Hi there, @lenw1.
I've got the information you're looking for about issuing a check to the employee for moving-related expenses.
To clarify, are you trying to reimburse your employee? Reimbursements are non-taxable payments and don’t appear on any payroll tax forms. For guidelines, check the Employee business expense reimbursements section of IRS Publication 15, Circular E — Employer's Tax Guide.
To track the payment for out-of-pocket expenses, we'll have to create a Reimbursement item type. Follow the steps below:
- Go to Payroll, then Employees.
- Select your employee.
- From Pay types, click Start or Edit.
- Scroll to the Additional pay types section and choose Reimbursement.
- If there's an existing reimbursement pay type, you can add a new one in the Common pay types section dropdown. Just select + Another Reimbursement type to add new.
- You can add the default amount or leave it blank, and just enter the amount as you run payroll.
- You can also rename this pay type. To rename, select Edit ✎ next to Reimbursement.
- When you’re finished, select Save.
Then, you'll want to update your accounting preferences to make sure the reimbursement amounts post to the correct account in your chart of accounts. Once done, create a paycheck and enter an amount in the Reimbursement field.
If you need to pay taxable fringe benefits, you may refer to this article for more information: Add Fringe Benefits to Paychecks.
Don't hesitate to click the Reply button below if you have further questions about tracking payroll expenses. I'm more than happy to help you, lenw1. Have a great day and keep safe!
