How to record EMPLOYER 401K Contribution in QuickBooks Online Essential

Hello there, @thanhphuongy. 

Thank you for reaching out to the Community. I'll make sure that you can record an employer's 401k in QuickBooks Online. 

Here's how:

1. From the left menu select the Gear icon and select Payroll Settings.
2. Under Payroll, select Deductions / Contributions.
3. Select Add a New Deduction/Contribution.
4. For Category, select Retirement Plans.
5. For Type, select the applicable retirement plan.
6. Enter the name of the provider or plan.
7. Select Ok.

You can also check this article for more details about 401k:  Set up a payroll item for retirement benefits (401(K), Simple IRA, etc.) 

I'm adding this article to learn more about adding a payroll deduction or contribution in QBO: Add or edit a deduction or contribution.

Please know that I'm just a reply away if you need any further assistance processing payroll. Have a good one.

Thank you for your response. I previously mentioned that we don't use QuickBooks Online Payroll; your solutions and resources seem to be related to the QB Online Payroll product, so it doesn't solve our problem. What is the accurate technical way to record the employer 401K contribution in QuickBooks Online Essential?

There is no Gear Icon on left menu in QBO Essential interface by the way. 

Hello, thanhphuongy. 

Thanks for choosing QuickBooks as your business tool.  I'll make sure that you can record an employer 401k. 

Most likely the 401K Contribution is only visible to the employer side when setting up a company contribution.  

To learn more about 401k contribution, you can check out this link for additional guidance: 401(k) Plan Overview. Also, to be guided in tracking your company contribution, you can run your payroll reports for reference. 

Also, the Gear icon is in the upper right corner. However, If you are unable to view the Gear icon, let's rule this out by using an incognito or private browser: 

Here's how: 

• For Google Chrome browser: Ctrl + Shift + N
• For Mozilla Firefox browser: Ctrl + Shift + P
• For Safari browser: Command + Option + P

If it works, go back to your regular browser and clear the cache to delete those temporarily stored files and browsing history. The overtime collection of data can create corruption, however, removing this should fix the issue. You can also use other supported, up-to-date browsers to roll out the possibility of a browser-related issue.  

For your reference, please see this article: Retirement plan deductions/contributions. 

Let me know if you have additional questions with managing 401k. I'm one post away. Have a good one and stay safe!

Thank you for your response as well. However, i still don't understand the responses and guidance from the QuickBooks team. All of your resource materials referenced QuickBooks Online Payroll - and I specifically stated that we don't use QuickBooks Online Payroll. I just asked for guidance to record it accurately in QuickBooks Online Essential. The company owner already made contribution outside of QuickBooks to the 401k provider, and I have accountant access for this company's books. 

Hello again, thanhphuongy. 

Thank you for clarifying things out. You can record the 401 k paid outside QuickBooks through Journal Entry.  

Here's how to enter Journal Entry:

First, you need to create an account in the chart of accounts. By following steps to create a new account.

After creating an account and paying your employees outside QuickBooks, create a journal entry.

1. Click +New.
2. Choose Journal entry.
3. Under the Journal date, enter the paycheck date.
4. If you want to track the paycheck number, enter it in the Journal no. field. 
5. Tap Save and Close.

For future reference, read through this article to learn more about common custom reports in QuickBooks Online. To view and track your journal entries. 

This should answer your concern. Please let me know how it goes by leaving a comment. I'd be glad to answer if you have any additional questions. Take care and have a great weekdays.

Thank you for your response. Can you please clarify what exactly is the account that you suggest me creating? And what is exactly the journal entry you suggest me making?