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darlenef
Level 2

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

 
14 Comments 14
amcanally
Level 1

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

Following... I have asked multiple times

I can setup a manual tracking option but I have tried QBO support and it seems they have no idea what we are asking about.

katherinejoyceO
QuickBooks Team

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

Thanks for visiting the Community, @darlenef. At the moment, the CARES Act only allows most employers for tax deferral but not an exemption for taxes as it isn't part of the Families First Coronavirus Response Act (FFCRA). 

 

Our QuickBooks payroll teams are currently working on an update that integrates the CARES act with FFCRA.

 

In the meantime, here are articles that contain and share some information about the CARES Act for your guidance and all updates of the changes going on:

 

Let me know if you need further assistance with anything else. I'm always around to help.

 

 

 

Propellerhead
Level 2

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

The QB team is not listening, not understanding, or ignoring the question. To be clear, here is a link to the IRS' page about deferral of the employer's portion of payroll taxes. For those of us who are QB Online Payroll customers, we need QB's assistance to ensure that a) we defer the payments, b) we file correctly, and c) the deferrals are tracked and then paid on time in 2021 and 2022. I spoke with a rep on the phone who had no idea about how to do this, and all of my searches here on the forum indicate the same. All I see are posts that talk about the FFCRA and/or how confusing these times are. This is not under the FFCRA, and yes these times are confusing. That's why we hired YOU. Now please help us. Thanks.

Propellerhead
Level 2

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

Came back looking to see if there is an answer yet. There isn't. You do realize that we all pay a lot of money to QB and rely upon you to help us, especially in times of critical need, right? You also realize that we have choices other than QB, right?

ZackE
QuickBooks Team

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

Hello, Propellerhead. I understand there's a lot going on right now, you can count on the Community to be here to help.
 

We're working on updates to all Intuit payroll products daily, to keep them up-to-date with all of the changes that have recently taken place. So far, we haven't received any guidance that businesses need to declare deferment, so there's not currently a feature for this built into QuickBooks Online. To defer taxes under the CARES Act, you just don't pay them until you're ready to. The new deadline is July 15, 2020. At least half of the payment will have to be paid by December 31, 2020.
 

I'll be here to help if you have any other questions, so please don't hesitate to reach out.

darlenef
Level 2

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

Wow there's a lot of misinformation in that response ZackE.

Tori B
QuickBooks Team

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

Hey there, @darlenef

 

Thanks for sharing your concerns here. I want to help get to the bottom of this. Could you provide more details on your issue? I want to be sure that we provide you the most accurate information to what you're looking for.

 

Please feel free to reach back out to the Community or me anytime you find you have questions or concerns. I'll be sure to keep an eye out for your response. Take care! 

Propellerhead
Level 2

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

For anyone wondering why I am looking elsewhere for my cloud accounting needs, please look no further than this thread, the several others on these forums, and the unpleasant support phone calls on this topic. At a time of critical need, the QBO staff is either incompetent or has been told to deflect and delay. No matter which it is, I can't and won't support a company ($1,200+ per year for a very small company!) that can't or won't support me, my business, and the hundreds of thousands of their other small business customers.  

suesully06
Level 1

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

Is there an update in order to delay the employer's portion of social security?

Anna S
QuickBooks Team

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

Thanks for joining the thread, @suesully06.

 

Allow me to provide an update on deferring your employee's portion of Social Security taxes.

 

You're responsible for tracking and submitting the deferred payments that accrue from March 27, 2020, through and including December 31, 2020. Fifty percent of the deferred Social Security taxes are due by December 31, 2021, with the remainder due by December 31, 2022. The steps below will show you how to track them for QuickBooks Online Payroll:

 

  1. Go to the gear icon and choose Payroll Settings.
  2. Under the CARES Act section, select the Employer Social Security deferral link.
  3. Check the box beside I want to defer my employer portion of Social Security, and then click OK.

 

You may also want to keep in mind that the deferral of Social Security taxes is not available for taxes that are due to be deposited after you receive debt forgiveness under the Paycheck Protection Program. You can find more information in the articles I've included below:

 

 

I'm only a few clicks away should you have any other questions. Enjoy the rest of your week!

suesully06
Level 1

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

Please tell me where the gear icon is in QuickBooks DESKTOP.

SashaMC
Moderator

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

Thank you for connecting with us once again, suesully06. Here's how you can defer your employee's portion of Social Security taxes in QuickBooks Desktop:

 

  1. Go to the Employees tab, then Manage Payroll Items, then click New Payroll Item.
  2. Choose Custom Setup, then hit Next.
  3. In the Payroll Item Type window, select Other Tax and choose Next.
  4. On the Other tax window, choose CARES Co. Soc. Sec. Deferral, and select Next.
  5. In the Name used in paychecks and payroll report screen, enter CARES Co. Sec. Sec. Deferral in the text field, then tap Next.
  6. In the Agency for company-paid liability window, select the agency you pay taxes to from the dropdown, pick Payroll Liabilities in the Liability account dropdown, and choose Payroll Expenses in the Expense account dropdown, then hit Next.
  7. From the Taxable Compensation screen, select Finish.

 

Once that part is completed, the next step would be to figure out how much you owe and generate a check to pay the tax liabilities. 

 

For more information on how to pay those liabilities, I recommend checking out this article. The resources my colleague shared earlier will also help in this situation.

 

Please let me know if you have other questions or need clarification on any of the steps. I will be around to help. 

 

 

kbsf2
Level 2

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

Sasha,

When I pull down the "Other Tax" menu, the CARES retention credit is listed, but not the CARES Social Security Deferment item.  The SS deferment item is listed in my general payroll item list, but I don't seem to be able to use it.

 

Thanks, brett

Rejeil_O
QuickBooks Team

How is QB online payroll handling the Delayed payment of employer social security payments under the CARES act?

Hi there, @kbsf2.

 

To use the CARES Social Security Deferment item, you'll need to add it to your employee. Go to your employee and edit it, then add it either deduction or addition. So that, the payroll item will show when you run the payroll.

 

You can follow these steps on how:

 

  1. Go to the Employees menu.
  2. Select Manage Payroll items, then New Payroll Item.
  3. Choose the Custom Setup, and hit Next.
  4. Click the Addition option, then Next.
  5. Give your pay type a name, and click Next.
  6. Select CARES Expense as the expense account, then Next.
  7. Choose the CARES you created and hit Next in the Tax Tracking type.
  8.  In the Taxes window, then select Next.
  9. Click the Calculate Based on Quantity in the window, then Next.
  10. In the Default Rate and Limit window, hit Finish.

 

For more detailed information, you can read this article: How to set up and track the Employee Retention Credit under the CARES Act.

 

You may also read this article in case you need help setting up your payroll to track deferrals of the employer share of Social Security tax payments: Track your deferral payments for Social Security tax payments.

 

If you have other concerns, feel free to leave a message in the comment section. I'm always around here in the Community to help. Keep safe, and have a good one.

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