Setting up payroll

The most important aspect of ensuring an accurate payroll is to set up the payroll properly before you run your first payroll. Setting up a payroll involves gathering information about your employees, such as their names, mailing addresses, and social security numbers. As an employer, you will need a federal tax ID number and a separate bank account for payroll checks and payroll taxes. You will need to determine what benefits you will offer employees, how often you will pay employees (for example, weekly, bi-weekly, or monthly), and the payment method you will use (for example, paper check or direct deposit). In the following sections, we will provide you with a checklist of information you need to have handy to complete your employer profile and set up employees. Next, we will show you how to set up payroll in QBO.