Important Update:
Intuit will discontinue add-on services for its QuickBooks Desktop 2020 for Windows on June 1, 2023. This includes access to QuickBooks Desktop Payroll. While you may still be able to open the software, it won’t be able to send payroll to Intuit for processing, nor will it provide accurate calculations because its tax tables will no longer be updated.
QuickBooks Desktop 2020 users who are utilizing the desktop payroll option included in their Enterprise plans can switch to QuickBooks Online to process employee and contractor payments. To learn more about its features and pricing, read our QuickBooks Payroll review.
Those with newer versions of QuickBooks Desktop won’t be affected by the service discontinuation.
Some small business owners prefer systems that are installed directly on computers rather than web-based systems. To cater to their software needs, Intuit QuickBooks has desktop versions of its accounting and payroll solutions. For QuickBooks Desktop Payroll, the provider offers two options: Enhanced Payroll and Assisted Payroll.
- Enhanced Payroll: Best for business owners who prefer to handle electronic tax payments and filings themselves
- Assisted Payroll: Best for employers wanting automated tax filing and payment services
If you’re interested in QuickBooks Desktop Payroll, note that you need to have the following:
- A current Windows version of QuickBooks Desktop Enterprise Accounting (sold separately)
- An active subscription to QuickBooks
- An Employer Identification Number (EIN)
- An internet connection to auto-download the latest payroll tax rates
QuickBooks Desktop Payroll at a Glance
Enhanced Payroll | Assisted Payroll* | |
|---|---|---|
Pricing | $50 plus $6 per employee monthly Free for QuickBooks Desktop Enterprise Gold and Platinum users | $1 per employee, per pay period Only available for QuickBooks Desktop Enterprise Diamond users |
Pays Employees and Contractors | ✓ | ✓ |
Direct Deposit Timelines | Two days | Next day |
Payroll Tax Payments** | QuickBooks will keep track of when payments are due | QuickBooks will handle this for you |
Payroll Tax Filings** | QuickBooks will complete tax forms that you can print, sign, and mail | QuickBooks will handle this for you |
Time Tracking with QuickBooks Time | ✕ | $5 per employee monthly (waived base software fees) |
*As of this writing, QuickBooks Desktop Assisted Payroll is unavailable in Indiana and Wyoming
**For Enhanced Payroll subscribers, QuickBooks lets you electronically file and pay taxes
QuickBooks Desktop Payroll: Which Version Is Better?
While the two options offer efficient payroll tools, we recommend QuickBooks Desktop Assisted Payroll, as it allows business owners to outsource payroll tax administration. With this desktop payroll plan, QuickBooks will handle all of your tax payment and tax form submission needs, including year-end reporting. This service takes the stress away from having to worry about filing payroll taxes yourself, enabling you to focus more on building your business and less on day-to-day payroll administration tasks.
Note that the Assisted Payroll plan is pricier than QuickBooks Payroll Enhanced. You are only granted access to it if you get the highest QuickBooks Desktop Enterprise package, which is the Diamond tier. Plus, it charges a per-employee fee every pay run (the Enhanced Payroll is free to use if you’re on the Enterprise Gold and Platinum plans). It also isn’t available in Indiana and Wyoming, as of this writing.
However, if budget isn’t an issue, and your business isn’t located in the two states where this plan isn’t available, then Assisted Payroll is for you.
Visit QuickBooks Desktop Assisted Payroll
We recommend QuickBooks Enhanced Payroll over Assisted Payroll to business owners with fewer than 50 employees that have simple tax filing needs. It allows you to process payroll in-house for less than half the cost of QuickBooks Desktop Assisted Payroll (especially if you’re on the QuickBooks Desktop Enterprise Gold or Platinum plans, which include free access to the Enhanced Payroll option).
Enhanced Payroll also makes it easy to calculate paychecks and submit direct deposit payments. While you have to remit tax payments and submit tax forms yourself, the software has e-payment and e-filing capabilities to help streamline the entire process.
When to Use an Alternative to QuickBooks Desktop Payroll
QuickBooks Desktop accounting software users have other options for handling payroll. If you’re looking for an alternative to QuickBooks Desktop Payroll and want cloud-based tools, we recommend QuickBooks Online Payroll. All of its plans are full-service, meaning they come with automatic payroll calculations, including payroll tax filings and year-end reporting.
