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jxt3794
November 1, 2018
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Employee Reimbursement via Direct Deposit

  • November 1, 2018
  • 6 replies
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Hi,

New to Quickbooks. Does anybody know how to reimburse an employee through Direct Deposit? Not a check. Thanks for any guidance! 

Best answer by MorganB

Hello there, jxt3794.

 

Welcome to the QuickBooks family! Thanks for reaching out for support here in the Community. I'd be glad to show you how to reimburse an employee via direct deposit. This can be done in just a few steps.

 

Here's how:

 

1. From the home screen, click Workers in the left navigation bar.

2. Make sure Employees is selected at the top of the page.

3. Choose the employee that needs to be reimbursed from the list.

4. Select the small pencil icon beside of Pay.

5. In the third section, click the blue link labeled Add additional pay types.

6. Place a check in the box for Reimbursement.

7. Click Done.

8. Click Done once more to exit the employee's profile.

 

When you're ready to pay your employee:

 

1. Click Run payroll in the top right corner of the employee page.

2. There will now be a Reimbursement column and field for the specific employee. This is where you'll enter the amount.

3. If you have additional employees, you can uncheck the boxes to the left of their names so only the person to receive the payment is selected.

4. Click Preview payroll > Submit payroll > and lastly, Finish payroll.

 

This article offers a brief overview of pay types in QuickBooks Online: https://community.intuit.com/articles/1430623-pay-types-overview.

 

This info will get you set up to reimburse your employee via direct deposit. Feel free to reach out to me if you have questions about these steps or anything else in QuickBooks. Take care.

 

 

 

6 replies

MorganB
MorganBAnswer
November 1, 2018

Hello there, jxt3794.

 

Welcome to the QuickBooks family! Thanks for reaching out for support here in the Community. I'd be glad to show you how to reimburse an employee via direct deposit. This can be done in just a few steps.

 

Here's how:

 

1. From the home screen, click Workers in the left navigation bar.

2. Make sure Employees is selected at the top of the page.

3. Choose the employee that needs to be reimbursed from the list.

4. Select the small pencil icon beside of Pay.

5. In the third section, click the blue link labeled Add additional pay types.

6. Place a check in the box for Reimbursement.

7. Click Done.

8. Click Done once more to exit the employee's profile.

 

When you're ready to pay your employee:

 

1. Click Run payroll in the top right corner of the employee page.

2. There will now be a Reimbursement column and field for the specific employee. This is where you'll enter the amount.

3. If you have additional employees, you can uncheck the boxes to the left of their names so only the person to receive the payment is selected.

4. Click Preview payroll > Submit payroll > and lastly, Finish payroll.

 

This article offers a brief overview of pay types in QuickBooks Online: https://community.intuit.com/articles/1430623-pay-types-overview.

 

This info will get you set up to reimburse your employee via direct deposit. Feel free to reach out to me if you have questions about these steps or anything else in QuickBooks. Take care.

 

 

 

    J
    jxt3794Author
    November 1, 2018

    THANK YOU!!! I was on the phone with support for 30 mins and they had no idea. I appreciate the step by step!!

    MorganB
    MorganB
    November 1, 2018

    You're very welcome. Glad I was able to help!

    R
    Rasa-LilaM
    December 21, 2018

    Good day, michelle-mangen.


    Welcome to the Online Community. I’d be glad to help run a reimbursement without showing the actual salary/wages.


    When creating a reimbursement for your employee, you have to manually adjust the salary amount, so it won’t show in the paycheck. I’ll walk you through the steps:

     

    1. Go to Workers on the left panel.
    2. Select Employees, and choose the employee you’re working on.
    3. Click on the Run payroll tab, then select the pay schedule and choose Continue.
    4. In the Run Payroll page, click the employee's salary amount to open the salary calculator.
    5. Select Skip salary this time only, and click on Apply.
    6. Enter the amount in the Reimbursement column.
    7. Choose Preview payroll.
    8. Click on the Submit payroll button, and choose Finish payroll.


