QuickBooks Error PS038 – Payroll Update Not Processing

How to fix QuickBooks Payroll Error PS038 – payroll update not processing. Dial +1-866-513-4656 for guided help. When you try to send or update payroll, do you see a message saying “Error PS038: QuickBooks can’t verify your payroll subscription or send payroll data”? This frustrating issue prevents payroll updates from completing and can delay your employee payments. The error usually indicates that some paychecks are stuck “Online to Send.” If payroll updates keep failing, read below to understand and fix this issue completely—or call +1-866-513-4656 for immediate help. Fix QuickBooks Payroll Error PS038 when payroll update not processing. Call +1-866-513-4656 to resolve payroll update error PS038 quickly. <h2 id="what-is-quickbooks-payroll-update-error-ps038" class="mb-2 mt-4 [.has-inline-images_&]:clear-end font-sans visRefresh2026AnswerSerif:font-editorial font-semimedium visRefresh2026Fonts:font-bold text-base visRefresh2026Fonts:text-lg first:mt-0 md:text-lg [hr+&]:mt-4">What Is QuickBooks Payroll Update Error PS038?</h2> QuickBooks Error PS038 typically occurs in QuickBooks Desktop Payroll when the system tries to update paycheck information or verify payroll data but fails to send it to Intuit’s server. The error halts payroll updates and may stop you from processing direct deposits or tax form submissions. This error may appear as: <blockquote> “Error PS038: Currently stuck paychecks are pending online to send.” </blockquote> When you encounter this, QuickBooks is telling you that certain paychecks are still waiting to be processed, which interrupts new updates from completing. <h2 id="causes-of-quickbooks-payroll-error-ps038" class="mb-2 mt-4 [.has-inline-images_&]:clear-end font-sans visRefresh2026AnswerSerif:font-editorial font-semimedium visRefresh2026Fonts:font-bold text-base visRefresh2026Fonts:text-lg first:mt-0 md:text-lg [hr+&]:mt-4">Causes of QuickBooks Payroll Error PS038</h2> Here are the most common reasons this error appears: <ol class="marker:text-quiet list-decimal"> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Unsent Paychecks Stuck in the System: Paychecks that remain marked as “Online to Send” prevent new payroll data from transmitting successfully. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Outdated QuickBooks Desktop or Payroll Tax Table: Running payroll on an outdated version of QuickBooks or tax table can trigger PS038 since the system fails during update verification. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Damaged Payroll Data or Corrupted Paychecks: A corrupted paycheck record or damaged data file disrupts payroll processing and update transfer. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Internet or Data Transmission Issues: Poor connectivity or interrupted communication with Intuit’s server during update verification can lead to this error. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Incorrect Payroll Subscription Information: Invalid or expired payroll subscriptions may prevent payroll updates or validation from completing. </li> </ol> <h2 id="how-to-fix-quickbooks-payroll-update-error-ps038" class="mb-2 mt-4 [.has-inline-images_&]:clear-end font-sans visRefresh2026AnswerSerif:font-editorial font-semimedium visRefresh2026Fonts:font-bold text-base visRefresh2026Fonts:text-lg first:mt-0 md:text-lg [hr+&]:mt-4">How to Fix QuickBooks Payroll Update Error PS038</h2> Before starting, back up your QuickBooks company file to avoid accidental data loss. <h2 class="mb-2 mt-4 [.has-inline-images_&]:clear-end font-sans visRefresh2026AnswerSerif:font-editorial font-semimedium visRefresh2026Fonts:font-bold text-base first:mt-0">Step 1: Update QuickBooks Desktop and Payroll Tax Table</h2> <ol class="marker:text-quiet list-decimal"> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Open QuickBooks Desktop. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Go to Help > Update QuickBooks Desktop. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Click Update Now, then select Get Updates. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Restart QuickBooks after updates are installed. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Then go to Employees > Get Payroll Updates and check Download Entire Update. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Once updates are downloaded, reopen QuickBooks. </li> </ol> This ensures you’re on the latest software version before troubleshooting further. <h2 class="mb-2 mt-4 [.has-inline-images_&]:clear-end font-sans visRefresh2026AnswerSerif:font-editorial font-semimedium visRefresh2026Fonts:font-bold text-base first:mt-0">Step 2: Identify Stuck Paychecks in QuickBooks Desktop</h2> <ol class="marker:text-quiet list-decimal"> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Open Edit > Find (or press Ctrl + F). </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Click the Advanced tab. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Under Filter, look for Paycheck Status. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Choose Online to Send. