Total Payroll Cost - How is it calculated?

Total Payroll Cost includes:

- Labor cost (pay rate x hours)

- Payroll taxes (employer paid)

- 401k ER match (if applicable)

- Health insurance (if applicable)

- Payroll fees (ADP service fees)

These amounts are computed by ADP based on info you setup and input for hourly or salary amounts.

You can then run reports to make journal entries in accounting system or link up to have amounts come from ADP into QB.

Allow me to share some insights about the Total Payroll Cost report, icourtneyfader.

The solution shared by @Teri11_2 is correct. Also, the data on the report will reflect the payroll items mentioned above, including the total pay, net pay, deductions, and taxes, as well as all costs associated with paying your employees.

To obtain the figure for your quarterly tax reporting, you can run payroll reports. This reference contains a list of payroll statements and instructions on how to customize or print a report: Payroll reports in QuickBooks Online Payroll.

Furthermore, the following resources include topics to help you get started with the payroll service:

• Manually enter payroll paychecks in QuickBooks Online
• QBO self-help articles

From there, you'll see the list of accounts used to track your payroll liabilities and expenses.

If you have any clarifications or additional questions about payroll, leave them in the comments section below. I’ll jump right back in to answer them for you. I wish you and your business continued success.