When transitioning to QuickBooks Online (QBO), please note that your workers' compensation data will not migrate automatically, Tours. You will need to manually configure workers' compensation coverage for your employees in QBO.
QuickBooks Online supports one class and rate per employee. If an employee has more than one class and rate, you will need to calculate workers' compensation manually.
Here are the steps to follow:
- Select your employee.
- From Workers' Comp, select Start or Edit.
- Click Yes, I have the tax rate.
- Select a New workers' comp class or choose your existing class.
- Enter the following info:
- Class: first 4 digits of the Class Code
- Subclass: a second set of digits on the Class Code
- Nature of work (optional): listed as the Class Code Description on the rate notice
- Composite rate: the total rate of Employer + Employee
- Payroll deduction: the employee rate used to calculate the amount on your employee’s paycheck.
- Effective date
- Select Done. You can now assign the same class or set up other classes for the rest of your employees.
For additional details, you can learn how to set up, change, pay, and file Washington Workers Compensation (L&I) in QuickBooks Payroll.
I'd also like to share an article to help you learn more about setting up QuickBooks Payroll to track Paid Family and Medical Leave in Washington: Manage Washington Paid Family and Medical Leave.
We are always here to assist you and answer any questions you may have in QuickBooks Online.
