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creating a zero dollar net paycheck

Can I create a paycheck with a zero net amount in QuickBooks Desktop Pro 2019?

Best answer 01-09-2019

Accepted Solutions
QuickBooks Team

Re: creating a zero dollar net paycheck

Welcome and thank you for posting here in the Community, @Joy3.

 

It's my pleasure to help create a paycheck with zero net amount in QuickBooks Desktop (QBDT).

 

To zero out the net amount, you may need to create a deduction item under the Other Payroll Items to offset the net amount.

 

First create the paycheck:

 

  1. Go to Employees at the top menu bar.
  2. Select Payroll Center.
  3. Click on Pay Employees.
  4. Select Start Unscheduled Payroll.
  5. Select an employee and click Continue.
  6. Click on Open Paycheck Detail.
  7. Fill in the necessary information under Earnings and Rate in the Preview Paycheck page.

Next, create a deduction item under Other Payroll Items to offset the amount.

 

  1. In the Other Payroll Items column, click the drop-down arrow and select Add New.
  2. Select Deduction, and click Next.
  3. Type Net pay offset in the Enter name for deduction window, and click Next.
  4. In the Agency for employee-paid liability window, change the Liability Account to the account affected or correct account.
  5. Click Next.
  6. Select None from the Tax tracking type drop-down list, and click Next.
  7. Make sure that no taxes are selected in the Taxes section, and click Next.
  8. Select Neither in the Calculate base on quantity window, and then click Next.
  9. Select net pay in the Gross vs. Net window, and then click Next.
  10. Click Finish. You've now created the offset payroll item.
  11. In the Rate column, enter the amount in the Net pay or ChekAmount field.
  12. Hit the Tab key to step off the Other Payroll Items field. The amount on the Net Pay field in the Employee Summary section should be changed to zero (0).
  13. Make sure that Use Direct Deposit checkbox is not selected.
  14. Click Save and Close.

After following the steps provide above, you'll be able to create a paycheck with zero net amount. For additional reference, you may check this article: Zero out the paycheck.

 

Feel free to add a comment below if you have any other paychecks concerns, we're always here to help. Have a wonderful day ahead!

10 Comments
QuickBooks Team

Re: creating a zero dollar net paycheck

Welcome and thank you for posting here in the Community, @Joy3.

 

It's my pleasure to help create a paycheck with zero net amount in QuickBooks Desktop (QBDT).

 

To zero out the net amount, you may need to create a deduction item under the Other Payroll Items to offset the net amount.

 

First create the paycheck:

 

  1. Go to Employees at the top menu bar.
  2. Select Payroll Center.
  3. Click on Pay Employees.
  4. Select Start Unscheduled Payroll.
  5. Select an employee and click Continue.
  6. Click on Open Paycheck Detail.
  7. Fill in the necessary information under Earnings and Rate in the Preview Paycheck page.

Next, create a deduction item under Other Payroll Items to offset the amount.

 

  1. In the Other Payroll Items column, click the drop-down arrow and select Add New.
  2. Select Deduction, and click Next.
  3. Type Net pay offset in the Enter name for deduction window, and click Next.
  4. In the Agency for employee-paid liability window, change the Liability Account to the account affected or correct account.
  5. Click Next.
  6. Select None from the Tax tracking type drop-down list, and click Next.
  7. Make sure that no taxes are selected in the Taxes section, and click Next.
  8. Select Neither in the Calculate base on quantity window, and then click Next.
  9. Select net pay in the Gross vs. Net window, and then click Next.
  10. Click Finish. You've now created the offset payroll item.
  11. In the Rate column, enter the amount in the Net pay or ChekAmount field.
  12. Hit the Tab key to step off the Other Payroll Items field. The amount on the Net Pay field in the Employee Summary section should be changed to zero (0).
  13. Make sure that Use Direct Deposit checkbox is not selected.
  14. Click Save and Close.

After following the steps provide above, you'll be able to create a paycheck with zero net amount. For additional reference, you may check this article: Zero out the paycheck.

 

Feel free to add a comment below if you have any other paychecks concerns, we're always here to help. Have a wonderful day ahead!

Experienced Member

Re: creating a zero dollar net paycheck

Thank you so much for the detailed information!

