Our company pays for the total premium of our one full time employee that has elected to receive insurance benefits. The employee is supposed to pay a portion. The premium is deducted from our bank account on the first of the month in full. I want to deduct the employees portion from his paycheck and reimburse our company. I followed instructions and set up this deduction in payroll. However, now it creates a liability that has already been paid and wants to electronically pay this liability. All I want is to reimburse the company for the employee portion of the total premium already paid. I also want the total to reflect as an expense on my P&L.
I realize these are two separate transactions. The first being the ins. premium that correctly shows as an expense. But the deduction from the employee paycheck is confusing me. I simply want this to be a negative expense but set up is trying to pay a liability.
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