
Set up advance payment and advance repayment in QuickBooks Desktop
by Intuit•1• Updated 1 year ago
Learn how to enter advances paid out to employees as well as advances repaid in QuickBooks Desktop.
How to use default payroll items for advances
- Go to the Employees menu.
- Select Pay Employees.
- Choose the Payroll Schedule you want to use.
- Select the employees you want to pay.
- Select the dropdown arrow from Earnings and choose Advance Payroll Item.
- Enter the amount of the advance.
- Select Save & Close.
Set up a manual advance payment
A manual setup of employee advances and repayments is required if you wish to add tax tracking. The default Advance item does not have a tax-tracking type associatate with it. To set up advance payments manually:
- Go to List and select payroll item list.
- Create new item and choose addition.
- Add a name for the addition and select Next.
- Select Save & Close.
Repay an advance payment
- Select the employee's paycheque that you paid in advance then select Advance Item from the dropdown.
- Enter an amount with a minus sign.
- Select Save & Close.
Note: The advance pay balance from the YTD column will change.
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