We've got some steps we can perform in handling payroll loans in QuickBooks Online (QBO), DFANDJL.
If you need to record a payroll loan from your employee, we can set up a liability account to track it and its payments. Let me guide you on how:
- Go to the Gear icon on the top menu.
- Select Chart of Accounts.
- Click New to create a new account.
- From the Account Type dropdown, select Long-Term Liabilities. If you plan to pay off the loan by the end of the current fiscal year, choose Other Current Liabilities instead.
- From the Detail Type dropdown, select Notes Payable.
- Give the account a relevant name.
- Choose when you want to start tracking your finances. In the Balance field, enter the amount in the account, and determine the as-of-date. Enter today's date if you want to start tracking immediately.
- Press Save and Close.
Then, follow Steps 2 and 3 to finish the process in this article: Set up a loan in QuickBooks Online.
Moreover, you can check out these articles for additional details about handling accounts in the Chart of Accounts:
Lastly, gain peace of mind knowing that our QuickBooks Live Experts are available to support you. They bring clarity to your operations, making sure your transition to QuickBooks Online is hassle-free and accurate. Explore them now to streamline your financial processes and ensure nothing gets overlooked.
The Community always has your back if you have other questions about recording loans or any Payroll-related concerns. We'll be happy to help you again, DFANDJL.
