How to Set Up Payroll in Quickbooks Online
Table of Contents:
- What is QuickBooks Payroll?
- Types of QuickBooks Payroll
- How does Quickbooks Payroll Work?
- Benefits and Features of QuickBooks Payroll
- How To Add Payroll to QuickBooks?
- How to Set up Payroll in QuickBooks?
- How to Run Payroll in QuickBooks?
- QuickBooks Payroll Service Plans and Pricing
- How to Fix Payroll Errors in QuickBooks?
- Bottom Line
- FAQ's
What is QuickBooks Payroll?
QuickBooks Payroll (QB) is a service application used to streamline accou nting work and assist in the payroll processing of company employees.
It also involves calculating employee earnings and deducting federal and state payroll taxes. Payroll refers to a business's financial records of employees or the distribution of employee paychecks.
Types of QuickBooks Payroll
There are two types of QuickBooks Online Payroll-
- Standard Payroll
- Advanced Payroll
Standard Payroll
It is a payroll application that has been designed for small businesses with 30-50 employees in the organization. It does not offer integrated HR and benefits. If you have a small organization with a few employees, this may not be an issue for you .
Advanced Payroll
It is a payroll application that has been designed for professional accountants, organizations payroll experts and run the payroll on the behalf of different clients.
How does Quickbooks Payroll Work?
Firstly, you need to turn in payroll in Quickbooks Application and select a plan. Then, you need to have accurate information related to your company and its employees, including correct name, date of birth, and contact information.
For switching Standard payroll to Advanced Payroll or vice versa, you need to have your employee's payslip. Along with this, you will require the tax and NI information of all employees that you have made.
Benefits and Features of QuickBooks Payroll
Quickbooks Payroll helps in making payroll processing easy for an organization.
BENEFITS-
1- Save Time and Effort
Quickbooks Payroll reduces the effort of remembering the payday. Meanwhile, it reminds you when it is payday time. The only thing you have to do is to click through a series of screens. Plus, it also helps in job costing.
2- Prepare for Payroll Taxes
Preparing for Payroll Taxes is a work of accountability. It is easy to make mistakes such as incorrect tax filings, miscalculations, inputting wrong data, sometimes you might also miss some tight deadlines. Although, using QuickBooks for payroll can prevent you from committing any such mistake.
For solving these problems, Quickbooks Payroll provides three levels for payroll tax support that are given below:-
- a) Basic Version
You have to prepare your tax documents through the guidance of Intuit.
- b) Enhanced Version
State and Federal forms will be completed automatically in this version.
- c) Full Service
The Full service includes automatic filing, tax calculation, and payment.
3- Maintain Employee Information
With the help of Quickbooks payroll, It is easy to organize and manage employees' information as required by employers and tax authorities. As a result, administrative duties like these require fewer workers.
4- Assign Employee Payrolls to Jobs
You can easily assign employees' payrolls to their respective tasks. The software also makes generating job cost reports a lot easier. All the details of the task can be kept in Quickbooks Payroll. Employees will receive the funds directly to their bank accounts.
5- Management of Employees
Quickbooks Payroll helps you manage the employees and it is essential to provide correct information so that the software can make lots of things easy to handle.
FEATURES-
1- Direct Deposit For Employees
All three service plans ( Core, Premium, and Elite ) give the free direct deposit. It will become easy for employers to pay their employees, who are already present in the application.
2- Payroll Runs are Unlimited
Quickbooks online payroll offers unlimited runs. With Quickbooks Online Payroll, users are not charged even for the additional payroll run.
3- Calculation and Filing of Taxes automatically
The Quickbooks Online Payroll helps in finding, processing the tax forms as well as the tax deposits.
4- Payroll Automation
With this feature, employees can run payroll without the addition of entries and can review payroll. You can do this only before processing the payroll. Another significant feature is you can add compensation and bonuses to payroll.
5- Workforce of QuickBooks
QuickBooks Payroll helps the employees to get all the relevant information related to their current tax information, Year-to-date earnings, time offs, pay stubs, W-2 forms, and many more.
How To Add Payroll to QuickBooks?
There are three steps for adding payroll in Quickbooks that are listed below:-
Step 1:
Go to the worker's menu and then click on the option of ' employees ' .
Step 2:
Click on the option of 'Get started' or ' Set up Payroll' .
Step 3:
Choose the service type that you want to use.
Follow all these steps to add Payroll to QuickBooks successfully.
How to Set up Payroll in QuickBooks?
By using the following steps, you can easily set up Payroll in QuickBooks-
Step 1:
Click on the option of the 'Employees' tab on the left side of the screen.
Step 2:
Click on the ' Get Up ' section.
Step 3:
In the Next step, answer correctly to all the questions which are related to prior payroll.
Step 4:
Click on 'Add an employee' .
Step 5:
Complete the relevant information of an employee and set up is ready.
