What is payroll in QuickBooks
A QuickBooks Payroll Service is a subscription that allows you to use your QuickBooks Desktop Software’s payroll features. You can select between Basic, Enhanced, or Assisted Payroll, depending on the parts you need. The QuickBooks Payroll service isn’t compatible with QuickBooks for Mac. Intuit Online Payroll is the payroll add-on for Mac users.
Intuit Online Payroll is a standalone software that only exports transactions to QuickBooks Desktop and Quickbooks Online (without Quickbooks Online Payroll). QuickBooks Desktop (QuickBooks Pro/Premier or Enterprise) can use the payroll service mentioned in this blog.
Payroll in QuickBooks
To get your latest Payroll for QuickBooks Desktop or QuickBooks Online up and running. Payroll for Desktop and Online makes managing payroll easy, whether you do it yourself or have us do it for you. Here’s a quick guide to getting your Payroll up and running. We’ve also compiled all of the information you’ll need to get acquainted with payroll activities, such as paying workers and filing taxes.
Here are the details you’ll need to get Desktop or Online Payroll up and running. This information can be found in your former payroll provider’s records, records, accounting records, or federal and state agencies.
Business Info.: For direct deposit or electronic tax payments, you’ll need your company’s bank account.
Benefits and compensation:
- Hourly wages, salaries, bonuses, commissions, and tips are examples of employee benefits.
- Health and dental care, 401(k), retirement benefits, vacation/sick leave, and Flexible Spending Accounts are examples of employee compensation (FSA).
- Cash advances, mileage and travel reimbursements, union fees, and salary garnishments are examples of other additions and deductions.
- Employees filled out a W-4 form for each one of them.
- If “single” and “0” allowances aren’t open, enter “single” and “0.” These values can be modified later.
- Hourly, wage, commission, and other pay rates are available.
- Employee contributions to health benefits, retirement savings, or garnishments (child/spousal support) are all examples of paycheck deductions.
- Daily, bi-weekly, semi-monthly, and monthly payment schedules are available.
- If appropriate, sick/vacation hours policy and balance
- Dates of hire and termination
Deposits made directly into your bank account: For direct deposits to your employee’s bank accounts, you’ll need their bank account and routing numbers (additional fees may apply depending on your product).
State department ID numbers and federal employer identification numbers (FEIN): To register and pay taxes, you’ll need specific ID numbers from the IRS and state agencies. To apply for these ID numbers, contact the appropriate agencies (see Federal and State payroll tax forms and resources). Payroll tax filing requirements and deposit schedule: The deadlines for filing and depositing payroll taxes differ. Companies that owe more payroll tax are more likely to pay and file regularly.
Enrollment in the Electronic Federal Tax Payment System (EFTPS): Electronic submission of federal tax deposit payments is needed. www.eftps.gov/eftps is where you can sign up for EFTPS.
Please note that whether you have Assisted or Full Service Payroll, we will enrol you in EFTPS on your behalf.
Additional tax information: State unemployment, assessment, surcharge, administrative or training tax rates, tax deposit schedules, and, if applicable, municipal or other taxes
Payrolls from the past: If you’ve already paid workers this calendar year, we’ll need the figures so we can calculate new paychecks and fill out the tax forms correctly.
- Payroll reports from each paycheck for the current quarter
- For each of the calendar year’s previous quarters: employee-by-employee report and employee-by-employee summary (total company payroll)
- Totals for each employee so far this year: a list by employee
- Year-to-date totals for each employee as of the previous quarter’s last paycheck: an overview by the employee.
Data on liability:
- Copies of all payroll responsibility checks for the current quarter
- Summary of payroll liability payments for each previous quarter of this year
How to record payroll in QuickBooks
Before running the Payroll Setup Wizard, make sure QuickBooks Desktop Payroll is turned on.
- Activate a payroll service that you bought from a store.
- Enable QuickBooks Desktop Payroll if you bought it online or over the phone.
Launch the Payroll Setup Wizard:
- Open QuickBooks Desktop to begin setting up your payroll.
- In the top toolbar, click the Employees tab.
- To open the wizard, scroll down and pick Payroll Setup from the dropdown menu.
- Follow the Payroll Setup Wizard’s instructions.
To summarise, QuickBooks Desktop software helps you manage the finances and accounts of all kinds of businesses. In this blog, you will get to know more about the role of payroll in QuickBooks Desktop software. I hope that this blog added some value to your information bank and was worth your time.