Child Support Garnishments

You can set up a garnishment item to track this in QuickBooks Online Payroll. Let me show you how to set this up, @JulieAnnJo.

Garnishments are created by the federal government and state agencies to withhold wages from an employee's salary. Then, send the money to the creditor.

Here's how to set this up:

1. Navigate to Payroll in the left pane.
2. Choose an Employee.
3. Press the Start or Edit from the Deduction & Contributions.
4. Then, Add Garnishment. Enter the following fields based on the garnishment type you chose.
5. Lastly, Save.

You can also refer to this article for the complete details of instructions: Set up and collect garnishments.

Visit the Manually enter payroll paychecks in the QuickBooks Online article. It contains additional information about entering payroll paychecks manually via journal entry.

I'm happy to share this knowledge with you. Let me know if you still have concerns. Thank you for visiting us.

Thank you but I still need to know where the child support money that is taken out of the employees paycheck goes to, what account is holding that child support money? When I go to write a check to the agency what account has that money in it? It's nice to have a registry for all the child support that will be paid.

Thanks for following up with the Community, JulieAnnJo.

To properly identify which account you should be using when writing a garnishment check, I'd recommend working with an accounting professional. If you're in need of one, there's an awesome tool on our website called Find a ProAdvisor. All ProAdvisors listed there are QuickBooks-certified and able to provide helpful insights for driving your business's success.

Here's how it works:
 

1. Go to our Find a ProAdvisor page.
2. Use the City or ZIP search field to specify a location.
3. Select Find a ProAdvisor.
4. Browse through your results and find one that works best for the business. You can click on each ProAdvisor's profile to learn more information about them.
   
   

Once you've found an accountant, they can be contacted through their Send a message form:
 

1. Use the available text box to introduce yourself. Be sure to include details about which services you're looking for.
   
   
    
2. Enter your appropriate info in the Your name, Your email, and Your phone number (optional) fields.
   
   
    
3. Click Send message.
   
   

I've also included a detailed resource about creating checks which may come in handy moving forward: Create & record checks

If there's any additional questions, I'm just a post away. Have a wonderful day!

I watched this YouTube video by an accountant who set this up very well!

https://www.youtube.com/watch?v=pJdYBn4R1DI