How to Create a Separate Payroll Expense Account for Each Employee in QuickBooks Payroll
Published 08/27/2010 | 
6560 Payroll Expense–Other
My payroll categories looks like this
6560 Payroll Expenses
Salary Expense–Employee A
Salary Expense–Employee B
6560 Payroll Expense–Other
Total 6560–Payroll Expenses
This is very frustrating as the majority of payroll expenses are lumped into 6560 Payroll Expenses–Other. I would like the paychecks to be allocated more like this
6560 Payroll Expenses
Salary Expense–Employee A
Salary Expense–Employee B
Salary Expense–Employee C
Salary Expense–Employee D
Total 6560–Payroll Expenses
Do you have any suggestion how I can do this?
However, I usually don’t recommend having separate accounts for employees on your chart of account. Instead, I recommend getting the detail you’re looking for by drilling down on reports. For instance, if you click on your payroll expense account on your Profit & Loss report, you can sort or even total the transaction listing by employee. There are also several useful reports in Reports > Employee & Payroll. Make sure to check out the More Payroll Reports in Excel option.
I do, however, sometimes recommend having separate sub-accounts for benefits and payroll taxes because it makes reconciling much easier. It would look something like this:
Payroll Expenses
Wages
Payroll Taxes
Federal
State
Benefits
Medical
Dental
Retirement
You can change the payroll expense account used for your existing payroll items by going to Lists > Payroll Items, right-clicking on the item you want to change and selecting Edit Payroll Item. The expense account is on the second screen.
If you must have separate payroll expense accounts for each employee, you'll need to setup a separate payroll item for each employee mapped to their own payroll expense account. Go to Lists > Payroll Item List, click on the Payroll Item button and select New. Go through the payroll setup wizard, making sure to select the payroll expense account you want to use.
If you choose to use one payroll expense account for your employees instead of separate accounts, as recommended, you'll probably want to merge the separate payroll accounts into your main payroll expense account. Go to List > Chart of Accounts. Right-click on one of the employee payroll accounts and select Edit Account. Uncheck the Subaccount Of box and change the name of the account to "Payroll Expenses". If the name exactly matches, you'll get a warning "This account is already being used. Would you like to merge them?". Select Yes to merge the accounts.
This article is provided for informational purposes and is not intended to be construed as legal, accounting, or other professional advice. For further information, please consult appropriate professional advice from your attorney and certified public accountant.
Written by +Ruth Perryman, CMA, CFE, CFM, MBA
Ruth is the president of The QB Specialists, an Intuit Premier Reseller that offers huge savings and expert advice on QuickBooks POS and QuickBooks Enterprise. She is an Advanced Certified QuickBooks ProAdvisor and a member of Intuit’s Trainer/Writer Network. She is also certified in QuickBooks POS and QuickBooks Enterprise and has provided expert QuickBooks help to thousands of businesses all over the world since 1996.
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How to Run a Report of Hours Worked in QuickBooks Payroll
Published 08/26/2010 | For future reference, you can enter hours for salaried employees; in fact, it's quite common when you're doing job costing. Just make sure that the rate is $0 so that only the salaried amount is paid.
This article is provided for informational purposes and is not intended to be construed as legal, accounting, or other professional advice. For further information, please consult appropriate professional advice from your attorney and certified public accountant.
Written by +Ruth Perryman, CMA, CFE, CFM, MBA
Ruth is the president of The QB Specialists, an Intuit Premier Reseller that offers huge savings and expert advice on QuickBooks POS and QuickBooks Enterprise. She is an Advanced Certified QuickBooks ProAdvisor and a member of Intuit’s Trainer/Writer Network. She is also certified in QuickBooks POS and QuickBooks Enterprise and has provided expert QuickBooks help to thousands of businesses all over the world since 1996.
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News Flash – Labor Day (Monday, September 6, 2010) affect on payroll tax payments and direct deposit in QuickBooks Payroll
Published 08/25/2010 | -affect-on-payroll-tax-payments-and-direct-deposit.aspx)
How will Labor Day (Monday, September 6, 2010) affect my payroll tax payments and direct deposit?
To allow for the Labor Day holiday, you might need to send payroll a day earlier than usual. Doing so will help you to comply with the Fair Labor Standards Act and ensure timely payroll tax payments.
If your normal paycheck date is on 9/6/10, you should:
- Change your paycheck date for your direct deposit employees to Friday, 9/23/10.
- Send your payroll by 5 PM Pacific Time on Wednesday, 9/1/10
If your paycheck date is immediately before or after Labor Day, consult the table that follows to find out when to send your payroll and when your account will be debited.
| If you date your paychecks for… | Send payroll by 5:00 PM Pacific Time on… | Your account will be debited on*… | Employees get paid on (Direct Deposit only)… |
|---|---|---|---|
| Friday, 9/3 | Wednesday, 9/1 | Thursday, 9/2 | Friday, 9/3 |
| Monday, 9/6 | (see message above) | ||
| Tuesday, 9/7 | Thursday, 9/2 | Friday, 9/3 | Tuesday, 9/7 |
| Wednesday, 9/8 | Friday, 9/3 | Tuesday, 9/7 | Wednesday, 9/8 |
*Accounts are typically debited before regular banking hours, so you should make sure you have funds in your account to cover the payroll on the day before the actual debit occurs.
This article is provided for informational purposes and is not intended to be construed as legal, accounting, or other professional advice. For further information, please consult appropriate professional advice from your attorney and certified public accountant.
Written by +Ruth Perryman, CMA, CFE, CFM, MBA
Ruth is the president of The QB Specialists, an Intuit Premier Reseller that offers huge savings and expert advice on QuickBooks POS and QuickBooks Enterprise. She is an Advanced Certified QuickBooks ProAdvisor and a member of Intuit’s Trainer/Writer Network. She is also certified in QuickBooks POS and QuickBooks Enterprise and has provided expert QuickBooks help to thousands of businesses all over the world since 1996.
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How to Enter a Credit Card Overpayment in QuickBooks
Published 08/24/2010 |
Then, you want to reduce the balance of the credit card for the EFT payment made. When you enter the bill or check, make sure to select your credit card account in the Account column and enter the full amount paid. Since you overpaid your bill, this will reduce your balance to negative $5.86.
This article is provided for informational purposes and is not intended to be construed as legal, accounting, or other professional advice. For further information, please consult appropriate professional advice from your attorney and certified public accountant.
Written by +Ruth Perryman, CMA, CFE, CFM, MBA
Ruth is the president of The QB Specialists, an Intuit Premier Reseller that offers huge savings and expert advice on QuickBooks POS and QuickBooks Enterprise. She is an Advanced Certified QuickBooks ProAdvisor and a member of Intuit’s Trainer/Writer Network. She is also certified in QuickBooks POS and QuickBooks Enterprise and has provided expert QuickBooks help to thousands of businesses all over the world since 1996.
Web Store | Price List | Free Trials | Newsletter
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