Absolutely genius!  Get with it, Intuit!

How can I set up ERC wage code?

I'm here to help set up the Employee Retention Tax Credit (ECR) code, PLS10.

You need to set up the ECR payroll items and expense account to be able to track the eligible wages for tax credit.

Please browse this link and follow instructions and detailed steps for QuickBooks Desktop Payroll: How to set up and track the Employee Retention Credit. Make sure not to miss any of the steps to prevent payroll data issues on the form.

In addition to this, you can follow these links to learn how to check the amounts reported on the Form 941:
 

• How QuickBooks populates the 941
• Troubleshooting amounts in Form 941/Sch. B - Employer's Quarterly Federal Tax Return.

If you want us to set this up for you, you can contact our QuickBooks Desktop Live Team. They can do screen-sharing with you in a secure environment.

Here's how to contact them:

1. Open QuickBooks.
2. Go to Help, then select QuickBooks Desktop Help.
3. Select Contact Us.
4. Enter your concern, then select Continue.
5. Choose a way to connect with us:
   • Get a callback from an expert (availability may be limited).
   • Start messaging with a support expert.
     
     

Keep me posted if there's anything else I can help you in setting up the ERC code in QuickBooks. I'm always around to provide the information that you need.

How do you set up the ERC wage code? - NVM I see the instructions now. Thank you!

Seriously, thank you! What a nightmare!

The only question I'm left with now is that it still shows I owe Payroll Liabilities when with the ERC, I am actually now due a refund. Any advice on how to fix this in QB?

Hello there, @kheinecke.

In QuickBooks Desktop (QBDT), we can open the Payroll Summary and Payroll Liability Balances reports to determine which discrepancy comes from.

Before doing so, let's update the tax table version. This is to ensure if you have the correct calculation for federal and state taxes.

Here's how:

1. Go to the Employees menu.

2. Select Get Payroll Updates.

3. Click the Download entire payroll update radio button.

4. Hit Update, and then click OK.

Once done, open the Payroll Summary Report, choose a per quarter date range to get the correct wages, taxes, payroll additions, and deductions for the period. I'll guide you how:

1. Go to the Reports menu.

2. Hover over Employees & Payroll, and then select Payroll Summary.

3. From the Dates drop-down arrow, choose the specific quarter.

4. Click the Refresh button to view the changes.

5. Select the amount of your payroll taxes to view the complete details.

6. On the Transactions by Payroll item page, navigate to the Wage Base column.

7. Take note of the total amount, and then multiply the Wages Base amount to the tax rate.

After identifying the discrepancy, take note of the amount and enter a liability adjustment to correct the amount. Here's the link: Adjust payroll liabilities in QuickBooks Desktop.

I've also added an article here about fixing common payroll errors in QuickBooks: How to fix common payroll errors.

Don't hesitate to drop a comment below if you have other questions. I'm more than happy to help.

This worked for the 1st Quarter, but NOT for the 2nd Quarter!! Only brings up Worksheet 3. Still looking for a way to bring up Worksheet 1. PLEASE if anyone can tell me how to do it, I would appreciate it!!! NONE of the other things have worked yet that I have read and tried!!!!!!!!!

Hi there, bobpfs.

The steps mentioned on this thread are used to help fix the issue when entering Employee Retention Tax Credit on 941 and should work to both Quarters (1 and 2).

If you have done all the suggested steps above and the issue persists, I suggest contacting our QuickBooks Care Team. This type of issue requires a thorough investigation so they can identify why it's working on the 1st Quarter but not in the 2nd Quarter.

Here's how to reach us:

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. Phone support may be limited due to volume.

 To ensure we address your concern, our representatives are available from 6:00 AM to 6:00 PM on weekdays and 6:00 AM - 3:00 PM on Saturdays, PST. See our support hours and types for more details about this one.

In case you need handy articles about managing 941 forms in QuickBooks Desktop, feel free to visit the following:

• How QuickBooks populates the 941
• Troubleshooting amounts in Form 941/Sch. B - Employer's Quarterly Federal Tax Return.

You can also check our QuickBooks Help Articles page for more insight s about managing your business in your software.

If I can be of help while working payroll forms like 941 in QuickBooks, just let me know. I'll be here to further assist. Have a good one.