On top of that, setting up payroll in QuickBooks Online is easy, and it has fast direct deposit options (such as next- and same-day payments). It is for this reason that QuickBooks Online Payroll made it to our list of the best payroll services. It even runs special promotions for new clients, providing them with an option to enjoy a 30-day free trial or get 50% off its base software fees for the first three months.
Visit QuickBooks Online Payroll
Best for Value: QuickBooks Desktop Enhanced Payroll
Since Our Last Update: QuickBooks has simplified its desktop payroll solutions, removing its basic tier and clarifying the pay processing packages included in its QuickBooks Desktop Enterprise option.
The QuickBooks Desktop Payroll pricing plans are based on the QuickBooks Desktop package that you will get. The Enhanced Payroll option is a paid add-on for QuickBooks Desktop Enterprise Silver subscribers but is available for free for Enterprise Gold and Platinum plan holders. For Assisted Payroll, you have to upgrade to the QuickBooks Desktop Enterprise Diamond tier and pay a per-employee fee per pay period.
Enhanced Payroll | Assisted Payroll | |
|---|---|---|
Required QuickBooks Desktop Plan | Enterprise Silver, Enterprise Gold, or Enterprise Platinum | Enterprise Diamond |
Free With QuickBooks Desktop Package | Only for Enterprise Gold and Platinum users | ✕ |
Pricing | $50 plus $6 per employee monthly (for Enterprise Silver users) | $1 per employee, per pay period |
Of the two payroll plans, Enhanced Payroll is the more reasonably-priced option—provided you’re OK with DIY payroll tax e-payments and e-filings. If you have a slightly bigger budget, consider the Assisted Payroll tier, as it includes 24/7 priority support and payroll tax filing services.
However, note that you can only use QuickBooks Desktop Payroll if you get QuickBooks Desktop—which is Intuit’s desktop accounting system. Payroll is an add-on solution, although the Enterprise version comes with built-in pay processing tools. To know more, check out the QuickBooks Desktop Enterprise pricing section below.
For the Enterprise version of its desktop accounting software, Intuit QuickBooks offers four packages: Silver, Gold, Platinum, and Diamond. Pricing is based on the number of users. All plans let you track income and expenses, create invoices and accept payments, manage bills and inventory, and monitor sales tax. The main differences between these include the number of users and access to additional features, such as payroll, bill and purchase order (PO) workflow approvals, and advanced inventory tools.
Silver | Gold | Platinum | Diamond | |
|---|---|---|---|---|
Annual Pricing ($/year) | Starts at $1,410 | Starts at $1,830 | Starts at $2,250 | Starts at $4,440 |
Number of Simultaneous Users | Up to 30 | Up to 30 | Up to 30 | Up to 40 |
Desktop Payroll Version | Enhanced Payroll | Enhanced Payroll | Enhanced Payroll | Assisted Payroll |
Payroll Fees | $50 plus $6 per employee monthly | $0 (Free) | $0 (Free) | $1 per employee, per pay period |
Bill & PO Workflow Approvals | ✕ | ✕ | ✓ | ✓ |
Advanced Inventory Tools | ✕ | ✕ | ✓ | ✓ |
Time Tracking with QuickBooks Time | ✕ | ✕ | ✕ | $5 per employee monthly |
Salesforce CRM Connector | ✕ | ✕ | ✕ | $150 per company file monthly |
Details about this product’s Enterprise Silver option are no longer found on the provider’s website. However, it is still available for purchase. Contact the QuickBooks sales team to request a quote.
For more information about the Enterprise package, read our QuickBooks Enterprise review.
Best for Payroll & Tax Filing Features: QuickBooks Desktop Assisted Payroll
The QuickBooks Payroll options for desktop can handle payments for contractors and employees. These options come with online paystubs, printable tax documents (including year-end tax forms), and automatic calculations of federal and state payroll taxes. Both QuickBooks Desktop Payroll plans also include direct deposit payouts and electronic tax filings, although the provider may charge extra for contractors (contact QuickBooks for a quote).
Here are some of the standout features.
Enhanced Payroll | Assisted Payroll | |
|---|---|---|
Pay by Direct Deposit and Manual Paychecks | ✓ | ✓ |
Direct Deposit Timelines | Two days | Next day |
Payroll Tax Payments and Filings | Via electronic payments and filing you handle yourself | QuickBooks will handle this for you |
Tax Penalty Guarantee | ✕ | ✓ |
Employee payments via direct deposits are free, and you can use QuickBooks Desktop Payroll to print paychecks, but the paper check stocks cost extra. You do have the option to manually prepare checks, but you have to input the check number into QuickBooks for tracking.