Active Member

Re: creating a zero dollar net paycheck

I am getting a warning:

 

At least one paycheck has no earnings or additions

 

Using:

S-Corp Owners Health in additions and then subtracting it out in company summary

 

Doesnt allow me to save the checks

Highlighted
QuickBooks Team

Re: creating a zero dollar net paycheck

Thanks for joining us here, PSchulz.

 

It's possible that the S-Corp item wasn't created as an addition item. Let's go to your Payroll Item List and check the Type column to verify. Here's how:

 

  1. Go to the List menu and select Payroll Item List.
  2. Look for the S-Corp item and make sure it says Addition under the Type column.

In case the item isn't set up as an addition item, you will need to create another one and select Addition. Then, use it in the Other Payroll Items box to create the zero paycheck. 

 

Visit us again if you have follow-up questions. I'll make sure to get back here and help you again. 

Active Member

Re: creating a zero dollar net paycheck

It is under company contribution.  if I add to addition it doesnt zero out

QuickBooks Team

Re: creating a zero dollar net paycheck

Thanks for getting back to me, PSchulz.

 

We're you able to create a new addition item and use it in the Other Payroll Items section? I would recommend contacting our Payroll Support Team so they can double-check why it's not letting you create a zero paycheck. 

 

Here's how:

 

  1. Open this link: https://payroll.intuit.com/support/contact/?infosrc=qs&service=16.
  2. Click Account, then click View Contact Info

You're always welcome to visit us again if you have other payroll questions. 

Experienced Member

Re: creating a zero dollar net paycheck

No because it won't let me create a zero paycheck getting error message

QuickBooks Team

Re: creating a zero dollar net paycheck

Hi there, @ickus98,

 

Thanks for you time checking this with us today. I can add a bit more about creating zero net paycheck in QuickBooks Desktop.

 

There are a few things you need to do to create a zero net paycheck. Here's how:

 

Step 1: Set up a dummy Addition Item

  1. Go to the Lists menu.
  2. Select Payroll Item List.
  3. Right-click anywhere and click New.
  4. Select Custom Setup then click Next.
  5. Select Addition and click Next.
  6. Enter the name of the item.
  7. Click Next twice.
  8. In the Tax tracking type drop-down, click None.
  9. Click Next three times.
  10. Choose net pay and click Next.
  11. Click Finish.

 

Step 2: Create a dummy Deduction Item

  1. Click the Lists menu and select Payroll Item List.
  2. Right-click anywhere and click New.
  3. Choose Custom Setup and click Next.
  4. Click Deduction then Next.
  5. Enter the deduction name and click Next twice.
  6. In the Tax tracking type, select None.
  7. Click Next three times.
  8. Select the net pay radio button.
  9. Click Next then Finish.

Step 3: Create the payroll check.

  1. Click the Employees menu.
  2. Choose Pay Employees.
  3. Select Unscheduled Payroll.
  4. Update the date and click the employee name.
  5. Click the Open Paycheck Detail button.
  6. Remove all the items on the Earnings section.
  7. In the Other Payroll Items section, remove any addition or deduction items.
  8. Add the dummy addition and deduction item you've just created.
  9. Enter a sample amount. (Example: 100)
  10. Make sure the Check Amount is zeroed out.

That should help you create the zero net check, @ickus98.

 

Please let me know if you need further assistance. I'll be more than happy to get back to you and make sure everything's fine on your end. Have a great day!

Experienced Member

Re: creating a zero dollar net paycheck

None of this helps me with adding salary to officer of an s corp health ins after year end I created the new account as described in the help menu did everything I had to created check and the stupid thing won't let me record it because it is zero I used to be able to do this is there something in 2017 premier that stops me from doing it I'm going crazy is it something stupid like a preference that has to be changed please thanks for your help but this is my dilema

 

Community Manager

Re: creating a zero dollar net paycheck

Hello ickus98,

 

Since you're still getting an error after following the steps above, we encourage you reaching out to our Payroll Support Team. They'll investigate the cause of this issue and resolve it. 

 

To reach us, please click on the Help menu and select QuickBooks Desktop Help F1. Enter Zero Net Paycheck in the search field and click on Contact Us.

 

If there's anything else that we can help you with, please post them here. We'll be glad to help you.