I created the ERTC work code and enter $0.01 and quantity 1 (under other payroll items), then I picked paycheck tips and enter a -0.01. So the two entries would offset with each other and no payroll liability created. After this is done, process 941 as usual. When you reach page 5, worksheet 2 (not worksheet 1 as in first quarter 2021) would show up. I see the $0.01 as qualified wages on step 2 (in the middle of the page). Override this $0.01 with the calculated qualified wages that you want to claim for this quarter. The program would calculate the 70% and post it on page 2 of Form 941, you then pick either apply to next return or refund check.

Quickbooks is ridiculous that this worksheet 1 (1st quarter 2021) or worksheet 2 (2nd quarter 2021) is still not available to claim for this ERTC. This program makes the whole process complicated.

I created a payroll code ERTC and enter $.01 with quantity 1 (under other payroll item), Then I created a -0.01 paycheck tips, which would offset with each other. There is no payroll tax liability created. After this payroll is created as of 6/30/2021, process 941 as usual. When you reach page 5, you will see worksheet 2 (not 1). Under step 2 (in the middle of the page), I have the $0.01 under qualified wages, which I override it with the qualified wages I wanted to claim in the 2nd quarter. The program would calculate the 70% and post it on the 2nd page of 941.

I couldn't get it to work either.  When will Intuit be fixing this?

Still isn't fixed.  What a nightmare.

Hi,

Did you try the method I posted two weeks ago?

This is not the impression we want you to experience, @dso0216, @CVAN1.

I can route you to the right team who can properly address your concern with adjusting your payroll liabilities.

Let me provide you the steps on how you can contact our Customer Support Team, in that way they can check why are you experiencing this issue at the same time check your account in a secure environment.

You may send a message via chat, call us at a time convenient to you, or we’ll get in touch with you instead. To ensure we address your concern, our representatives are available from 6:00 AM to 6:00 PM on weekdays and 6:00 AM - 3:00 PM on Saturdays, PST. See our support hours and types  for more details about this one. Here's how to reach them:

1. Click the Help icon on the top menu. 
2. Choose QuickBooks Desktop Help. 
3. Tap Contact us.
4. Select Search for something else and enter your concern in the Tell us more about your question: field. 
5. Tap Search. 
6. Choose Start a Message or Get Phone Number to connect with our support. 

 Adjusting payroll liabilities can be tricky, I would suggest you to seek an advice from your accountant. 

If you need some references in the future, you can also check out our site: Help articles for QuickBooks Desktop. 

We appreciate your patience as we work through this. Please check in with us if there’s something else you need help with. I’ll be around to help. 

Abigail, no offense intended and I know you were trying to help but you have no idea what we’re talking about. We are not trying to adjust payroll tax liabilities.

We simply want to make adjustments on a 941 FORM. The fields that we need to change cannot be overridden unless we trick the system with a fake paycheck to make the needed input screen show up.
It’s ridiculous. That page of the 941s should show up without any tricks at all. 

You might be better off to print a blank 941 from the IRS website.  That's what I had to do.  I have several different companies and some work right and some don't.  One of my companies worked right last quarter and won't this quarter.  It is very frustrating.

Could you please elaborate the steps for "We setup ERC wage code"?

I want to ensure this is taken care of, @MCGMiles.

You can set up and track the Employee Retention Credit under the CARES Act. First off, you'll have to set up your employees with the payment types. 

Here's how:

1. Go to the Employees tab, then select the employee you’d like to add the CARES Act pay types to.

2. In the Pay section of the Employee Overview screen, select the Edit button

3. Select the pay types that apply to you: either the CARES Act Regular or CARES Act Overtime from the What additional ways do you pay your Employee section under the CARES Act.

4. Choose and enter any Employer Paid Health Insurance Premium amount to be tracked on each check.

5. Click OK.

Once done, you can use the payment types you created when running payroll. You can read this article for more guidance: How to set up and track the Employee Retention Credit under the CARES Act.

On the other hand, I suggest contacting the PPP support team. This way, they can guide you on how to submit and receive the credit. They can also provide additional details about the process.

I'm also adding this article to know the latest information about PPP: New legislation provides additional PPP loan funding.

Please let me know if you need clarification about this, or there's anything else I can do for you. I'll be standing by for your response.

How do I apply for the ERC for quarters 9/21 and 12/21?  Is there a form that I need to download for quickbooks or modify a report that I already have?

IS THERE A DEDICATED TEAM AT INTUIT THAT COMPLETES THE AMENDED 941'S FOR THE EMPLOYEE RETENTION CREDITS?  IF SO, HOW DO I CONTACT THEM?  PAYROLL SERVICES SHOULD BE ABLE TO EASILY DO THIS!