Can I setup paying for employee payroll with a credit card?

Setting up a credit card account to pay employees is currently unavailable, lmcllc2014. I'll be pleased to add more details regarding this matter.

In QuickBooks Online Payroll, you can only use a standard checking account to pay your employees. Hence, you'll have to pay your team outside QuickBooks or utilize another payroll service that supports credit card payments. You can then manually record the payment through a journal entry. With this, I recommend contacting your accountant for the proper posting of debits and credit.

To begin with, let's create expense and liability accounts in your chart of accounts used for tracking the payments.

The following are the expense accounts with Expense as an account type:

• Payroll Expenses: Wages
• Payroll Expenses: Taxes

For liability accounts, refer to this list and ensure using Liabilities as the account type:

• Payroll Liabilities: Federal Taxes (941/944)
• Payroll Liabilities: Federal Unemployment (940)
• Payroll Liabilities: [State] SUI/ETT
• Payroll Liabilities: [State] PIT/SDI

After that, proceed to Step 2 in this article for guidance on entering the payroll paychecks manually: Manually enter payroll paychecks in QuickBooks Online.

On the other hand, consider running different reports for a clearer view of your finances for more effective business planning: Run reports in QuickBooks Online.

Stay in touch through the Reply button if you need additional help paying your team or other payroll tasks in QuickBooks Online Payroll. I'm here waiting to hear from you again whenever you need assistance.