fudging quickbooks payroll start date if not using qb payroll service

HOw many people are on the payroll? Does BoA give you a payroll summary?

Stephanie

2 people. yes, tons of reports... summary and detailed

S.M. Serba wrote:

You should be more concerned that you have no idea what you are doing.

If your payroll is being processed by an outside service company like Bank of America Easypay you should not be using any of the payroll features in QB. What possible reason can you have for doing so?

>

You do not need to record payroll in Quickbooks. Easypay does your payroll for you and will give you a summary each payroll. At the end of the year you will receive your YTD amounts for the tax slips (in Canada T4's).

1) Reverse any entries you have made to payroll in Quickbooks. 2) Edit>Preferences>Payroll & Employees>Company Preferences>Select "No Payroll". 3) Get all your payroll summary sheets from Easypay. They should have given you a listing of: Gross payroll, CPP Employee, CPP Employer, EI Employee, EI Employer, Income Tax Employee, any deductions etc. and net payroll. Easypay will take ONE entry out of your bank account per payroll (not one item per person) so you need only enter one transaction. 4) "Write Cheque" payable to Bank Statement Items. Enter the net payroll amount from the summary for the cheque value. Under the "Expenses" tab record Gross Wage amount to the appropriate wage expense; CPP Employee+CPP Employer+EI Employee+EI Employer and Income taxes go to Payroll Benefits Liability. The deductions etc. go to the appropriate expense account. Do this for each payroll period. 5) As you are not using the QB's payroll module you DO NOT use the "Pay Payroll Liabilities". All you need to do is to "Write Cheque" to the government for the amount and allocating it to Payroll Benefits Liability account.

Cat

Allan Mart> > OK. Can someone let me know if this is going to be a problem with a

cat,

thanks so much for your time in writing such a detailed response! i have a question though maybe you could answer...

Net $25,429.90 Gross: $33,000.00 EmployEE Taxes: $7,570.10 EmployER Taxes: $3014.50

The employee side makes sense.. 33000 - 7570.10 = 25429.90. I 'write check' and input net of 25429.90, and then in expenses tab, put gross

33000 into 'payroll expenses' and (neg) -7570.10 into 'payroll liabilities'.

however this does not account for the company portion that EasyPay says I owe of $3,014.50 (futa2.00, SS 46.00, medG8.50, FL SUI78.00). Would I 'write check' and then split this into a few checks, or since easypay is already handling where that money goes to, just write one check for $3,014.50 payable to the government putting it in liability account?

thank you so much for your time!

kyle

snipped-for-privacy@shaw.ca wrote:

Does your payroll service pay the employee deductions and p/r expenses for you? Then post the following:

acct DR CR

bank 36,014.50 salaries & wages 33,000.00 FUTA expense 112.00 SS expense 2,046.00 med expense 478.50 FLA SUI 378.00

If you have to cut the cheque yourself to the gov't for the p/r deductions have to make two entries:

acct DR CR

salaries & wages 33,000.00 bank 25,429.90 employee taxes pay. 7,570.10

and

acct DR CR

FUTA expense 112.00 SS expense 2,046.00 med expense 478.50 FLA SUI 378.00 p/r taxes payable 3,014.50

Stephanie

Sorry Kyle, missed a step. The offsetting of the employer portion of the payroll taxes goes to the payroll taxes expense account. It is already accounted for in the credit side of the equation (i.e. payroll taxes liability) and now you need to pick up the debit side of the equation.

Cat

kyle wrote: