Year End Payroll Cutoff

Hello there, @roberca1. I'll gladly share some details to address your year-end payroll cutoff concern.

The posting of the tax will be base on the check date. If the check date is on January 1, 2023, then, it will be posted on the 2023 W-2, and if the check date is December 30, 2022, it will be posted on your 2022 W2.

You can refer to the following articles for more details about managing your W-2s in QuickBooks Online Payroll and how to make sure your employees get paid on time when there’s a holiday:

• Understand the timing for your W-2s
• How do federal holidays affect my direct deposit?

Moreover, if you want guidance on how to wrap up this year’s payroll and prepare for the next with QuickBooks Online Payroll, please see this article: Year-end checklist for QuickBooks Online Payroll.

Feel free to respond if you need further assistance or clarification. I'll be glad to help you as soon as possible. Have a good one! 

It is direct deposit through QB so there isn't a check date.  As I stated, the payroll date in QB is listed as 1/1/23. QB is processing the transaction on 12/30/22 because of the holiday.  The payroll date is 1/1/23 and I will be upset if this is counted in 2022.

RE: The January payroll is getting processed on 12/30 because of the holiday.

Not sure exactly what you mean by "getting process on..."?  You can process your payroll anytime you want; it's the payroll date/paycheck date that matters for payroll reporting.

1/1/23 is Sunday, and 1/2/23 is a bank holiday, and so (depending on what your employee handbook says about weekends and bank holidays), in many cases the appropriate thing to do is to date a payroll that would be on the first of the month on the first banking day that follows - 1/3/23 in this case.

QB had set the date of my direct deposit to be processed as 12/30 for my 1/1 payroll.  I didn't think I could change the date because I had done some online searching about not being able to change your QB paydates.  But, good news, I was able to modify it to 1/3 to avoid any headaches!