For its tax penalty guarantee, Intuit QuickBooks will assume responsibility for any penalties arising from erroneous payroll tax filings and payments. However, you should be on the Assisted Payroll plan, have sufficient funds in your account to cover the required tax payments, and provide QuickBooks with the correct information in a timely manner.
Both versions of QuickBooks Desktop Payroll also allow you to generate payroll reports and handle different wage types (like bonuses and overtime). If you don’t want to get QuickBooks Time, you can directly input the regular work hours and overtime hours of employees into its system, and it will compute the applicable earnings, deductions, and tax withholdings. It can even track paid time off (PTO), workers’ compensation, and benefits insurance details.
However, what sets Assisted Payroll apart from the Enhanced Payroll plan are the next-day direct deposits and payroll tax administration services that it offers. With Assisted Payroll and its full-service package, you only need to run payroll, and then QuickBooks will file tax forms and make tax payments on your behalf.
If you have an in-house payroll staff who can manage simple tax payments and filings for fewer than 50 employees, then the Enhanced Payroll is for you. The system automatically fills in federal and most state payroll tax forms with the necessary information, so you don’t need to manually input employee tax details. Plus, QuickBooks makes the entire process easy and simple, given its electronic tax payment and filing tools.
Best for Ease of Use & Customer Support: QuickBooks Desktop Assisted Payroll
Regardless of the QuickBooks Desktop Payroll option selected, Intuit grants you access to its online library of how-to articles, guides, and FAQs. A community forum is also available if you want to connect with fellow QuickBooks Desktop Payroll users and ask questions about the software’s features.
Enhanced Payroll | Assisted Payroll | |
|---|---|---|
Ease of Use | Good | Excellent |
Online Guides and FAQs | ✓ | ✓ |
Payroll Setup Assistance | ✕ | ✓ |
Customer Support | Weekday phone and chat support | 24/7 phone and chat support |
QuickBooks Desktop Assisted Payroll is the easiest to use because you just review the hours worked by employees, run payroll, and pay via direct deposits (or print paychecks)—then QuickBooks will handle payroll tax payments and filings for you. This is unlike QuickBooks Payroll Enhanced, which is more hands-on, although tools for creating payroll tax forms and making tax payments are straightforward.
In terms of support, all plans include unlimited live customer support through chat or telephone. However, if you need help setting up your payroll and 24/7 customer assistance, consider QuickBooks Desktop Assisted Payroll. The Enhanced Payroll plan doesn’t include payroll setup assistance and only comes with standard weekday support.
QuickBooks Desktop Payroll User Reviews
There are very few up-to-date user reviews about QuickBooks Desktop payroll products as of this writing. The ones we found on third-party sites like TrustRadius, G2, and Capterra are mostly about the QuickBooks Desktop Enterprise solution, with a few mentions of its payroll solution. Some positive reviews we found center around its solid pay processing tools.
On the other hand, a few reviewers complained about its expensive pricing and having experienced system glitches (like slow-loading pages and software crashes) from time to time.
How We Evaluated QuickBooks Desktop Payroll Plans
In evaluating the different QuickBooks Desktop Payroll options, we looked at pricing, ease of use, and user reviews. We also compared features, the type of support offered, and whether it offers a tax penalty-free guarantee. Ultimately, a good payroll service should help you do payroll from beginning to end, starting with calculating payroll checks and ending with filing and making payroll tax payments.
Bottom Line
QuickBooks Desktop users have two options for adding payroll functionality to its accounting platform. Enhanced Payroll provides a complete set of payroll functions for preparing and e-filing tax forms. Assisted Payroll takes payroll tax filings off your “to-do” list by taking care of processing and submitting tax forms and making payroll tax payments, while providing a no-penalty guarantee.
Among these two plans, we recommend QuickBooks Desktop Assisted Payroll. It has all the tools employers need to create paychecks, pay both employees and contractors, and automatically calculate earnings, deductions, and tax withholdings. It also comes with tax payment and filing services, including access to 24/7 support—making it a good option for business owners who prefer a desktop-based payroll solution.
