Hi there,
Glad to hear from you again. I want to make sure you get the best answer on the best way to deduct a shareholder loan from a paycheque. I recommend reaching out to an accounting professional to ensure accuracy. I'll also leave this question in the Community so other accountant users can chime in. If you're not in contact with an accounting professional, here's a link which will direct you to a page where you can search for one.
In the meantime, here's how to set up a deduction:
- Select the Gear icon, then Payroll Settings.
- Select Pay Schedules.
- Depending on what you need to set up, select Deductions or Contributions.
- Select Add a New Deduction or Add a New Contribution.
- From the dropdown menu, select Health Insurance, Retirement Plans, Non-cash taxable benefits or Other Deductions.
- Based on the deduction or contribution, enter the proper information:
- If you select Other Deductions, enter a description for the deduction for the contribution.
- If you select Health Insurance or Retirement Plans, enter the provider information.
- If you select Non cash taxable benefits, choose the benefit type from the sub-menu.
- Once everything is filled out, select OK.
To find out more about adding the deduction, check out this helpful article here. Let me know if you have other questions by leaving a comment below. I'll be here to steer you in the right direction.
