Turn on suggestions
Auto-suggest helps you quickly narrow down your search results by suggesting possible matches as you type.
Showing results for
We use Quickbooks payroll, and for regulatory reasons, we post the amount the employer contributes to the employee health insurance so it shows up on the paycheck and W-4 (100% in most cases). The requirement in the payroll settings is that you must choose an GL account to post it to - if an Expense account is chosen, it posts each contribution as an expense, however, the actual BILL for the insurance is the expense. Additionally, if these numbers are incorrect for any reason, the expense is incorrect, which also allows you to overstate what the expense really is, without any tax ramifications to the employer or employee (until an audit).
If the set-up is posted to a liability account so that the BILL can post to the expense account, you can never reconcile the liability account. These amounts reported on the paycheck are for informational purposes only, not the expense to be reported on the books. I would like a non posting account or to just leave the field blank buy those are not available choices.
Does anybody have a work-around to this?
Thanks for reaching out in the QuickBooks Community, @KatKWA.
The option to create a non-posting account is unavailable in QuickBooks Online Payroll. Each account made in the Chart of Accounts will reflect in your reports.
Moreover, we can't leave the Company Contribution Expense Accounts blank because the system requires it to track your expense and liabilities.
I can see how this option would be helpful for you and your business. Therefore, let me take note of this as a suggestion to improve your QuickBooks experience.
In case you need to review your business finances, you can run several payroll reports in QuickBooks. Simply check out this article to get more details: List of Payroll Reports Available in QBO Payroll.
Please let me know if you need clarification about this, or there's anything else I can do for you. I'll be standing by for your response.
Thanks for the response. I took over the position just 2 weeks ago and there is now over 400k in "payroll liabilities" for health insurance that is paid, but we are unable to reconcile the account due to this type of posting. I have no idea where to offset these imaginary funds, as they are not real. I understand the selection that the prior employee used so they expense would not post twice, however, you can't have an outstanding liability on the balance sheet that does not exist. We don't plan on selling the company in the near future, but if we were, it would be a severe valuation issue.
Some kind of "work around" that would clear the liability account for the actual bill would be useful, as other than an equity account, I'm not sure where this would land.
You have clicked a link to a site outside of the QuickBooks or ProFile Communities. By clicking "Continue", you will leave the community and be taken to that site instead.
For more information visit our Security Center or to report suspicious websites you can contact us here