QB Issue Resolution:
QuickBooks Online will generate the BACs file which you can download at the “approve and advance” stage but it does not process the payment and does not affect your accounts.
When you approve and advance the payroll it will automatically create a journal to your “payroll clearing” and “tax and national insurance” accounts. These show how much you owe your employees and HMRC respectively.
We have a guide on how to create an expense or journal entry to record payments made to your employees or HMRC here: https://quickbookspayroll.zendesk.com/hc/en-us/articles/200868651-How-do-I-pay-my-employees-and-HMRC…
If you have connected your bank account to QuickBooks Online then you can match it to the expense or journal you created in the previous step.
Resolution for Issue 'QBO Employee’s Setup as Bank but no way to pay.' available: Yes (Solved).
Source: Intuit Community forum.
QBO Employee’s Setup as Bank but no way to pay.: this issue or error code is a known issue in Quickbooks Online (QBO) and/or Quickbooks. Support for this issue is available either by self-service or paid support options. Experts are available to resolve your Quickbooks issue to ensure minimal downtime and continue running your business. First try to resolve the issue yourself by looking for a resolution described below. If it is a complex issue or you are unable to solve the issue, you may contact us by clicking here or by using other support options.Support for Other
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