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AT014
Level 2

Hello, How to record my third party payroll on Quickbooks online? And how to match employees check once they have deposited and it has cleared from my bank account?

I need to properly record the employees and employers withholding and record payroll taxes/liabilities.
1 Comment 1
JaeAnnC
QuickBooks Team

Hello, How to record my third party payroll on Quickbooks online? And how to match employees check once they have deposited and it has cleared from my bank account?

Thanks for reaching out to us, @AT014. I'll be happy to help you record your third-party payroll transactions in QuickBooks Online (QBO) and match them in your bank feeds.

 

Some payroll services allow you to import paychecks directly into QBO. However, if your service is unable to do so, you can manually track them as journal entries. 

 

If you haven't yet, create the necessary expense and liability accounts in your Chart of Accounts to track your payroll liabilities and expenses. Once done, enter a journal entry. 

 

Here's how:

 

  1. Get your employees' pay stubs or payroll reports from your payroll service.
  2. Go to + New and select Journal Entry.
  3. Under the Journal date, enter the paycheck date.
  4. Enter the paycheck number in the Journal no. field to track it in QBO.
  5. Click Save and Close.

 

For the step-by-step instructions, please refer to this article: Manually enter payroll paychecks in QuickBooks Online.

 

When the payroll transactions have cleared the bank, you can match them to avoid duplicates.

 

Moreover, I recommend running financial reports in QBO to gain insights into your business expenses.

 

Keep in touch if you have further questions about recording payroll transactions in QBO. We'll be more than glad to offer help. Have a great day ahead.

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