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raylynn_e
Level 1

Garnishment Payment Quickbooks Check

I've set up a child support garnishment for an employee of mine and it is deduction from his check, and I know that the company is responsible for sending this payment out. However, I am un able to find how to create a check in the quickbooks subscription that I have. I am using Quickbooks online payroll premium. Would I need to upgrade my subscription in order to create a check in quickbooks or how would I go about this? Or is there another way to get the payment? 

1 Comment 1
Rea_M
Moderator

Garnishment Payment Quickbooks Check

There isn't a need to upgrade your payroll subscription in order to create a garnishment check in QuickBooks Online Payroll (QBOP), @raylynn_e. I'm here to guide you how.

 

Child support is a type of garnishment that you can withhold from your employee's pay in QBOP. QuickBooks calculates the amounts (given that you've already set it up on employees' accounts) on employee paychecks as part of your payroll service. Then, manually make the payment directly to the agency creditors as instructed in the garnishment order or tax levy.

 

The QBOP system does not create the check to pay non-tax liabilities such as Health Insurance premiums, 401(k) contributions, and Child Support. You'll need to create these payments from the Check screen

 

With this, you'll have to manually write a check from the + New button. That way, the payment to the tax levy officer will reflect into the system and you'll be able to reconcile.

 

Before doing so, make sure to create a new account in your Chart of Accounts to track your payroll expenses. To do this, go to the Chart of Accounts page and select the New button. Make sure to choose the appropriate expense account details in the Account and Detail Type fields. Please see the screenshot below for your reference.

 

81.PNG

 

Once you're done, you can pull up a payroll report (i.e., Payroll Deductions and Contributions) to verify the garnishment amount that you need to pay. Then, go to the + New button to create the check. For the step-by-step guide, here's how:

 

  1. Go to the + New button.
  2. Select Check.
  3. From the Payee dropdown, choose the vendor or agency name.
  4. From the Bank Account dropdown, choose the account you use for garnishment payments.
  5. In the Category details section, select the account you use for tracking your payments then enter the amount.
  6. Fill in the rest of the check as you normally would then select Save and close82.PNG

 

For the detailed steps on how to create a liability check, as well as its printing options and setting up recurring transactions, you can refer to this article: Create a payroll liability check.

 

In keeping with this, you can run a variety of payroll reports in QuickBooks to check and monitor your current liabilities and expenses. For the complete list of reports, you can refer to this article: Run payroll reports. It also includes topics about customizing, printing, and marking them as your favorite.

 

Let me know in the comments if you have other concerns about garnishment checks and managing employees and payroll account in QBOP. I'll gladly help. Take care, and I wish you continued success, @raylynn_e.

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