QuickBooks Team


Hi again, @branholm,


You're most welcome for the information. I'd be glad to provide some additional clarification about managing IRA Contributions. 


Provided that the SIMPLE IRA is set up with an employee deduction and a company contribution, QuickBooks Online will record both of these to one liability account. This is going to be similar to how QuickBooks records liabilities for FICA taxes (Social Security and Medicare), where money is withheld from an employee's check and matched by the company with the funds being tracked with one liability account.


I'm including a video to show how QuickBooks tracks a SIMPLE IRA with a setup of deducting $50 from the employee's paycheck and a company-paid contribution of $25.00. This will also show how the total of $75.00 is tracked with one liability account: 



Should you be unsure of which liability account is being used to track the IRA, my above post contains information on locating this. Additionally, the article on creating a payroll liability check is a guide with further information.


Lastly, as all are businesses are unique, you may wish to reach out to your accountant to determine if it would be best for you to indicate on the check which portion is contributed by the employees and the company. Naturally, if there is one IRA setup, and thus one liability account, then breaking the payment into pieces will reduce the liability account by the same amount as doing it with just one amount and vice versa. 


I hope that you had a wonderful Halloween. Please feel free to let me know if you have any additional questions. Wishing you all the best.