QuickBooks Payroll Error PS107 usually occurs when you try to download the latest payroll updates, but QuickBooks detects a damaged or outdated payroll update file. The error message often looks like:
“An internal file in QuickBooks has become unreadable [PS107]”.
This can happen due to:
Corrupted payroll update files.
Outdated QuickBooks Desktop version.
System or antivirus blocking QuickBooks updates.
Damaged company file data.
🔧 Fixes for QuickBooks Payroll Error PS107
Update QuickBooks Desktop
Go to Help > Update QuickBooks Desktop.
Select Update Now and then Get Updates.
Restart QuickBooks and install updates.
Download Payroll Updates Again
Go to Employees > Get Payroll Updates.
Select Download Entire Payroll Update.
Retry installing updates.
Check QuickBooks Release Version
Press F2 in QuickBooks to see Product Information.
If your version is not supported, update to the latest release.
Disable Antivirus/Firewall Temporarily
Security software may block payroll updates.
Disable antivirus/firewall and retry the update.
Rename Payroll Update Folder
Close QuickBooks.
Navigate to:
C:\Program Files\Intuit\QuickBooks [Year]\Components\Payroll\CPS
Rename the CPS folder to CPSOLD.
Reopen QuickBooks and download payroll updates again.
Verify & Rebuild Data
Go to File > Utilities > Verify Data.
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If errors are found, use Rebuild Data to repair them.
👉 If the error persists, you may need to manually update payroll from the Intuit website or contact QuickBooks Payroll Support for advanced troubleshooting.
