QuickBooks Error 12037 Disrupting Your Payroll Updates? Here’s the Fastest Fix

If you are trying to update QuickBooks Desktop or payroll and suddenly face QuickBooks Error 12037, you’re not alone. This error usually appears when QuickBooks fails to connect to the internet or update servers due to misconfigured settings, firewall restrictions, or network issues. While it may seem like a complex technical problem, the good news is it can be resolved quickly with the right approach.

In this guide, we’ll explain what QuickBooks Error 12037 is, its causes, and step-by-step solutions that even non-technical users can follow. We’ll also cover prevention tips and answer the most common questions about this issue so you can get back to running payroll smoothly without delays.

What is QuickBooks Error 12037?

QuickBooks Error 12037 is a payroll update error that occurs when the software fails to connect to the internet or the update server during a payroll or software update process. This can happen if your network connection is unstable, firewall or antivirus settings are blocking QuickBooks, or system date and time settings are incorrect.

When the error occurs, QuickBooks may display a message like:

"QuickBooks has encountered a problem while updating. The update did not complete successfully."

This prevents you from downloading the latest payroll updates, which can result in outdated tax tables and incorrect payroll calculations.

Common Reasons for QuickBooks Error 12037

  1. Internet Connectivity Problems – Unstable or weak internet connection can interrupt the update process.

  2. Firewall or Security Program Restrictions – Security settings can block QuickBooks from accessing update servers.

  3. Incorrect Date and Time Settings – Mismatched system date and time can prevent secure connections.

  4. Improper SSL Settings – Incorrect SSL configurations in Internet Explorer can lead to failed connections.

  5. Misconfigured Internet Explorer Settings – Since QuickBooks uses Internet Explorer for internet access, any incorrect settings can cause errors.

  6. Server Timeout Issues – If the update process takes too long, QuickBooks may time out and throw an error.

Explore more -  QuickBooks Error 15320 Blocking Payroll Updates?

How to Fix QuickBooks Error 12037 – Step-by-Step Solutions

Solution 1 – Check Your Internet Connection

A weak or unstable internet connection is one of the most common causes of QuickBooks Error 12037.

  • Restart your modem and router.

  • Switch from Wi-Fi to a wired connection for more stability.

  • Test your internet speed to ensure it’s sufficient for downloads.

Solution 2 – Correct Your System Date and Time

Incorrect date and time can cause SSL verification failures.

  1. Right-click on the date and time in the taskbar.

  2. Select Adjust date/time.

  3. Set the correct date, time, and time zone.

  4. Restart your computer and retry the update.

Solution 3 – Update Internet Explorer Settings

QuickBooks relies on Internet Explorer to access the internet, so ensuring correct settings is crucial.

  1. Open Internet Explorer.

  2. Go to Tools > Internet Options.

  3. Click Connections > LAN Settings.

  4. Check Automatically detect settings.

  5. Under Advanced, make sure SSL 2.0 and SSL 3.0 are enabled.

Solution 4 – Configure Your Firewall and Antivirus

  • Add QuickBooks and its services (QBW32.exe, QBUpdate.exe) to your firewall’s exception list.

  • If the firewall is blocking QuickBooks, disable it temporarily to check if updates work.

  • Adjust antivirus settings to permanently allow QuickBooks connections.

Solution 5 – Reset QuickBooks Update Settings

  1. Open QuickBooks.

  2. Go to Help > Update QuickBooks.

  3. Click Options and select Mark All.

  4. Go to Update Now and check Reset Update.

  5. Click Get Updates.

Solution 6 – Use QuickBooks Tool Hub

QuickBooks Tool Hub can fix network issues that cause Error 12037.

  1. Download and install the latest version of QuickBooks Tool Hub.

  2. Open it and select Network Issues.

  3. Run QuickBooks Connection Diagnostic Tool.

Solution 7 – Check for Windows Updates

Outdated Windows files can cause compatibility issues.

  • Go to Settings > Update & Security > Windows Update.

  • Click Check for updates and install them.

Prevention Tips for QuickBooks Error 12037

  • Maintain a stable internet connection.

  • Keep QuickBooks, Windows, and Internet Explorer updated.

  • Regularly check firewall and antivirus permissions for QuickBooks.

  • Adjust update schedules during off-peak internet usage hours.

Frequently Asked Questions (FAQs)

Q1: Can QuickBooks Error 12037 stop payroll processing?
Yes, if payroll updates fail, tax table changes will not apply, leading to incorrect payroll calculations.

Q2: Do I need technical skills to fix this error?
Not necessarily. Many solutions involve basic internet and system setting adjustments.

Q3: Can a VPN cause QuickBooks Error 12037?
Yes, certain VPNs can block QuickBooks connections. Disable the VPN during updates.

Q4: How do I know if my firewall is blocking QuickBooks?
If the update works after disabling your firewall temporarily, it’s likely causing the issue.

Conclusion

QuickBooks Error 12037 can be frustrating, especially if it disrupts payroll updates. The error often results from internet connectivity problems, security software interference, or incorrect system settings. By following the step-by-step solutions in this guide, you can quickly resolve the issue and prevent it from happening again.

If the problem persists after trying all the fixes, it might require professional troubleshooting.
For expert assistance, contact My Payroll QuickBooks at or call +1-855-510-7210 for immediate help.

Location: United States

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