How do I assign an account to an after tax payroll deduction? I need to deduct employee tab repayments from a restaurant employee who rang up a tab for meals.

Hello there, Barb.

To handle after-tax deductions like employee repayments, you can create a New Payroll item and map it to a specific account. Here's how:

1. Go to the Payroll tab, then select Employees.
2. Click Edit payroll items.
3. Hit the New payroll item dropdown.
4. Select Deductions & contributions.
5. For the Deduction/contribution type, choose Other deductions.
6. And for the Type, select Other after tax deductions.
7. Enter the Description, then click Create.

Once done, you'll need to assign the created payroll item to the specific employee. Here's how:

1. Select Assign employee and hit Next.
2. Enter the deduction amount.
3. Click Save.

To track the money they repay, create a specific asset account in your Chart of Accounts.

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