How can I refund a student loan payment in Quickbooks standard payroll?

 Hello Cookie3, Thanks for posting on the Community page, You can add a additional pay on the employee profile for the loan repayment/refund. Employee profile>actions>additional pay>+add on the top right. You can use reimbursement as this is non-taxable then just rename it. 

Thanks Ashleigh1 but that won't work as it will need to be deducted off the PAYE payment and reported in the RTI. Note this is a student loan not a loan.

Hello Cookies3 so if you are wanting it to show on PAYE and RTI then it will have to be taxable as the first option I gave you was nontaxable. It would be a case of having a look at the different category options in the additional pay section and selecting one that is most suitable for you. If your still struggling we suggest you consult with an accountant on this. 

Ahleigh1 Thanks but I am an accountant. If I remove the tick from the student loans Quickbooks should add it back on to the next payslip but it does not and I don't know why. A student loan is a type of tax (Not taxable as you suggest).

I’ll make sure you’re able to process refunds accurately in QuickBooks Standard Payroll, @Cookie3.

As suggested by my colleague, you'll want to add a reimbursement pay type to process a refund in QuickBooks Online Standard Payroll.

Since it won’t work in your situation, I suggest contacting our Payroll Support team for help on how to deduct the refund off the PAYE payment and report it in RTI.

Here are the steps to reach out to us:

1. Sign in to your QuickBooks Online account.
2. Select Help (?).
3. Go to the Search tab, then select Contact Us.
4. Enter a brief description of concern in the box.
5. Choose a way to connect with us:
   • Start a chat with a support expert (Live chat all day, Monday-Friday)
   • Get a callback (Monday-Friday) 8:00 AM to 10:00 PM and Saturday-Sunday, 8:00 AM to 6:00 PM)

I’ve got some handy references to help manage your employee details, loan repayments, and payroll deductions:

• Add or customise payroll deductions in QuickBooks Standard Online Payroll
• Edit employees in QuickBooks Online Standard Payroll

They consist of resources to get more insights, tips, and best bookkeeping practices for handling workers and payroll procedures.

I'm just around if you have any other concerns or questions besides refunds. Just add them to your reply below, and I'll get back to you as soon as I can. Keep safe always!