How to fix the QuickBooks payroll update error PS038?
If you want to fix QuickBooks error PS038, check if there are any online paychecks that might be stuck; if there are, then resend them. Alternatively, you can use the Verify and Rebuild Data utility on QB application to fix any underlying issues. If the payroll update error persists, then confirm that you have an active payroll subscription. To verify the validity of payroll subscription, click on the Employees menu and select My Payroll Service.
https://proadvisorsolutions.com/blog/quickbooks-error-ps038/
Allan
shared this idea
-
ximeh
commented
I just installed QuickBooks Desktop on a new computer today and restored my company file. Now, when I try to activate the payroll service, I get the PS038 error. I suspect it’s either a typo in my EIN or PSID, or my new computer’s firewall is blocking QuickBooks.
-
ximeh
commented
QuickBooks error PS038 usually appears when you’re trying to update or send payroll data, but one or more paychecks are stuck “Online to Send.” The good news? You can fix it yourself by following a few careful steps.
Step 1: Identify if You Have Stuck Paychecks
Open QuickBooks Desktop.
Go to the top menu and click Edit ➜ Find (or press Ctrl + F).
Switch to the Advanced tab.
Under the Filter list, choose Online Status and set it to Online to Send.
Click Find Now.
👉 If you see any paychecks listed, it means they’re stuck in the sending queue.
Step 2: Resend the Stuck Paychecks
Open each stuck paycheck one by one.
Click Paycheck Detail, then Save & Close.
Now, go to Employees ➜ Send Payroll Data.
Click Send All to resend the paychecks.
✅ If the paychecks send successfully, try running the payroll update again — the PS038 error should disappear.
Step 3: Use the Verify and Rebuild Data Utility
If the error still appears, it may be due to minor data corruption in your QuickBooks company file.
Go to File ➜ Utilities ➜ Verify Data.
If QuickBooks detects any issues, proceed to the next step.
Go to File ➜ Utilities ➜ Rebuild Data.
Let QuickBooks create a backup before rebuilding.
Once complete, re-run your Payroll Update.
This process repairs internal data inconsistencies that can trigger update errors like PS038.
Step 4: Confirm Your Payroll Subscription Status
If the problem persists, your payroll subscription may have expired or become inactive.
Go to Employees ➜ My Payroll Service ➜ Account/Billing Information.
Sign in with your Intuit credentials.
Check that your subscription is active and valid.
If expired, renew it and restart QuickBooks before attempting the update again.
Step 5: Update QuickBooks and Payroll Tax Tables
Finally, ensure both QuickBooks Desktop and the payroll tax table are fully updated.
Go to Help ➜ Update QuickBooks Desktop ➜ Update Now.
After installing updates, reopen QuickBooks.
Then go to Employees ➜ Get Payroll Updates ➜ Download Entire Update.
Once the download completes, check if the payroll update error PS038 is resolved.
-
boximek
commented
If you're facing the QuickBooks payroll update error PS038, here are the steps you can follow to resolve it:
Check for Stuck Online Paychecks:
Sometimes, there might be online paychecks that haven't been sent properly. To fix this, go to the Payroll Center, check for any paychecks that might be stuck, and resend them.Use Verify and Rebuild Data Utility:
QuickBooks has a built-in tool that can help resolve data-related issues:Go to the File menu.
Select Utilities.
Choose Verify Data.
If the tool detects any issues, run the Rebuild Data option to fix them.
Confirm Your Payroll Subscription:
If the error still persists, ensure that your payroll subscription is active:Go to the Employees menu.
Select My Payroll Service.
Click on Manage Service Key to verify the status of your payroll subscription.
Contact QuickBooks Support:
If the error continues, you may need to reach out to QuickBooks support for further assistance. You can contact them at +1-800-223-1608.These steps should help you resolve the PS038 error and get your payroll updates working smoothly again.
