Health insurance and company contribution

kmjphd · ‎July 21, 2022

I am setting up employee health insurance for the first time. I understand where to put in the withholding amounts, etc.

What I want clarity on is the company contribution piece. So, say my employee's total health insurance premium is $100 per month. My company will contribute $20 per month toward that cost. When I put in $100 for the amount for employee deduction and then $20 under company contribution, it appears that the full $100 is deducted from the paycheck, not $80, from what I can see on the paystub. I thought QB would calculate this for me and adjust the deduction from the paycheck.

I just wanted to double check that I should put $80 in employee contribution and $20 in company contribution for the total premium of $100. I don't want to mess this up.

Thanks!

Candice C · ‎July 21, 2022

Hey there, @kmjphd.

It's great to see you back in the Community. I'd be more than happy to point you in the right direction to set up your employee's health insurance.

If $80 is the actual amount that the EE should be paying out of their check, then yes. Then, the $20 contribution would be added.

However, I suggest consulting with an accountant to be sure. They'll be able to give you the best advice for your business.

Feel free to come back if you have any other questions or concerns. Take care!

kmjphd · ‎July 21, 2022

Thank you!

ChristineJoieR · ‎July 21, 2022

Good day, @kmjphd.

It's great to see that my colleague's response above helped you find a solution concerning your employee's health insurance. We always make sure that all of your concerns are being addressed appropriately.

Please remember that you are always welcome to visit the Community at any time. We are more than happy to assist you.

Topics

Training

Community

Resources

Health insurance and company contribution