How I can create a chart of accounts of Employee cash advance, I need to know Category and type. and once we post journal how we get each employee name.
Good day m.shafeeq,
I'm here to help you set up the Cash Advance.
If you're referring to setting up Payroll Cash Advance, we only need to create a payroll deduction to pay back the advance. Let me walk you through the process:
Please take note that the payroll feature is not supported in the QuickBooks Online International version. I'd suggest consulting an accountant for the best practice on how to record the payroll cash advance. Here's an article that will walk you through with entering manual payroll in QBO: https://community.intuit.com/articles/1145322.
If you'd like to set up employees to show on your Journal Entry, please follow the steps in this article: https://community.intuit.com/articles/1614743.
Don't hesitate to post your questions, if you have any, in the Comments section below. I'll do my best to help you out.
I can help you record an employee cash advance, rkumar1.
First, you'll have to create a reimbursement item. Here's how:
As for the cash deduction, you can follow my colleague @SophiaAnnL's steps.
When you create a paycheck, you can record the advance/deduction.
Feel free to visit us anytime if you have other payroll concerns. Have a good one!
Would you please guide me a manual procedure (Without Payroll) to record employee advance payment with their name? and how to generate individual employee report with names.
Hello dear, WellNetworks.
We can make journal entries when recording for employee's advance payment. I'll help you get where's the journal entry located in your book. Click the +New button and select Journal Entry under Other.
Select an account in the Account column and enter the amount from both Debit and Credit columns.
For further assistance, it would be best to reach out to your accountant to completely set this up. They'll be the one who can help you record the advance payment and the other accounting side. The report is only available when using payroll.
If you have other questions, get back to me so I can help you figure them out! Take care!
Is Reimbursement the only way to create a cash advance payment/payroll loan to an employee? Reimbursement isn't really the right term for this. I use reimbursement to pay back employees for gas or misc items they may have paid for out of pocket.
An employee needs a payroll loan and I need to know how to make the payment to him.
I'm here to assist you with payroll pay types, carolannb.
Cash advance and payroll loan payment is different from reimbursement. The first two are deductions which will decrease your employees pay.
Reimbursement is the right way to repay or compensating your employees for any business-related expenses that they has paid. In addition, this pay type is nontaxable. That means, this won't reflect on either 941, 940, or W-2.
I'm always here to help if you need more guidance. Wishing you all the best!
You have not answered my question.
I understand that I need to set up a repayment from the employee for the cash advance but I need to know the first step which is How to Pay a Cash Advance/Payroll Loan amount to the employee in the first place.
The instructions I am finding only give the second half of the equation and I need how to begin.
An employee needs a cash advance today and it does not appear to me that there is a way to pay this to him other than through Reimbursements in the payroll. It there another way to generate the payment to him?
Does using the Reimbursements for the Cash Advance/Payroll Loan affect the monthly reports?
There should be an option for Payroll Loan directly in the payroll module as there are in other programs I have used. It is not actually a reimbursement. Rather frustrating.
We don't want you to feel this inconvenience, @carolannb.
As my colleague, @AlexV's response, payroll loan is different from reimbursement. You can create a new deduction pay type to generate the payroll loan payment from your employee.
In addition, any paycheck details you created will always reflect on your monthly reports.
You can always visit our Employees and Payroll Taxes articles in case you need some reference in handling your future payroll transactions.
Let me know in the comments if you have any other questions. We are always around ready to lend a hand.
I have a similar issue to the original poster.
I know how to set it up to have a payroll deduction to have my employee repay an advance.
How to I pay my employee an advance through payroll's direct deposit? There is no non-taxable pay-type besides reimbursement, which is used for something else.
Hi RaynesV. Thanks for responding, now let me get you back on track. Currently, in QuickBooks Online there are limited pay types available. However, paying an employee an advance is quite possible.
To do this in QuickBooks Online, all you need to do is add a new reimbursement type. Depending on which payroll product you use, the steps may be a bit different. But here's a quick guide on how to do so:
If your options look slightly different, refer to our article on Creating a reimbursement pay type in Online Payroll for a step by step guide.
If you're anything like me, you'll want to read more on pay types as well. So here's an article on Supported pay types and deductions. The article provides some further insight into any limitations you may run into while paying employees with Intuit Payroll Products.
I hope you have a great rest of your day, and if you need anything else I'm always here to help.
Wow! You guys REALLY aren't getting the original poster's issue! It is pretty simple, but you guys keep jumping back to how to get your money BACK from the employee - not the proper way to GIVE it to the employee.