Use the dropdowns below to learn more about how processing payroll works within Gusto. Check out these articles when you're ready to process a regular payroll, an off-cycle payroll, or a bonus payroll.
Head to this article to learn about the payroll processing time and direct deposit speeds.
Check date is the date that the paycheck will be made for—the day your team receives their wages for a corresponding pay period.
Pay period is the timeframe during which your employee worked.
Debit date is the date the funds will be taken out of your company bank account in order to pay employees by the check date.
For regular payrolls, the debit date is generally one, two, or four business days before the check date.
When you backdate a payroll, you can change the check date to a date in the past as long as it's within the same calendar year quarter that the payroll is being created.
For any backdated payrolls, the debit date will generally be one to two business days after the backdated payroll is processed. If you need to update your pay schedule, follow the steps in this article.
We'll initiate 3 separate debit transactions from your company's bank account after each payroll is submitted:
These transactions will happen at the same time, 3 business days before payday. Employee pay and reimbursements will be submitted for direct deposit payments, and we'll send your payroll tax amounts to the applicable state and federal agencies.
You may also see debit transactions from your company's bank account for:
For businesses with more than one employee, you can manage the Run Payroll flow with ease using the tools below.
Use the search bar above the "Employees" column to jump directly to the employee's payroll information you're looking to review.
Use the carat next to the "Employees" column to reveal a drop-down for sorting options. Employees can be sorted by first or last name.
Use the filter button at the top-right of the payroll page to filter by:
Keep in mind: If one or more employees are selected in the far left column, the filter option will not appear until those checkboxes are deselected.
Use the bulk edit tool to apply changes to all or some of your employees. To do so:
Gusto may require you to wire us funds if you run a sufficiently large payroll. When a single payroll or payment, or a group of payments is run within the same deposit period, has a federal tax liability amount of $100,000 or more, the $100,000 Next-Day Deposit Rule applies. This rule requires the tax amounts be paid by the next business day. As Gusto is your registered agent and deposits taxes on your behalf, we may collect funds via wire or reverse wire to ensure we have the funds prior to remitting taxes.
If you're required to wire us funds, we'll notify you when you run payroll and provide instructions in your Gusto account to complete the wire. To access our wire information after processing payroll, click the sticky on your Home page that reads "Wire funds to cover your recent payroll."
Complete these steps to make sure you're set up for success if Gusto requests a wire for your payroll or contractor payments:
To keep your account safe, we'll never send you wire instructions via email or over the phone. Instead, view the wire instructions in your Gusto account on your Home page. If you're instructed to do a wire transfer via email or over the phone, please contact [email protected] before sending funds.
If you have questions about wiring payments, please email our Assurance team directly at [email protected]
Your bank will typically charge $10–$30 to send a wire. Our bank will charge $5 to accept it. This $5 charge will appear on your monthly Gusto invoice.
Setting up reverse wire
Make the process of running large payrolls smoother by setting up reverse wire with your bank. Setting up a reverse wire with your bank authorizes Gusto to withdraw funds from your account via wire transfer, rather than you having to wire us the funds when requested. Once you've activated the reverse wire feature in your account, navigate to the Payroll section and run payroll as normal. If we're going to use a reverse wire to debit your bank account, we'll notify you before you submit the payroll.
Important: Reverse wire takes time to set up and must be done prior to processing payroll. Contact your bank to learn more about the timeline to make sure you can process payroll on time.
Payrolls and direct deposits do not process on Federal bank holidays. If a bank holiday falls on the day you typically run payroll, pay employees, or anytime in between, you must run your payroll on the prior business day. We'll send you a reminder if a bank holiday is coming up.