QuickBooks is a trusted accounting solution for businesses of all sizes, but like any software, it occasionally encounters issues. One such issue is QuickBooks Error Code 2107, which can disrupt your payroll process and cause unnecessary stress.
What is QuickBooks Error Code 2107?
Error 2107 usually occurs when QuickBooks is unable to transfer salary or direct deposit payments to employees. This error is related to the payroll feature and often comes with a message like:
“Error 2107: QuickBooks could not transfer funds to employee accounts.”
It primarily affects Direct Deposit functionality within QuickBooks Desktop or Online Payroll services.
? Common Causes of Error 2107
✅ Corrupted QuickBooks company files
? Incorrect payroll settings or configurations
? Internet connection issues blocking secure data transmission
? Outdated QuickBooks version
⚠️ Payroll subscription not active or expired
? Firewall or antivirus software blocking QuickBooks payroll processes
?️ How to Fix QuickBooks Error Code 2107
✅ 1. Update QuickBooks to the Latest Version
Open QuickBooks Desktop.
Go to Help > Update QuickBooks Desktop.
Click Update Now and check the boxes.
Click Get Updates, then restart QuickBooks after the update.
Keeping your software updated ensures compatibility with payroll services and corrects known bugs.
✅ 2. Verify Payroll Subscription
Go to Employees > My Payroll Service > Account/Billing Information.
Log in using your Intuit credentials.
Ensure your payroll subscription is active and current.
If it’s expired, you’ll need to renew it before proceeding.
✅ 3. Run QuickBooks File Doctor
Corrupt data files can trigger error 2107. Use the QuickBooks Tool Hub to fix it:
Download & install the QuickBooks Tool Hub.
Open the Tool Hub.
Select Company File Issues > Run QuickBooks File Doctor.
Choose your company file and let the tool scan for problems.
✅ 4. Check Internet and Firewall Settings
QuickBooks needs a stable internet connection and unrestricted access to payroll services.
Make sure you’re connected to the internet.
Temporarily disable firewalls or antivirus programs and check if the error resolves.
Add QuickBooks and its components (e.g., QBW32.exe) as exceptions in firewall settings.
✅ 5. Reconfigure Payroll Settings
Go to Employees > My Payroll Service > Send Payroll Data.
Check for any unsent payrolls or errors in submission.
Re-send the payroll if necessary.
Also ensure employee bank account details are entered correctly under their profiles.
? Pro Tips to Prevent Error 2107
Regularly back up your company files.
Keep your QuickBooks software and payroll tax tables updated.
Use strong internet connections during payroll submission.
Schedule periodic file integrity checks using built-in tools or third-party solutions.
Avoid abrupt shutdowns while payroll is processing.
? When to Contact Support
If the error persists after all troubleshooting steps:
Contact Intuit QuickBooks Payroll Support.
Have your license number, company file path, and error details ready for faster assistance.
✅ Final Thoughts
QuickBooks Error Code 2107 can cause disruptions to your payroll operations, but with the right steps, it can be resolved quickly. Make sure your software is updated, your subscription is active, and your settings are correct. When in doubt, don’t hesitate to get professional help to avoid payroll delays and compliance risks.
