Adding employee expenses to a pay run in QuickBooks Online Advanced Payroll

If you want to include an expense reimbursement for an employee in a pay run, you can do this by adding expense lines within the pay run.

You can add an expense line to a pay run with the following steps:

1. Make sure you have an appropriate Expense Category defined for this expense.
2. From the list of employees in the pay run, choose the employee you want to add the expense reimbursement to.
3. Select Actions.
4. Select Add Expense. This will add a new earnings line in the Expenses section of the employee's pay run details.
5. For the new expense line, enter the following:
   • Expense Category (required)
   • Location (required)
   • Notes
   • Tax Code
   • Amount (required)
6. Save to add the expense line.

Expense categories define the different types of out-of-pocket expenses your employees can claim. Because expense reimbursements are not considered to be earnings, they won't be included in net or gross amounts calculated in pay runs or payment summaries generated at the end of the financial year.