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Employer Contribution Taxable Benefit

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Our employees receive health insurance as part of their salary. Previously using Quickbooks Desktop, this would be added as an Employer Contribution.

How do I do this in Quickbooks Online Payroll Standard?

Workforce Payroll

katherinejoyceOAnswer

Level 9

Thanks for joining in this conversation, @Mike Petty. Let me chime in and provide you the steps to add a new deduction category in the Advanced Payroll version of QuickBooks.

Here's how:

Go to the Payroll Settings, then Deduction Categories.
Select Add to enter a new deduction category. There will already be two deduction categories for you (Pre-Tax Deduction and Post-Tax Deduction). You can edit any of these by selecting the name of the deduction category.
Enter the name for the deduction category, then select whether it will be a pre-tax or post-tax deduction.
Add an external ID and select the NMW/NLW Calculation Impact as required.
Click Save.

Once done, it will now be accessible to be assigned to each of your employees.

For more information, check out this link on how to set up an indefinite recurring deduction: Setting up deductions in QuickBooks Online Advanced Payroll.

To know more about QuickBooks Advanced Payroll and how to manage payroll settings, read through these articles:

I'm always here to help should you have additional concerns. Take care.

C

ChristieAnn 11

Level 9

Hi there, electronjulie.

Entering employee's health insurance as part of their salary in QuickBooks Online is the same as using QuickBooks Desktop. This would be added as an Employer Contribution. To do this, you'll need to enter the health insurance to each employee's information manually.

Here’s how:

Click Employees at the left panel.
Double-click on the employee’s name to view the complete details.
Choose the Employee details section.
Click the pencil icon beside Pay to view more information.
Navigate to the Does employee have any deductions section and hit the Add a new deduction link.
In the What deductions or contributions does employee have page, click the drop-down arrow for Deduction/contribution and choose New deduction/contribution.
From the Deduction/contribution type drop-down list, choose Health Insurance. Then, choose one type.
Fill in the necessary fields under Employee deduction and Company-paid contribution.
Hit the OK button.

Please know that you're always welcome to post if you have any other concerns. Wishing you and your business continued success.

M

Mike Petty

ChristieAnn

Your procedure above does not work for the current version of Advanced Payroll Online. Please could you post the procedure for this version?

Mike

katherinejoyceOAnswer

Level 9

Thanks for joining in this conversation, @Mike Petty. Let me chime in and provide you the steps to add a new deduction category in the Advanced Payroll version of QuickBooks.

Here's how:

Go to the Payroll Settings, then Deduction Categories.
Select Add to enter a new deduction category. There will already be two deduction categories for you (Pre-Tax Deduction and Post-Tax Deduction). You can edit any of these by selecting the name of the deduction category.
Enter the name for the deduction category, then select whether it will be a pre-tax or post-tax deduction.
Add an external ID and select the NMW/NLW Calculation Impact as required.
Click Save.

Once done, it will now be accessible to be assigned to each of your employees.

For more information, check out this link on how to set up an indefinite recurring deduction: Setting up deductions in QuickBooks Online Advanced Payroll.

To know more about QuickBooks Advanced Payroll and how to manage payroll settings, read through these articles:

I'm always here to help should you have additional concerns. Take care.

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