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Click Find Now to locate all stuck paychecks. </li> </ol> Make a list or note the affected paychecks you find here for review in the next step. <h2 class="mb-2 mt-4 [.has-inline-images_&]:clear-end font-sans visRefresh2026AnswerSerif:font-editorial font-semimedium visRefresh2026Fonts:font-bold text-base first:mt-0">Step 3: Verify and Rebuild Data</h2> Go to File > Utilities > Verify Data. <ul class="marker:text-quiet list-disc"> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> If QuickBooks finds issues, proceed to rebuild. </li> </ul> <ol class="marker:text-quiet list-decimal"> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Then, select File > Utilities > Rebuild Data. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Follow the prompted instructions and wait until QuickBooks repairs the file. </li> </ol> This action fixes minor data inconsistencies that may cause Error PS038. <h2 class="mb-2 mt-4 [.has-inline-images_&]:clear-end font-sans visRefresh2026AnswerSerif:font-editorial font-semimedium visRefresh2026Fonts:font-bold text-base first:mt-0">Step 4: Resend Payroll Data</h2> After verifying repairs: <ol class="marker:text-quiet list-decimal"> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Return to Employees > Send Payroll Data. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Review the list of paychecks marked as “Pending to Send.” </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Click Send All to reprocess your payroll data. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> If any paychecks remain stuck, edit them individually and save them again. </li> </ol> If the error persists, continue to the next step. <h2 class="mb-2 mt-4 [.has-inline-images_&]:clear-end font-sans visRefresh2026AnswerSerif:font-editorial font-semimedium visRefresh2026Fonts:font-bold text-base first:mt-0">Step 5: Verify Payroll Service and Subscription Status</h2> <ol class="marker:text-quiet list-decimal"> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Log in to QuickBooks. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Go to Employees > My Payroll Service > Account/Billing Information. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Ensure your payroll subscription is active and your EIN is correct. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Refresh QuickBooks by closing and reopening it. </li> </ol> This confirms your subscription details match Intuit’s records. <h2 id="how-to-resolve-ps038-in-quickbooks-online" class="mb-2 mt-4 [.has-inline-images_&]:clear-end font-sans visRefresh2026AnswerSerif:font-editorial font-semimedium visRefresh2026Fonts:font-bold text-base visRefresh2026Fonts:text-lg first:mt-0 md:text-lg [hr+&]:mt-4">How to Resolve PS038 in QuickBooks Online</h2> QuickBooks Online users may rarely see this issue, but if payroll isn’t updating: <ol class="marker:text-quiet list-decimal"> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Log out and back in. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Clear your browser cache. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Go to Payroll > Employees > Pay History and verify no pending items. </li> <li class="py-0 my-0 prose-p:pt-0 prose-p:mb-2 prose-p:my-0 [&>p]:pt-0 [&>p]:mb-2 [&>p]:my-0"> Retry your payroll update or resubmit failed transactions. </li> </ol> If payroll still doesn’t process, review employee records for incomplete data or contact an expert at +1-866-513-4656. <h2 id="prevention-tips-to-avoid-payroll-error-ps038" class="mb-2 mt-4 [.has-inline-images_&]:clear-end font-sans visRefresh2026AnswerSerif:font-editorial font-semimedium visRefresh2026Fonts:font-bold text-base visRefresh2026Fonts:text-lg first:mt-0 md:text-lg [hr+&]:mt-4">Prevention Tips to Avoid Payroll Error PS038</h2> Always install the latest QuickBooks Desktop and payroll tax table updates. Avoid closing QuickBooks during payroll transmission. Regularly verify and rebuild your company data. Review “Online to Send” paychecks before running new payrolls. Keep your payroll subscription and billing information current. <h2 id="frequently-asked-questions-faq" class="mb-2 mt-4 [.has-inline-images_&]:clear-end font-sans visRefresh2026AnswerSerif:font-editorial font-semimedium visRefresh2026Fonts:font-bold text-base visRefresh2026Fonts:text-lg first:mt-0 md:text-lg [hr+&]:mt-4">Frequently Asked Questions </h2> 1. What does Error PS038 mean in QuickBooks Desktop? It means payroll data couldn’t be sent because certain paychecks are stuck “Online to Send,” or the payroll update failed to verify. 2. Can I still run payroll with this error active? No, because the system blocks further payroll processing until pending items are cleared. 3. How do I find and fix stuck paychecks? Use Edit > Find > Advanced tab > Paycheck Status = Online to Send. Then open each paycheck, save, and resend payroll. 4. Will repairing my data file remove paychecks? No. Verifying and rebuilding data only corrects internal inconsistencies and doesn’t delete existing transactions. 5. How do I ensure payroll updates process smoothly next time? Keep QuickBooks Desktop and payroll tax tables updated, and regularly verify your data to prevent future PS038 interruptions. If you still encounter QuickBooks Error PS038 – Payroll Update Not Processing, don’t let payroll delays affect your business operations. Call +1-866-513-4656 to get guided help and ensure your payroll updates run without issues.