Payroll Liability Adjustment

Help has arrived, @LTDB.

Yes, you can clear out the amount from your payroll liabilities by adjusting. I'd be happy to walk you through how to accomplish this.

There's no need for you to create a liability check to clear out the amount since it has been deducted from the payroll. All you have to do is to adjust the payroll liability.

Here's how:

1. Go to the Help menu and select About Intuit QuickBooks.
2.  Press CTRL+Shift+Y.
3.  On the Set Up YTD Amounts window, click Next until you reach the Enter prior payments.
4.  Click the Create Payment tab.
5. On the Prior Payments of Taxes and Liabilities, make sure to select the correct check date and payroll item.
6. Select test the Accounts Affected... button, then select the appropriate option on how you want the payment to affect your Chart of Accounts.
7. Once done, click OK.

For more details about making liability adjustments in the system, please see this link: Learn how to use a liability adjustment to correct employees’ year-to-date (YTD) or quarter-to-date ...

Let me know if you have any other concerns about this or with QuickBooks. I'm always here to help. Have a great day!