How to implement CalSavers with QB

Thank you for posting your concern here in the Community, @Jbambury. I'll be happy to help you with your query about implementing CalSavers with QuickBooks Online.

To accomplish this, we can follow the steps to add a retirement plan mandated by your states in QuickBooks Online. I'd be glad to walk you through how:

Here's how:
 

1. Go Payroll menu and select Employee.
2. From the Employees tab, enter the employee name.
3. In the Pay section, select the pencil icon. Then, scroll down on the deductions section.
4. Click +Add deductions.
5. Select Retirement Plans under Deduction/Contribution type.
6. Add a Description and use the exact name of the item that appears on the state-mandated report.
7. Choose the type of Retirement plan.
8. Enter the name of the provider and the amounts per pay period.
9. Then select Save and Done when ready.
   
   

If you have clarification about the process, you can always refer to this article for more detailed steps: Set up state-mandated retirement plans in QuickBooks Payroll.

Additionally, if you'll want to run payroll reports and set up payment schedules for employees in QuickBooks Online, you can check these articles for additional guides:
 

• Learn how to set up and assign pay schedules to pay your employees.
• List of payroll reports
  
  

I'll be here if you have any other concerns or additional information about retirement plan deductions or contributions. Stay safe and have a good one!

We have QB Desktop and I just found out that it doesn't work with Calsavers. I need to get a payroll correction but was told that QB can't do it they are to backed up with corrections from 2023. Calsavers is a law in California and now we can't comply unless you know a way that we can still move forward. Thanks for any help 

We are not QB online we are desktop

Hello Rae201,

Thanks for chiming in! I recommend connecting with Support to know the following steps to the procedure since they are backed up. Here's how to connect with us:

1. Log into your QuickBooks account.
2. Click the Help option in the upper-right corner.
3. Enter the necessary information and click Continue.
4. Choose a way to connect.

If you should have any questions, I'm just a click away. Take care.

Did you all find a solution for bringing QBPayroll in line with CalSavers? I'd rather see the answer then be told to reach out to some random support person who may have never heard of this. Would really appreciate the solution please.

Hello and welcome to the QuickBooks Community, San Diego Tours! I’m thrilled to see you making your first post. I recognize the importance of aligning QuickBooks Online Payroll (QBOP) with CalSavers for your business. Let’s work together to set this up, so you can start tracking effectively and ensure accurate reporting to the state.

CalSavers is a straightforward Roth IRA retirement plan designed to benefit your employees. If they choose not to opt-out, a certain percentage will be deducted from their paychecks, and you'll need to send the payroll details to the agency after each pay period.

It's also important to note that state Savers plans differ from traditional plans as defined by the IRS. These contributions are made after taxes, which means they won’t be reported on your employees’ W-2 forms, and they adhere to the same deferral limits as standard retirement plans.

To set up and track CalSavers in QBOP, please follow these steps:

1. Go to Payroll, then select Employees.
2. Choose your employee.
3. From Deductions & contributions, hit Start or Edit.
4. Pick + Add deduction/contribution.
5. Elect + Add deduction/contribution in the Deduction/contribution field.
6. From the Deduction or contribution type, opt for Other deductions and Other after tax deductions in the Type section. 
7. Add a Description (use CALSAV (for California) so the item appears on the state-mandated report).
8. Choose how you want to deduct the amount: Flat amount or percentage of gross. After that, enter the amount or percentage.
9. You can also add an Annual maximum (Optional).
10. When finished, click Save and also Done. 

You can find more insight about the process above in this article: Set up state retirement plans in QuickBooks Payroll.

Moreover, you can create a summary report if you wish to view your employees' totals and other payroll-related data. To guide you through the process, check out this article: Create a payroll summary report in QuickBooks.

Additionally, if you're looking to enhance your payroll processing, I highly encourage you to check out QuickBooks Payroll. Its powerful time-tracking features and the convenience of faster direct deposits could really make a difference in how your business runs. I believe you'll find these enhancements to be game-changers!

I am dedicated to offering tailored solutions to your unique payroll needs as you manage state retirement plans in QuickBooks. Your concerns truly matter to us, San Diego Tours, so don’t hesitate to reach out whenever you need assistance. Wishing you a fantastic day ahead!

Thank you. That is great and I followed and read the link you submitted.
To my eyes this solution only tracks what should be paid to CalSavers, it does not actually pay out. Or am I reading it wrong?

How do I set it up so that Quickbooks sends each employees percentage to CalSavers each payroll? I need a payroll system that not only tracks the amount each employee contributes but also executes and actually sends that money to CalSaver. How do we do that part?

Thank you for your help it is very appreciated.

You're not reading it wrong, Haunted San Diego Ghost Tours. While QuickBooks Online provides an option to track and calculate the deduction for CalSavers, the feature to send the actual payment to the agency is unavailable.

Let me offer additional details on how you can process payments for retirement and other similar payroll items.

Please note that the feature to electronically pay liabilities is only available for federal and state taxes. This includes withholding, Social Security, Medicare, and unemployment taxes. Here's an article that provides more information about this feature: Pay and file payroll taxes and forms electronically in QuickBooks Online Payroll.

For other types of deductions and retirement items, you can create a check to pay them to the vendor or state agency.

First, run a report to get the amount that you need to pay. Let me show you how:

1. Go to the Reports menu.
2. Scroll down to the Payroll section, then select State Mandated Retirement.

After that, create a check to pay the retirement. Here's how:

1. Click the + New button and select Check.
2. Choose the state agency in the drop-down list for Payee.
3. Select the bank account you'll be using for the payment in the Bank Account field.
4. Enter the Payment date and Check no.
5. Proceed to the CATEGORY section, then select the account you're using to track your liability payments.
6. Enter the amount and fill in the rest of the check as you normally would.
7. Click Save.

Here's an article about this process for more details: Pay your non-tax liabilities in QuickBooks.

Let me also share these articles for additional resources when working with your payroll tax payments:

• Pay and file your local taxes in QuickBooks Online Payroll
• Understand the taxes and forms that QuickBooks payroll submits for you

You can always reach out or ask more questions if you require further assistance with employee deductions, sending out payments, or any payroll-related functions in QuickBooks Online. We're always here to make sure everything is taken care of.