This is Payroll Math:
Gross Wages + Employer Taxes = expense for the pay date.
Your negatives are supposed to be Both Employer and Employee Taxes:
12,000 gross wages
negative 744 employee liability amount as SS
positive 744 employer Tax expense
negative 744 employer liability
negative 1,074 employee liability amount for Medicare
positive 1,074 employer Tax expense
negative 1,074 employer liability
any income tax withholding liability also is negative (is this the 4,082?)
That way, you Pay the 941 Liability total:
744 x 2
1,074 x 2
income tax liabilities (Fed and State)
You also need to show, on that Paycheck for that date:
FUTA positive employer expense 42
negative as FUTA employer liability 42
You likely have SUI, too. Positive is for the employer expense account and negative is to show it is held as liability to pay later. They Go Together.
You seem to want to treat the Paycheck as, "There was no banking event for the net takehome" and that means you still enter the Payroll. Do everything we covered, plus the Final net amount as Negative for the final line = Shareholder Distribution, if the same thing happened in 2018 = Distributions already is Negative. This is going to be treated as, "they left their Net pay in the business to Reduce their total distributions." Hit Recalculate and the Write Check ends at 0. There is no JE.
If the there is not Distribution in 2018 that runs negative to $7,000 then treat the Net takehome not as Returned to distribution, but as paid in Capital in Equity.
