I appreciate you coming back, VickiWNTA.
When setting up pretax health insurance in QuickBooks Online (QBO), the following are exempted:
- Federal Income Tax (FIT)
- Social Security (SS)
- Medicare
- Federal Unemployment Tax Act (FUTA).
In terms of how the taxes are reported on your federal forms, you can take note of the following below:
- 941: Decreases boxes 2, 5a, 5c
- 940: Box 4 and 4a checked
- W-2: Decreases boxes 1, 3, 5
In case you miss it, you can have this article as your reference. (Proceed to Pretax health insurance drop-down): Add or change pay types.
Know that you're always welcome to post here in QuickBooks Community if you have any other concerns.
