Why You’re Getting QuickBooks Error PS038 – And How to Stop It

Harvey Specter
Jul 23
4 min read

QuickBooks is an essential tool for small and medium-sized businesses to manage finances efficiently. However, despite its usefulness, users often encounter technical issues that can disrupt workflow. One such frustrating issue is QuickBooks Error PS038.

This article explores why you’re getting QuickBooks Error PS038, how it impacts your payroll processing, and—most importantly—how to fix it. We'll also discuss some proactive steps you can take to avoid this error in the future. If you're stuck and need immediate help, don't hesitate to call +1(866)408-0544 for expert support.

What is QuickBooks Error PS038?

QuickBooks Error PS038 typically occurs when you try to update or run payroll in QuickBooks Desktop. The error message usually says:

“You’ve retrieved the latest payroll update and validated your payroll subscription. We strongly recommend that you go online again before MM/DD/YYYY. [PS038]”

This error appears when there are one or more paychecks stuck as "Online to Send," even though you’ve already sent them.

Root Causes of QuickBooks Error PS038

Before diving into solutions, it's crucial to understand why QuickBooks Error PS038 happens in the first place. Below are the most common reasons:

1. Paychecks Stuck in Online Queue

When paychecks are stuck in the “Online to Send” status, QuickBooks keeps trying to send them to Intuit’s payroll server—even if they were already sent. This inconsistency causes Error PS038.

2. Outdated QuickBooks Desktop Software

Using an outdated version of QuickBooks can create compatibility issues when syncing with Intuit's servers.

3. Corrupted Company File

A damaged or corrupted company file may prevent the payroll data from updating correctly, causing recurring errors.

4. Interrupted Payroll Update

If a payroll update was interrupted due to unstable internet or improper shutdown, it might lead to QuickBooks Error PS038.

Symptoms of QuickBooks Error PS038

Here are some signs that indicate you're dealing with this specific error:

Repeated prompts for payroll updates even after completing one
QuickBooks freezes or crashes during payroll processing
You receive a persistent error message [PS038]
Employees' paychecks show as "Online to Send" in your system
Payroll liabilities aren't calculating correctly

If you’ve experienced any of these, you’re likely facing QuickBooks Error PS038.

Steps to Resolve QuickBooks Error PS038

Let’s get into the step-by-step solutions to eliminate this error. These methods are tried, tested, and safe. However, always back up your company file before proceeding.

Step 1: Update QuickBooks to the Latest Version

Outdated software is a leading cause of payroll errors.

How to do it:

Open QuickBooks Desktop.
Go to Help > Update QuickBooks Desktop.
Click on Update Now tab.
Select Get Updates.
Once the update is complete, restart QuickBooks.

Step 2: Verify and Rebuild Your Data

Corruption in your company file can cause issues like Error PS038.

How to verify data:

Go to File > Utilities > Verify Data.
If QuickBooks detects issues, it will prompt you to rebuild.

How to rebuild:

Go to File > Utilities > Rebuild Data.
Follow the prompts and create a backup if asked.
Once done, verify the data again.

Step 3: Identify Stuck Paychecks

This is the most critical step to resolve QuickBooks Error PS038.

To identify stuck paychecks:

Press Ctrl + F to open the Find window.
Click on Advanced tab.
In the Filter list, choose Detail Level > Summary only.
Then select Online Status and set to Online to Send.
Click Find.

You’ll now see all paychecks stuck in the sending queue.

Step 4: Review and Edit the Affected Paychecks

Open each stuck paycheck and simply click on Save & Close without making changes. This action may trigger QuickBooks to attempt resending the paycheck.

Do this for all affected paychecks.

Step 5: Send Payroll Data Again

After re-saving the stuck paychecks:

Go to Employees > Send Payroll Data.
Review the list of paychecks.
Click Send.

Once the data is sent, the "Online to Send" status should disappear.

Alternative Troubleshooting Tips

1. Use the QuickBooks Tool Hub

QuickBooks Tool Hub is a free utility by Intuit designed to fix common errors.

Steps:

Download it from the official Intuit website.
Install and open it.
Click on Program Problems > Quick Fix my Program.
Let it complete and then retry payroll.

Need help? Call +1(866)408-0544 to get personalized assistance.

2. Run QuickBooks in Safe Mode

Sometimes third-party software interferes with payroll processes. Try running QuickBooks in Safe Mode and repeat the above steps.

How to Prevent QuickBooks Error PS038 in the Future

Prevention is always better than cure. Here’s how to avoid this issue going forward:

1. Regularly Update QuickBooks

Make it a routine to check for updates weekly.

2. Complete Payroll Tasks Promptly

Avoid leaving paychecks in "Send" status for too long.

3. Always Send Payroll Data

Ensure all payroll data is sent immediately after processing.

4. Maintain Backup Schedules

Backups can save you from major headaches if something goes wrong.

5. Monitor Internet Stability

Payroll data requires stable internet to sync with Intuit servers.

When to Call Support?

If you’ve tried all the above steps and QuickBooks Error PS038 still persists, don’t waste valuable time troubleshooting blindly. Get expert help now.

Call QuickBooks Payroll Experts at +1(866)408-0544

Our professionals can help you resolve payroll issues swiftly and securely, ensuring minimal disruption to your business operations.

Final Thoughts

QuickBooks Error PS038 may seem like a complicated problem, but with the right steps, you can fix it and keep your payroll running smoothly. Whether it’s outdated software, stuck paychecks, or file corruption—this guide has covered all the bases.

Just remember:

Keep your software updated.
Always verify and send payroll data.
Don’t hesitate to ask for help when needed.

For expert, on-call assistance, dial +1(866)408-0544 and let professionals handle it for you.

Visit our Website:- Qbookassist

FAQs on QuickBooks Error PS038

Q1: Is Error PS038 a payroll-only issue? Yes, this error is primarily related to payroll updates and data transfer with Intuit’s servers.

Q2: Will re-sending stuck paychecks create duplicates? No, re-saving and sending them again doesn’t duplicate paychecks; it simply clears the queue.

Q3: What if QuickBooks crashes during payroll? Use the QuickBooks Tool Hub to repair your installation or call +1(866)408-0544 for guided assistance.

Q4: Does switching to QuickBooks Online resolve this issue? QuickBooks Online manages payroll differently and may prevent some desktop-specific errors like PS038, but migration should be carefully planned.