QBO Payroll conversion from QB Desktop created new Payroll Accounts and doesn't calculate the 941 tax liability correctly

Thank you for dropping by the Community today, bamliam1.

I can see how important it is for a business to have accurate calculations on payroll taxes. This ensures your taxes and forms are in order.

 Let me provide some information why your 941 taxes computation showed a lower amount. QuickBooks calculates your federal withholding based on the factors below.

• Taxable wages
• Number of allowances/dependents
• Pay frequency
• Filing status

To rectify the issue, review each of your worker’s profiles and make sure that the information recorded is correct. I’m here to ensure the process is a breeze for you.

Here’s how:

1. Open your company and head to the Payroll menu on the left panel to select Employees.
2. This will open a screen that shows all employees added in QuickBooks Online (QBO).
3. From the list, click each of your workers’ names to see more details.
4. In the Pay section, review the employee details.
5. If it’s incorrect, click the Pencil icon and then update the data.

For more details, you can read through this article: Edit or change employee info in payroll. It includes instructions on how to do the process in each payroll version.

Also, the amount shown in the Upcoming payment section is pulled from the paychecks created. Since the payroll reports displayed the correct amount, I suggest contacting our Payroll Support Team.

One of your specialists will review your payroll setup in a secure space. Then assist in applying the permanent fix, including the reminder for your garnishments and retirement accounts.

To get acclimated to the payroll processes in the online version, I’m adding a link where you can access our self-help articles: QBO guide. You’ll see topics about taxes, reports, account management, and other payroll-related activities.

Stay in touch if you have any clarifications about your taxes calculation. I’ll get back to answer them for you. Have a great rest of your day.

Thank you - I figured it out on my own.  The prior tax history payments didn't transfer from Desktop to QBO correctly.  The pay period dates were overwritten to match the pay date of the Liability.  I've gone in and corrected all payments and now I'm showing the correct liability.

There really should be a better support system for transferring from Desktop to QBO.  Even if it's only a checklist to help out new users of QBO.