Employee reimbursements to 501(c)(3) Company

TaumFAdmin · ‎May 28, 2024

An employee made a mistake that caused a vendor to bill us. We paid the vendor as billed. Now the employee wants to reimburse us for the 'erroneous' charges in two installments. How do I record this so that our income statement (and ultimately the FI&E) reflects only the net expense, i.e. what we actually paid less the reimbursements? This kind of thing is extremely rare (once in at least 10 years); it would be nice not to have to create new accounts, write checks on them, etc.

We are on QB Premier Non-profit 2019 R17P (Desktop) for now, but expecting to upgrade before 2025.

Thanks much

JamesAndrewM · ‎May 28, 2024

Thank you for providing me with these details. I see you want to record Employee reimbursements to 501 c in QuickBooks Desktop. Let me shed guidelines on how you can do this.

You can create Journal Entry and Checks to record these employee reimbursements. Make sure also to record the amounts to the appropriate accounts. To accomplish this, I suggest seeking advice from your accountant, as they are the most qualified individuals to assist you in this matter.

To get guided on how to record checks and journal entries in QuickBooks Desktop, you can utilize the following articles:

If you have further questions about your employee reimbursements, please post them in the Community. We are always ready and willing to assist you with your inquiries. Have a wonderful day ahead of you!

View solution in original post

JamesAndrewM · ‎May 28, 2024

Thank you for providing me with these details. I see you want to record Employee reimbursements to 501 c in QuickBooks Desktop. Let me shed guidelines on how you can do this.

You can create Journal Entry and Checks to record these employee reimbursements. Make sure also to record the amounts to the appropriate accounts. To accomplish this, I suggest seeking advice from your accountant, as they are the most qualified individuals to assist you in this matter.

To get guided on how to record checks and journal entries in QuickBooks Desktop, you can utilize the following articles:

If you have further questions about your employee reimbursements, please post them in the Community. We are always ready and willing to assist you with your inquiries. Have a wonderful day ahead of you!

TaumFAdmin · ‎June 07, 2024

After much thought and consultation, we decided to handle this in the same way we've been handling regular reimbursements of health care and other costs. This has not been flagged as a problem by our current and past CPA Reviewers and past CPA Auditors.

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Employee reimbursements to 501(c)(3) Company