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galaxy2jake
February 24, 2024
Question

Direct Deposit Liability Glitch?

  • February 24, 2024
  • 1 reply
  • 0 views

Hello,

 

I’m in the process of doing my 2023 taxes and discovered what I believe to be a glitch in my direct deposit liability account. 

I am the only employee in my business, and I pay myself a salary. I pay myself no 401k contributions or commissions - just payroll and payroll taxes. 

I noticed while reviewing my balance sheet for 2023 that I had about $1400 in my direct deposit liability account. 

Upon further review, I had 4 paychecks in 2023 where the direct deposit amount didn’t match the direct deposit liability - causing additional liabilities sitting on the balance sheet. 

The thing is - I’ve checked my tax forms and p&l and my salary amount is correct. The overage in the direct deposit liability account shows up no where else except on the balance sheet. Even the paycheck stubs show the correct amount. 

Interestingly, the overage amount is equal to the net pay plus all the other paycheck amounts, when it should just be the net pay amount that hits the liability account. 

I believe this may be a software glitch. Is anyone able to help me track this down?

 

Jacob

1 reply

A
AnneMariee
February 24, 2024

Hi there, galaxy2jake.

 

I'm here to help you investigate the reason for the additional liabilities on your balance sheet.

 

It's possible that your payroll set up may be causing the issue. You can click on the affected amount in the balance sheet to see the associated transactions. If the account to the transactions was mapped incorrectly, you can follow these steps to correct how your accounts are mapped on the payroll settings page:

 

  1. Click the Gear icon.
  2. Select Payroll settings under Your company.
  3. Scroll down to the Accounting section. Then, click the pencil icon to open the Accounting preferences page.

 

If you've already verified that everything is set up correctly, we can perform some troubleshooting steps to isolate browser issues as the root cause of the problem.

 

To troubleshoot, let's log in to your QBO account using a private browser by pressing the following shortcut keys:

 

  • Google Chrome: Ctrl + Shift + N
  • Mozilla Firefox: Ctrl + Shift + P
  • Safari: Command + Option + P

 

Once logged in, please run a Balance Sheet report to double-check if you still encounter the overage amount. If this works, I recommend clearing the browser's cache so the system can start fresh. If you get the same result while using a private browser, I suggest switching to a different one.

 

I'm adding this article to help you manage your payroll accounting settings and map your payroll transactions: Change your accounting preferences in QuickBooks Online Payroll.

 

In case you need to change your payroll bank account, you can refer to this article for guidance: Change your payroll bank account.

 

Please let me know if you have any additional concerns about QuickBooks Payroll. I'll be around to ensure you're taken care of.

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