Payroll Expense Accounts

Hmmmm.... I think I found the answer to the question: Payroll Items

So, the follow-on question: How to change the transactions today, reaching back to the first of the year without getting things all messed up?

Specifically: All employees have been charged to the same Payroll Expense account. Now I'd want to set up Payroll Expense: Administration where Administration is an Expense subaccount. Payroll Expense: Operations etc.

Thanks,

Fred

It would be much easier to use classes, Each department would be set up as its own class, The good thing about this would be that payroll taxes will also seperate out to different classes. If you set it up the way you are thinking about it then the taxes would be lumped together and you would not have a very good accounting of total expenses by department.

Classes don't show up in the Budget do they? That's where we want to show the expenses: vs. Budget for each department.

Is there no way to segregate the taxes from an expense account point of view?

Fred

Hi Fred,

Yes you can budget by class (at least in quickbooks 2005) - Classes really are the perfect scenario for what you are trying to accomplish. Maybe start a practice company and experiment with both approaches to see which gives you better info.

Terry,

Oh. Cool!

Thanks,

Fred

Terry and all,

I tried using classes in budgeting but it seems that there could be only one class for the entire budget. I couldn't figure out how that might be used effectively in generating a single P&L vs. Budget report... Were you thinking a separate classed budget and separate reports or.....?

Thanks,

Fred

And, I should have said that I *did* set up different expense accounts and put them into the payroll transactions. Now, as you warned, the tax costs show up separately - which they were doing anyway. So now I have the base salaries broken apart and the tax costs all together. It's better this way but not "perfect" for departmental cost or P&L reporting.

As in my last post, I've not figured out how to use classes to help in doing what I want. I did set up the necessary classes but don't find a way to make use of them.

Fred

One of the first questions asked when setting up a budget is "Additional criteria". If you don't select "Class" at this point, you've missed it.

Classes

accomplish.

I didn't miss it. But it only seemed that there was a single Class that could be selected once and for all. That didn't meet my objective. Did I miss something else?

Thanks,

Fred

I see a "spreadsheet" - 12 columns (months), rows of accounts, and a field to select a class. I can select any existing class, or create a new class. I can enter data for each class as desired. This is QB

might

approaches

message

Hi all,

Classes are very easy to use - See to see how to enter a single check for an employee. The cool thing is that Quickbooks will assign this class to all expenses in this check. Another great feature is that you cna assign one check to multple classes - Quickbooks will automatically assign expenses as a percentage to all classes based on how much was paid in each class. See

Pictures must not be allowed - Sorry

Terry

I see the two jpg attachments on my end. Using OL 2003 (OLExpress as newsreader).

Quickbooks 2005 Pro gives the same spreadsheet view. Fred do you have more than 1 class set up?

Yes, more than one class. There is one class for each department. There are 5 departments.