that allow you to pay employees, calculate taxes, and file payroll forms directly from the same system you use for accounting.

With QuickBooks Online Payroll, you can automatically calculate federal and state taxes, generate paychecks via direct deposit or paper check, and track payroll expenses in real time. Payroll data syncs instantly with your accounting records, which means no manual journal entries and fewer errors.

You can also manage employee benefits, contractor payments (1099s), and year-end tax forms like W-2s. Higher payroll plans offer automated tax filing and same-day direct deposit options.

However, payroll pricing is separate from your QuickBooks Online subscription, and costs increase based on the number of employees. For businesses with complex payroll needs (multi-state, union payroll, certified payroll), additional setup may be required.

QuickBooks Online makes payroll simple and integrated — especially for small and mid-sized businesses that want accounting and payroll in one system.