How to fix an entire quarter SUI liability after quarterly report filed ( corrected payment ) after NC state retro rate adjustment.

Hi, @s2568.

Thank you for sharing the details of your concern. I'm here to share with you some information about fixing SUI liability.

Since the rates are already updated, the system will automatically calculate your taxes and liabilities until the amounts get corrected. But if you want to create an adjustment to fix the SUI liability as soon as possible, you can create an adjustment. Before that, I recommend working with your professional accountant or with our Support Team. They are the ones who can help you with the proper tracking and recording of the entries.

To contact support:

1. Open QuickBooks.
2. Go to Help, then select QuickBooks Desktop Help.
3. Select Contact Us.
4. Give a brief description of your issue, then select Let's talk and then choose a way to connect.

On the other hand, here you can check out these links for more hints about recording adjustments and fixing SUI withholdings on paychecks:

• Troubleshoot incorrect state unemployment (SUI) or withholding (SIT) on paychecks
• Entering wage base and tax adjustment to correct employee's quarter (qtd) or year to date (ytd) tota...

Aside from that, you can also open the topics from our help articles for more hints and resources while working with your payroll transactions: Help on common payroll topics.

Please let me know how else I can help you with QuickBooks or payroll. I've got your back, and I'm always here to help. Have a good one!

I have a similar issue. We received the rate reduction letter for the SUI on April 16th, retroactive to January 1st. I entered the new rate in Quickbooks and ran a new SUI report which showed the correct amount we owed to SUI for the first quarter. However, since QuickBooks had already calculated the SUI at a higher rate, our QuickBooks liability showed that we still owed money. I talked with QuickBooks help and they helped me to make a lump sum liability adjustment so now it shows that we don't owe anything for the first quarter. My question is how does QuickBooks know to start recalculating SUI again? When I run a payroll report I can see that QuickBooks has not calculated any more SUI due since I changed the rate. This will make my next report wrong too and I will have to calculate our SUI liability manually. Should I have done a payroll adjustment by employee to correct the first quarter instead of a lump sum adjustment? Would that have helped the SUI to start calculating again? Not sure what to do next.

Thanks for letting us know about your state unemployment tax calculation issue, jprushing. Let me provide some insights about this. 

Yes, you should do a payroll adjustment by an employee to correct the first quarter instead of lumpsum.

To adjust your payroll liabilities you can follow these steps.

1. Go to the Employees menu, then Payroll Taxes and Liabilities, and select Adjust Payroll Liabilities.
2. Select the employee.
3. Complete the Taxes and Liabilities fields.
4. Select Accounts Affected and then OK
5. Repeat for other employees if you need to, and select OK.

For more details on the process, you can check out this article: Adjust payroll liabilities in QuickBooks Desktop

Since you already changed the SUI rate last April 16th, prior to receiving a rate reduction letter from the state. You can follow the steps on the link to correct your employee's year-to-date (ytd) information (wage base and tax amount) for flat rate taxes for SUI.

I'm also adding this link to help you fix incorrect State Unemployment (SUI) or withholding (SIT).

Keep me posted if you have further concerns with your state unemployment tax calculations. I'll be here to assist you. Keep safe always.