401K Contribution Recording

Hi there, @countylineelectricme.

If you use QuickBooks for accounting and another service for payroll, you must still record those payments in QuickBooks. Paychecks generated outside of QuickBooks using services such as ADP or Paychex are referred to as third-party paychecks.

You'll need to create manual tracking accounts, you may follow the steps provided in creating new accounts in you Chart of Accounts to record your payroll liabilities and expenses.

Next,  make a journal entry after you pay your employees outside of QuickBooks.

1. Get your employees' payroll pay stubs or a payroll report from your payroll service.
2. Select + New.
3. Select Journal Entry.
4. Under the Journal date, enter the paycheck date.
5. If you want to track the paycheck number, enter it in the Journal no. field.

Create the journal entry using the information from your payroll report. If you paid more than one employee during the pay period, you can merge their paycheck totals into a single journal entry. If you need to separate the details, you can create separate journal entries for each employee. Check out this article for your reference: Manually enter payroll paychecks in QuickBooks Online.

Furthermore, creating a journal entry is the best way to match this 401k contribution to the employee. I suggest consulting your accountant as they can guide you on what proper account to use in this transaction.

In addition, I include this article for your additional reference: Set up a retirement plan in Online Payroll.

Let me know if you need anything else. I'll in this thread as soon as possible. Have a good day!