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SamQree
Level 2

Best way to set up sales bonus payments in installments.

Is there a quick way to set up payments in installments and what kind of report can be created to work from?

Solved
Best answer December 19, 2023

Best Answers
Ethel_A
QuickBooks Team

Best way to set up sales bonus payments in installments.

Hello there, @SamQree.

 

I'll help you setup sales bonus payments in installments using QuickBooks Online.

 

If you want to set up sales bonus for an employee, you can add a payroll item for the bonus and add it as a payroll item as an additional pay type.

 

Here's how to set up an item:

 

  1. Go to Lists, then Payroll Item List.
  2. Choose the Payroll Item ▼ dropdown, then New.
  3. Select Custom Setup, then Next.
  4. Click Wage, then Next.
  5. Hit the appropriate wage type.
    • Hourly Wages, then Next. Select the appropriate pay type (regular, overtime, sick, or vacation pay).
    • Annual Salary, then Next. Choose the appropriate pay type (regular, sick, or vacation pay)
    • Commission
    • Bonus
  6. Click Next.
  7. Enter a name for the pay item, then Next.
  8. Select the Expense account where you want to track wages.
    • For Bonus pay item, leave the Default rate field blank. You can add the rate when you add the item to the employee profile.
  9. Hit Finish.

Note: If you have Workers' Compensation and you want to exclude bonus from the calculation. You’ll need to create the bonus payroll item as an Addition with a tax tracking type of Compensation.

 

Then, add the item to the employee's profile:

 

  1. Go to Employees, and then select Employee Center.
  2. Double-click the employee’s name.
  3. Select Payroll Info.
  4. In the Earnings section, add the payroll item you created.
  5. Hit OK.

 

if this is for a  vendor, you can add an expense account and add it an as an item for that vendor. Refer to this article for the detailed steps: Add, edit, and delete items in QuickBooks Desktop.


For future reference, you can read this article to guide you in running reports in QuickBooks Online:

 

 

Don't hesitate to click the Reply button below if you have questions about setting up sales bonus payment in QuickBooks Online. I'm always here to help. Have a great day.

View solution in original post

1 Comment 1
Ethel_A
QuickBooks Team

Best way to set up sales bonus payments in installments.

Hello there, @SamQree.

 

I'll help you setup sales bonus payments in installments using QuickBooks Online.

 

If you want to set up sales bonus for an employee, you can add a payroll item for the bonus and add it as a payroll item as an additional pay type.

 

Here's how to set up an item:

 

  1. Go to Lists, then Payroll Item List.
  2. Choose the Payroll Item ▼ dropdown, then New.
  3. Select Custom Setup, then Next.
  4. Click Wage, then Next.
  5. Hit the appropriate wage type.
    • Hourly Wages, then Next. Select the appropriate pay type (regular, overtime, sick, or vacation pay).
    • Annual Salary, then Next. Choose the appropriate pay type (regular, sick, or vacation pay)
    • Commission
    • Bonus
  6. Click Next.
  7. Enter a name for the pay item, then Next.
  8. Select the Expense account where you want to track wages.
    • For Bonus pay item, leave the Default rate field blank. You can add the rate when you add the item to the employee profile.
  9. Hit Finish.

Note: If you have Workers' Compensation and you want to exclude bonus from the calculation. You’ll need to create the bonus payroll item as an Addition with a tax tracking type of Compensation.

 

Then, add the item to the employee's profile:

 

  1. Go to Employees, and then select Employee Center.
  2. Double-click the employee’s name.
  3. Select Payroll Info.
  4. In the Earnings section, add the payroll item you created.
  5. Hit OK.

 

if this is for a  vendor, you can add an expense account and add it an as an item for that vendor. Refer to this article for the detailed steps: Add, edit, and delete items in QuickBooks Desktop.


For future reference, you can read this article to guide you in running reports in QuickBooks Online:

 

 

Don't hesitate to click the Reply button below if you have questions about setting up sales bonus payment in QuickBooks Online. I'm always here to help. Have a great day.

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