Hello @westside1,
Let me help share how your payroll transactions post the amounts in each affected accounts in QuickBooks Online.
To start with, after creating your payroll transaction, amounts will be posted into the following accounts:
- Payroll Expense
- Bank Account
- Payroll Liability
You're on the right track, transaction will debit into your payroll expense and bank account. Now for the payroll liability account, the amounts posted here are all related to your taxes calculated in each paycheck.
Don't worry, your liability account will be cleared once you have paid your taxes. With the bank transaction, you can easily match them as long as the amount and date are the same as your existing transactions.
On top of that, I've also included this reference for a compilation of articles you can use while working with us: Help Articles for QuickBooks Online Payroll.
If you have any other questions, please let me know by leaving any comments below. I'll be here to lend a hand.