How do I set up for Union fringe benefits?

It's nice to have you back here in the QuickBooks Community, Leela52!

Below is a list of fringe benefits we support in QuickBooks Online Payroll. Is your Union fringe benefit any different than those on the list? You can click each of them to see how they are reported in the tax forms so you can have a comparison.

• S-corp medical
• Group Term Life Insurance (GTLI)
• Clergy housing
• Personal Use of Company Car (PUCC)
• Health Savings Account (HSA)
• Allowance

I'm just around to continue helping you with the setup.

I tried setting up the fringe benefits by:

1. Setting up accounts under Payroll Liabilities for Fringe Benefits, and then sub-accounts to Fringe Benefits for the various deductions.

2. I also  set up accounts in COGS (Fringe Benefits & sub accounts for the various deductions) to pay the fringe benefits.

This looks like I have a duplication?  If I want COGS for the expense, is Payroll Liabilities a duplication?

3. In the employee profile, in the Deductions & Contributions section, there was no fringe benefit showing.  I want the fringe benefits to show up on the paycheck.  How do I do this?

Hi there, @Leela52.

I'm here to share insights about setting up fringe benefits in QuickBooks Online (QBO) Payroll. Before anything else, have you visited the links that my colleague has provided above? Those are the supported fringe benefits in QBO and their respective way of setting it up. 

It seems like you have manually added an account in your Chart of Accounts which is an incorrect way of setting your fringe benefits. Moreover, the Cost of Goods Sold (COGS) is intended for inventory, which means that COGS doesn't affect your Payroll Liabilities, and is not a duplicate account. 

Furthermore, you still have to manually set up the account to be able to see the fringe benefit in the Deduction & Contribution section in your employees' profiles.

To properly set it up, I'll be adding the links below that my colleague has provided above. You can kindly choose and click the article that best fits your fringe benefits:
 

• S-Corp medical
• Group Term Life Insurance (GTLI)
• Clergy housing
• Personal Use of Company Car (PUCC)
• Health Savings Account (HSA)
• Allowance

Additionally, I'll also share this link where you can search for articles that can guide you in managing your payroll: QuickBooks Online Payroll Help Articles.

Feel free to leave a reply if you need further assistance with setting up your fringe benefits in your QBO. The Community team always has your back. Have a good one.

What if our Union fringe benefits do not fit the categories set up in QB online?  Like our company pays into the Journeyman and Drug funds on a per hour basis for each employee.  How would I set this up?

Thanks for joining this thread and sharing your scenario, acp2021.

You're correct that the preset fringe benefit you mentioned isn't currently available in QuickBooks Online (QBO) Payroll. That said, I recommend seeking assistance from an accounting expert or another competent financial practitioner to ensure everything is accurate.

They can provide the best advice on properly setting up these fringe benefits in QBO. If you're not affiliated with one, you can use our Find an Accountant tool to look for a Pro-Advisor near your area.

Additionally, you can check out this article to pull up various payroll reports that will give you a closer look at your employee's total wages, deductions, and tax information in a certain period: Run payroll reports.

Please know that you can always get back to this thread if you have other payroll questions or concerns in QBO. I'll be around to provide the information you need. Keep safe!

Has there been any update on how to add fringe benefits for union employees?  They are fringe benefits that are paid directly to the union and never touch the employee's check nor are they taxable to the employee. With QB desktop phasing out payroll for desktop, online seems our future..

Hi there, Amy.

I'm here to guide you to get the best help setting up fringe benefits for union employees in QuickBooks Online. There are currently six preset fringe benefits to choose from your QuickBooks Online account:

• S-corp medical
• Group Term Life Insurance (GTLI)
• Clergy housing
• Personal Use of Company Car (PUCC)
• Health Savings Account (HSA)
• Allowance

While we only support those presets, I recommend consulting your accountant to get help choosing the proper preset from our supported list and to ensure everything is recorded accurately.

You can also consider learning how to pay an employee bonus in QuikBooks Online Payroll.

Please don't hesitate to comment below if you have further concerns about setting up fringe benefits in QuickBooks Online. I'm always available to assist you.

Has there been any resolution on this?

This issue is the only reason I went with the Desktop version of QB.

In Desktop you can set up company contributions i.e. union fringe benefits on a per hour basis, in QB online you can only set it up as a percentage.

These union contributions are based on hours worked it's impossible to set it up as a percentage.

Seems like an easy fix but Intuit hasn't been able to resolve this.

I attached a screen shot of the option that is missing on the Online QB Payroll

I appreciate you joining the thread, @Amech175. I'll share some information about setting up a company contribution in QuickBooks Online (QBO).

Please know that you can calculate a contribution on a per-hour basis in QBO. All you have to do is select how the contribution is calculated, then enter the amount or percent per paycheck. Let me show you how:
 

1. Go to Payroll, then Employees.
2. Choose your employee.
3. From Deductions & contributions, select Start or Edit.
4. Tap + Add Deduction/contribution.
5. Select the following:
   • Deduction/contribution type: Select the contribution type.
   • Type: Select the specific contribution item.
   • Description: enter the name of the contribution or plan provider.
6. In the Company contribution section, select how the contribution is calculated. Then enter the amount or percent per paycheck.
   
   
    
7. If you want to specify an annual maximum amount for company contributions, enter the amount in the Annual Max field.
8. Click Save once done.

Check out this article which details the process: Set up and manage company contributions.

Moreover, QuickBooks offers a variety of payroll reports that you can generate if you need to view a company contribution record.

Let me know if you have more questions about setting up a company contribution in QBO. Leave your reply below and I'll provide the necessary information.