cancel
Showing results for 
Search instead for 
Did you mean: 
userlzb65
Level 1

I need to add $100 of taxable income to a payroll check without actually paying the employee?

 
Solved
Best answer December 15, 2020

Best Answers
Rea_M
QuickBooks Team

I need to add $100 of taxable income to a payroll check without actually paying the employee?

You can add $100 of taxable income without actually paying the employee by creating a zero net paycheck in QuickBooks Online (QBO) Payroll, @userlzb65.

 

There are three reasons you'll want to create a zero net paycheck in QBO Payroll.

  • Put an entire paycheck into a retirement plan.
  • Designate an entire paycheck for income tax.   
  • Record a gift made to an employee. Such as cash or a gift card.

 

When you add the entire $100 paycheck for taxable income, you'll have to first need to add an Other Earning pay type to the employee's profile, then use the net to gross formula to determine the gross pay amount. Before that, I'd recommend checking out this article for the descriptions of the supported pay types and deductions in QBO Payroll and how they impact federal taxes and forms: Supported pay types and deductions explained.

 

Once everything is all set, you can follow these steps:

  1. Go to the Payroll menu, then select the Employees tab.  
  2. Click the Run payroll button.
  3. Choose the employee and pay schedule.
  4. In the Other earning box, enter the amount determined by using the net to gross formula.
  5. Select the Preview payroll button.
  6. Click the Edit (Pencil) icon beside the Net pay amount.
  7. Zero out all unwanted deductions
  8. Edit the Federal Income tax or State Income tax amount, then click OK.
  9. Select Preview Payroll, then select Submit payroll.

 

After that, I'd recommend pulling up the Payroll Summary by Employee report. This will give you comprehensive details about your employee's wages, deductions, and tax info. Just go to the Payroll section from the Reports menu's Standard tab.

 

Additionally, you also need to confirm that each employee's compensation, benefits, and withholdings are correct at year-end. This is to make sure you'll be submitting the right amount of payroll taxes to the agency. You can learn more about this through this article: Year-end report Employee wages and benefits (QuickBooks Online Payroll section). It also includes the complete list of supported benefits in the program.

 

Leave a comment below if you have follow-up concerns regarding employees' payroll checks or other inquiries. I'll be around to help. Take care always. 

View solution in original post

3 Comments
Rea_M
QuickBooks Team

I need to add $100 of taxable income to a payroll check without actually paying the employee?

You can add $100 of taxable income without actually paying the employee by creating a zero net paycheck in QuickBooks Online (QBO) Payroll, @userlzb65.

 

There are three reasons you'll want to create a zero net paycheck in QBO Payroll.

  • Put an entire paycheck into a retirement plan.
  • Designate an entire paycheck for income tax.   
  • Record a gift made to an employee. Such as cash or a gift card.

 

When you add the entire $100 paycheck for taxable income, you'll have to first need to add an Other Earning pay type to the employee's profile, then use the net to gross formula to determine the gross pay amount. Before that, I'd recommend checking out this article for the descriptions of the supported pay types and deductions in QBO Payroll and how they impact federal taxes and forms: Supported pay types and deductions explained.

 

Once everything is all set, you can follow these steps:

  1. Go to the Payroll menu, then select the Employees tab.  
  2. Click the Run payroll button.
  3. Choose the employee and pay schedule.
  4. In the Other earning box, enter the amount determined by using the net to gross formula.
  5. Select the Preview payroll button.
  6. Click the Edit (Pencil) icon beside the Net pay amount.
  7. Zero out all unwanted deductions
  8. Edit the Federal Income tax or State Income tax amount, then click OK.
  9. Select Preview Payroll, then select Submit payroll.

 

After that, I'd recommend pulling up the Payroll Summary by Employee report. This will give you comprehensive details about your employee's wages, deductions, and tax info. Just go to the Payroll section from the Reports menu's Standard tab.

 

Additionally, you also need to confirm that each employee's compensation, benefits, and withholdings are correct at year-end. This is to make sure you'll be submitting the right amount of payroll taxes to the agency. You can learn more about this through this article: Year-end report Employee wages and benefits (QuickBooks Online Payroll section). It also includes the complete list of supported benefits in the program.

 

Leave a comment below if you have follow-up concerns regarding employees' payroll checks or other inquiries. I'll be around to help. Take care always. 

View solution in original post

userlzb65
Level 1

I need to add $100 of taxable income to a payroll check without actually paying the employee?

Thank you!

Tori B
QuickBooks Team

I need to add $100 of taxable income to a payroll check without actually paying the employee?

Hey there, @userlzb65

 

You're most welcome. Please know that you can reach out to the Community any time you need a helping hand. We're always around any time you need guidance. 

 

Take care and have a fantastic day ahead! 

Need to get in touch?

Contact us
Sign in for the best experience
Ask questions, get answers, and join our large community of QuickBooks users.
Sign In / Sign Up