A faulty company file, out-of-date software, or an invalid or inactive payroll subscription are the most common causes of QuickBooks Error PS038 when updating payroll. PS038 or Payroll Service Server Error are possible display options. Update QuickBooks, fix company files, confirm your subscription, or get help from support to fix the issue. You can call 1.855.738.2784 to speak with one of our QuickBooks Experts.