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info686
Level 1

Payroll and tax payments were deducted from business savings account in QB, but they were all deducted from checking account actually. How to correct it in QB?

 
Solved
Best answer January 03, 2020

Best Answers
Kayla H
QuickBooks Team

Payroll and tax payments were deducted from business savings account in QB, but they were all deducted from checking account actually. How to correct it in QB?

Hi there, @info686.

 

Great to see you back in the Community. I can assist with mapping payroll payments to the correct account in QuickBooks Online. 

 

To prevent payroll and tax payments from coming out of the incorrect account, follow the steps I have provided below:

 

  1. Go to Gear, then Payroll Settings.
  2. Click Preferences under the Accounting section.
  3. Change the bank account using the drop-down.
  4. Click Save Changes.

As for the payment that has already come out of the checking account, you can correct this with a journal entry. I'd suggest contacting your accountant to ensure accuracy for the existing transactions.

 

Please reach out if there's anything else I can do to help, I'm determined to be your number one resource for QuickBooks.

 

 

 

 

 

 

View solution in original post

3 Comments 3
Kayla H
QuickBooks Team

Payroll and tax payments were deducted from business savings account in QB, but they were all deducted from checking account actually. How to correct it in QB?

Hi there, @info686.

 

Great to see you back in the Community. I can assist with mapping payroll payments to the correct account in QuickBooks Online. 

 

To prevent payroll and tax payments from coming out of the incorrect account, follow the steps I have provided below:

 

  1. Go to Gear, then Payroll Settings.
  2. Click Preferences under the Accounting section.
  3. Change the bank account using the drop-down.
  4. Click Save Changes.

As for the payment that has already come out of the checking account, you can correct this with a journal entry. I'd suggest contacting your accountant to ensure accuracy for the existing transactions.

 

Please reach out if there's anything else I can do to help, I'm determined to be your number one resource for QuickBooks.

 

 

 

 

 

 

View solution in original post

nancivnpac
Level 1

Payroll and tax payments were deducted from business savings account in QB, but they were all deducted from checking account actually. How to correct it in QB?

Thank you so much, how do I go about making a journal entry?

 

Rasa-LilaM
QuickBooks Team

Payroll and tax payments were deducted from business savings account in QB, but they were all deducted from checking account actually. How to correct it in QB?

Thanks for following this thread, @nancivnpac.


If your concern is similar to the issue above, yes, you can create a journal entry to correct your payroll record. Be sure to update the Accounting Preferences so payroll and tax payments are deducted to the right bank.

 

Before adding the entry, I suggest consulting an account for guidance on the specific posting account. This is to ensure the accuracy of your books. To help find one, visit this link and then enter your city or zip code in the field box: ProAdvisor.


Once you have the complete details, set up the accounts in QBO and we’ll have to do it one at a time. Here’s how:

 

  1. Go to the Accounting menu on the left panel and pick Chart of Accounts.
  2. Hit the New button in the upper right to open the Account window.
  3. From there, click the Account Type drop-down to choose the appropriate account and select the correct category in the Detail Type drop-down.
  4. Enter a term that will identify it in the Name field.
  5. Fill in the remaining fields.
  6. Click Save and Close.chart of acc.1.png

Now that everything is already setup, you can start creating the journal entry. With just a few clicks, you can perform this task.

 

  1. Click New on the left panel to select Journal Entry.
  2. Type the newly created accounts in the Debits and Credits columns.
  3. Fill in the remaining field boxes.
  4. Once done, click Save and close.

I’m also adding an article that provides an overview of how to enter the debits and credits for wages and taxes, as well as a sample paycheck: Manually enter payroll paychecks in QuickBooks Online.


Leave me a comment below if you have any clarifications or questions about QuickBooks. I’ll be glad to lend a helping hand. Enjoy the rest of the day.

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