Follow all these steps to Set up Payroll in QuickBooks successfully.
How to Run Payroll in QuickBooks?
After completing all the settings in the Quickbooks, now you can run your payroll in Quickbooks with the following steps-
1) Click on the option of 'Employees' on the left side of the bar and then click the 'Run Payroll ' option in the upper right-hand corner of the page.
2) Select the locations to process payroll. If only one location is available, then it will be selected by default and the next tab will open.
3) Click on the 'Next' option and enter Attendance Details .
4) Then, click on +sign and enter employee-wise Loss of Pay details manually.
5) Now, click the arrow icon to upload the attendance in bulk.
6) Select the 'Next' option and enter Pay adjustments details.
7) Click twice on the employee grid if you want to edit or update payment details like shift allowances, bonuses, and incentives.
8) Click on the +sign to fill employee or component-wise pay details manually.
9) You can take help from an excel sheet. Then, click on the arrow to upload Pay Adjustments details.
10) To select employees to run payroll, click Next and then again to confirm the payroll results.
11) Double-click an employee in the employee grid to view details about their pay. Make sure that the payroll additions are correct.
12) Click on the 'Next' option and complete the payroll.
13) Select Lock Payroll and Post JV entry after clicking Download Salary Register if needed to post a journal entry.
14) Press the option of 'Done' and finalize payroll for the month.
QuickBooks Payroll Service Plans and Pricing
QuickBooks Payroll is available in three different plans that are-
| Service Plan | Pricing |
| Core Plan | $45/ month plus $4 per extra employee |
| Premium Plan | $75/ month plus $8 per additional employee |
| Elite Plan | $125/ month plus $10 per additional employee |
1) Core Plan
This Core plan starts with a charge of $45/ month with many benefits in it and an additional charge o f $4 per extra employee.
2) Premium Plan
This premium plan provides full service to the users. The plan cost is $75 / month with several benefits in it plus an extra charge of $8 per additional employee.
3) Elite Plan
This Elite plan starts with the cost of $125/ month with multiple benefits in it plus an extra charge of $10 per additional employee.
How to Fix Payroll Errors in QuickBooks?
While using the payroll features in QuickBooks or managing the payroll system , you may face some problems while updating the QuickBooks tax table, QB payrolls, and pay employees.
The most common errors are:
- PSO77
- PS107
- PSO32
- Error 15240
- PS058
They may be tricky but can be solved with accurate solutions.
Here are the steps required to troubleshoot some of these common errors.
1. Run a repair on QuickBooks
- Click on the start tab and select the Control Pane l
- Now double click Add or Remove Programs
- Select the required Program
- Click Change/Remove
- Go to the QuickBooks repair window and select Repair
- Click Finish
2. Uninstall and reinstall QuickBooks
- Press the Microsoft Windows start button and select the Control Panel .
- Manually Delete these QuickBooks installation folders.
- C:\Program files\ Intuit
- C:\Program files\ Common Files\ Intuit
- C:\Documents and Settings\ All Users\ Application Data\ Intuit
- C:\Documents and Settings\ All Users\ Application Data\ Common Files\ Intuit
- C:\Documents and Settings\ All Users\Documents (Shared Documents) \ Intuit
You can easily fix these errors by following the above steps.
Bottom Line
Quickbooks Online users do not have to worry about finding another software provider for their payroll payment processing needs . Now, it can be easy to set up payrolls in QuickBooks online. Along with this, you will get access to full-service pay processing solutions.
If you are satisfied with the software and want to purchase it from the best solution provider, feel free to contact us. We are an Intuit authorized QuickBooks Solutions Provider and are dedicated to selling genuine Intuit products. You can also avail the expert consultations on which Intuit versions fit best your business needs, and with our QuickBooks Payroll support , application setup support, and round-the-clock technical support, we serve our clients with the highest quality standards.
Frequently Asked Questions (FAQs)
1. Do I need to update QuickBooks Payroll every year?
If you have a payroll module, it is essential to update it at least every three years.
2. How to enter Payroll in QuickBooks without Subscription?
- To enter payroll in QB without subscription, type manual payroll , and click enter .
- Select Calculate payroll manually (this is especially for the ones without a subscription to QuickBooks Payroll).
- Go to Set your company file and use the manual payroll calculations.
- Click the payroll calculations link.
3. What is QuickBooks Payroll Support Number?
QuickBooks payroll support number is 800-901-0729. You can contact the support team from Monday to Friday from 6 am-6 pm PST.
4. Is QuickBooks Payroll easy?
Yes, it is easy to work with and you can learn it easily. Also, you can update your accounting data and payroll updates in real-time. Added to this, you can easily share real-time payroll and accounting information by using QB payroll. QB Payroll allows better calculations, managing checks, file documents, and taxes.
How to Set Up Payroll in Quickbooks Online
Source: https://www.thesagenext.com/blog/what-is-quickbooks-payroll/