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How to Fix QuickBooks Error 12038 When Installing Updates

· 6 min read
Debits

Introduction​

QuickBooks Error 12038 is a common error that occurs when the software fails to connect to the Intuit server while downloading or installing updates. This issue is often related to connectivity problems, incorrect internet settings, or firewall restrictions. Resolving this error is essential to ensure your QuickBooks software remains up to date and functions properly.

This guide outlines the possible causes of Error 12038 and provides step-by-step solutions to fix it effectively.

Causes of QuickBooks Error 12038​

  1. Unstable Internet Connection: Poor or intermittent internet connectivity can disrupt the update process.
  2. Incorrect Date and Time Settings: Mismatched system date and time settings can interfere with QuickBooks' ability to establish a secure connection.
  3. Firewall or Antivirus Restrictions: Overly restrictive firewall or antivirus settings may block QuickBooks from accessing the Intuit server.
  4. Outdated QuickBooks Version: Running an outdated QuickBooks version may lead to compatibility issues during the update process.
  5. Incorrect Internet Explorer Settings: QuickBooks relies on Internet Explorer to connect to the Intuit server, so incorrect or outdated settings can cause this error.
  6. Multiple Versions of QuickBooks Installed: Having multiple versions of QuickBooks on the same system can cause conflicts during the update process.

Symptoms of QuickBooks Error 12038​

  • The QuickBooks update process fails and displays Error Code 12038.
  • QuickBooks freezes or crashes during the update.
  • Slow or unresponsive QuickBooks functionality.
  • You are unable to download or install payroll updates.
  • Repeated prompts to retry the update process.

Steps to Fix QuickBooks Error 12038​

Step 1: Verify Your Internet Connection​

QuickBooks requires a stable internet connection to download updates successfully.

  1. Test Internet Speed:
    • Visit Speedtest to check your internet speed and stability.
  2. Restart Your Router:
    • Power off your modem or router, wait for a minute, and then restart it.
  3. Switch Networks:
    • If possible, switch to a different network (e.g., a wired connection) to eliminate connectivity issues.

Step 2: Check and Update Date and Time Settings​

Mismatched date and time settings on your computer can interfere with QuickBooks' ability to establish a secure connection.

  1. Adjust System Date and Time:
    • Right-click on the date and time in the bottom-right corner of your screen and select Adjust date/time.
  2. Enable Automatic Updates:
    • Turn on the option for Set time automatically and Set time zone automatically.
  3. Retry Updates:
    • Open QuickBooks and attempt to download updates again.

Step 3: Configure Firewall and Antivirus Settings​

Your firewall or antivirus software may block QuickBooks from accessing the Intuit server. Adding QuickBooks as an exception can resolve this.

  1. Add Firewall Exceptions:
    • Go to Control Panel > System and Security > Windows Defender Firewall.
    • Select Allow an app or feature through Windows Firewall.
    • Add QuickBooks Desktop and its components (e.g., QBW32.exe) to the list of allowed apps.
  2. Disable Antivirus Temporarily:
    • Open your antivirus software and temporarily disable it.
  3. Retry the Update:
    • Open QuickBooks and try updating again.

Note: Ensure you re-enable your antivirus or firewall after completing the updates to maintain system security.

Step 4: Update Internet Explorer Settings​

QuickBooks relies on Internet Explorer to connect to the Intuit server. Incorrect or outdated settings may cause the error.

  1. Open Internet Explorer:
    • Launch Internet Explorer on your computer.
  2. Update Security Settings:
    • Go to Tools > Internet Options > Security.
    • Set the security level to Medium-High.
  3. Enable TLS Protocols:
    • Go to the Advanced tab in Internet Options.
    • Ensure Use TLS 1.2 is checked. Uncheck TLS 1.0 and TLS 1.1 if they are enabled.
  4. Apply Changes:
    • Click Apply and then OK.
  5. Restart QuickBooks:
    • Open QuickBooks and try installing updates again.

Step 5: Run QuickBooks Install Diagnostic Tool​

The QuickBooks Install Diagnostic Tool can help identify and fix issues related to update installation.

  1. Download QuickBooks Tool Hub:
    • Visit the official Intuit website and download the latest version of QuickBooks Tool Hub.
  2. Run the Install Diagnostic Tool:
    • Open the Tool Hub and go to the Installation Issues tab.
    • Select QuickBooks Install Diagnostic Tool and let it scan for issues.
  3. Restart Your Computer:
    • Restart your system and retry the update process.

Step 6: Repair QuickBooks Desktop​

If the error persists, repairing the QuickBooks installation can resolve any damaged files that may be causing the issue.

  1. Open Control Panel:
    • Go to Control Panel > Programs > Programs and Features.
  2. Locate QuickBooks:
    • Find QuickBooks Desktop in the list of installed programs.
  3. Select Repair:
    • Right-click on QuickBooks and select Repair. Follow the on-screen instructions to complete the process.
  4. Restart QuickBooks:
    • Open QuickBooks and attempt to download updates again.

Step 7: Perform a Clean Install of QuickBooks​

If none of the above solutions work, performing a clean install of QuickBooks can help.

  1. Uninstall QuickBooks:
    • Go to Control Panel > Programs > Programs and Features, select QuickBooks, and click Uninstall.
  2. Download the Clean Install Tool:
    • Open QuickBooks Tool Hub and navigate to the Installation Issues tab. Select Clean Install Tool.
  3. Reinstall QuickBooks:
    • Download the latest QuickBooks installer from the official Intuit website and follow the on-screen prompts to reinstall.

Step 8: Contact Your Internet Service Provider (ISP)​

If the issue persists, your ISP might be restricting access to the Intuit server.

  1. Contact ISP Support:
    • Explain the issue and ask them to check for restrictions on Intuit’s servers or ports.
  2. Retry Updates:
    • After the ISP resolves any restrictions, retry the QuickBooks update.

Additional Tips​

  • Enable Automatic Updates: Go to Help > Update QuickBooks Desktop > Options and enable automatic updates to ensure your software stays up to date.
  • Backup Data Regularly: Always create a backup of your company file before performing updates to avoid data loss.
  • Use a Stable Network: Ensure a reliable internet connection to prevent update interruptions.

Conclusion​

QuickBooks Error 12038 can be a roadblock when updating your software, but with the steps outlined in this guide, you can effectively resolve the issue. From verifying your internet connection and configuring firewall settings to repairing QuickBooks and updating system settings, these solutions address the most common causes of the error.

If the error persists after troubleshooting, consider contacting QuickBooks support for further assistance.