1. Gather your bank account info
Get your bank info. You can find your business account details under the Business tab > Statements.
2. Set up your bank account in your chart of accounts.
Let's get your bank account added to your chart of accounts. This is important so your payroll transactions are posted to the correct register in QuickBooks.
Select Settings and then Chart of Accounts.
Select New to create a new account.
In the Account Type dropdown menu choose Bank.
In the Detail Type dropdown, select the type of bank account.
Give your new account a name. You can use the info under the detail type to add a name that fits.
Optional: Add a description.
If you're adding a sub-account, select Is sub-account and then enter the parent account.
In the When you want to start tracking your finances from this account in QuickBooks dropdown, select a time period.
Select Today if the account you're tracking is brand new as of today. In the Account Balance field, enter the amount in the account as of today.
If you started the account on another date, select Other. In the Select a date field, enter the date you want to start tracking transactions in QuickBooks. In the Account Balance field, enter the balance of the account for the date you choose.
3. Check for pending tax payments and payroll transactions (direct deposits or paychecks)
The next step is to make sure you don't have any pending tax payments or payroll transactions. This is important to be sure your bank account change is successful and the payroll funds withdraw from the correct account.
Pending tax payments
From the left menu, select Taxes then Payroll Tax. Select the Payments or Tax Payments tab.
If there are any payments dated for today's date or earlier, they will be taken from the current bank account.
If there are any payments dated after today's date, contact QuickBooks for assistance with handling these payments.
Pending payroll transactions
Go to Payroll, then Employees. Next, select the Paycheck list below the Run Payroll button.
If there are any paychecks dated one business day or sooner from today's date, then the funds will be taken from the current bank account.
If there are any paychecks dated two business days or later (and it is before 6:00 PM PT), then you may delete them. Select the box next to each paycheck and select the Delete button above the paychecks. You'll add them back later at the end of Step 6.
4. Change your bank account
Now it's time to change your bank account with the payroll service. You may be able to connect your new bank account instantly (coming soon).
Select Settings, and then select Payroll Settings.
From Bank Accounts, select Edit.
Select Update.
Select Add new bank account.
Search for "Arc Technology". You will be asked to enter your online banking user ID and password. Otherwise, select Enter bank info manually. Enter your routing and account number, then select Save.
Select Accept and Submit.
5. Verify your bank account (if you connected manually)
Within 2-3 business days, we'll verify your new account with a test transaction. A few things to know about test transactions before you get started:
After changing your bank account information, a test transaction should appear in your bank statement in 2-3 business days
This amount should be a debit and credit of less than $1.00 from Intuit Payroll Service
You can check your bank statement online to verify the amount
Make sure the test transaction is cleared (not pending) on your bank statement before proceeding, otherwise the bank verification will fail.
To verify your new bank account:
After you see the cleared test transaction in your bank statement, open QuickBooks Online and sign in.
Select Payroll and select Overview.
In the TO DO list, find the Check your bank account item, then select Edit.
Select Verify Amount.
Enter the amount of the test transaction (no decimals) in both fields.
Select Verify.
6. Change your default bank account in your preferences
Now that your bank account is verified and ready to use with your payroll service, the last step is to change your bank account in your accounting preferences. This will ensure your payroll transactions and tax payments post to the correct account in your books.
Select Settings, then Payroll settings.
In the Accounting section at the bottom of the page, select Edit.
In the Paycheck and payroll tax payments select Edit. From the Bank account dropdown, select the account you set up in "Set up your bank account in your chart of accounts."
Select Continue, then Done and Done
Once the bank account is updated, you can recreate any paychecks you may have deleted in Step 3.