So, back in June 2018, our company paid for several employees to go on a mini vacation as a bonus. We did this 2 years ago also...however, back then our accountant had us create a G/L expense account to enter the airfare/hotel costs as an "Employee Welfare" business expense. Now they're saying it is a taxable bonus to our employees and to put the cost of each employee's W-2 for 2018. How do I do that? Luckily, I haven't printed out my W-2's yet. And will this affect my other payroll tax reports?
Good day, Amy46,
I can help you record your bonus checks in QuickBooks Desktop.
In order to withhold your employee's taxes, we can create a bonus check then offset the net amount afterward. This way nothing gets added to your expenses for payroll wages. Let me guide you on how to do that:
Step 1: Create the bonus item.
Step 2: Add the offset item.
Step 3: Create the bonus check and add the offset item.
Here's how it should look like:
To know more about creating a separate bonus check, please feel free to checkout this article: Pay A Bonus On Separate Paychecks In QuickBooks Desktop Payroll
Once done, the taxes from the bonus check will then create a liability in QuickBooks. You may want to check this article to know more about processing tax payments: How to use QuickBooks to pay payroll taxes and other liabilities
That should do it, Amy46. If you need further assistance, please feel free to let me know so I can get back to you. Have a good one!