Good day, Carol13.
When you set up the employer health insurance item, you'll have to manually divide the contribution amount. If the payroll liability is slightly off, you can create a journal entry to offset the amount.
Here's how to set it up:
- Click Workers, then choose Employees.
- Choose the employee, then click to open the profile.
- Click the Pencil icon next to Pay.
- Under Does employee have any deductions?, click the Pencil icon to add a deduction or click Add a new deduction.
- Under Deduction/contribution or garnishment, choose Deduction/contribution.
- Under Deduction/contribution, choose New deduction/contribution.
- Under Deduction/contribution type, choose Health Insurance. Then, under Type, choose Medical Insurance.
- Fill in the necessary fields.
- Click OK.
Please check my screenshot below.
As always, I recommend reaching out to your accountant on the best way to categorize the payroll item and journal entries.
Feel free to come back if you have other concerns. Have a good day!