    I added a link with detailed information on how to edit salary amount on a paycheck.


    That’s it. The resolution steps will help you create a paycheck that only shows the reimbursement amount.


    Don’t hesitate to reach out back to me if you have questions about payroll. I’m always ready to lend a helping hand. Enjoy your day.

     

      M
      michelle-mangen
      December 25, 2018

      Thanks so much!

      AlcaeusF
      AlcaeusF
      December 25, 2018

      Hello again, michelle-mangen.

       

      I appreciate you for letting us know that the steps provided by my colleague @Rasa-LilaM works. In case you need assistance or if you have additional questions with using the QuickBooks product, let me know. Our team is always around for you.

       

      Thanks for coming to the Community, I'll keep an eye out for your response. 

      A
      Anonymous
      January 8, 2019

      Hi there, @Niki Rebel.

       

      Thanks for joining on this thread. Allow me to help reimburse your employee through Direct Deposit in QuickBooks Desktop. 

       

      You can add this reimbursement on your next Direct Deposit payroll schedule by adding an item for reimbursement. Let me show you how:

       

      1. Go to the Start Scheduled Payroll tab.
      2. Locate and check the employee, then click Open Paycheck Detail tab.
      3. Click the drop-down arrow for the Item Name under Other Payroll Items.
      4. Select Add New.
      5. Select Addition as the type for this payroll item and click Next.
      6. Enter the name for this item and click Next.
      7. Click Next again and select Non-taxable for the Tax tracking type.
      8.  Click Next twice, then Finish.
      9. Once done, enter the reimbursement amount on the Rate column.

      This will get you on the right track. As always, you can contact our Desktop Payroll Support if you need assistance in going through the steps.

       

      Let me know if you have other questions about reimbursing your employee through Direct Deposit. Hoping this response finds you with a smile. 

      M
      marysturgeon
      March 27, 2019

      Hi there,

       

      I'm answering the question regarding how to handle the proper expense accounts when the payroll entry will record the item as Reimbursements.

       

      I just use a journal entry for this. When I get the receipt from the employee, I create a new journal entry. On the first line of the entry, I credit the Reimbursements account for the amount of the receipt. One the second line, I debit the proper expense account (for example, Parking). In attachments, I attach a scan of the receipt. Then I'm done until payday.

       

      On payday, I pull up a QuickReport of the Reimbursements account, in order to see what reimbursements I owe. On the employee's paycheck, I enter the amount to be reimbursed (just as described in the answer that's already listed.)

       

      Now, if you pull up a report of the Reimbursements account, you'll see negative amounts for the journal entries and positive amounts for the paycheck reimbursements, so that after payroll you should have a zero total in the Reimbursements Account, telling you that you're all paid up.

       

      Hopefully this was clear enough to be of help - it took me a while to figure it out, but I've been doing it this way for a couple of years now and it works great!

        K
        KAP2
        April 23, 2019

        I've reimbursed employees on their payroll for their expense reports using the Additional Pay "Expense Reimbursements".  How do I then note in QBonline that the expense reports have been paid?  I assume I use "Mark for Payment" but how do I note that it was already paid through payroll? Thanks.

        A
        Anonymous
        April 23, 2019

        Thanks for joining the conversation, @KAP2,

         

        I appreciate you taking the time writing to us about your payroll concern. I can share some insights about adding a description for paid expense reports.

         

        Cash basis transactions like checks or expenses are considered paid once they are created. We're currently unable to add a Paid mark to identify that it has been paid through your employees paycheck. As a workaround, you can use the Memo field of the expense to add the description. To do that, follow the steps below:

        1. Open the paycheck (Workers>Paycheck List) or the expense.
        2. Scroll down and go to the Memo field.
        3. Add the reminder or description you want to add.
        4. Click OK or Save and close.

        That should get you pointed in the right direction. Please feel free to mention me anytime if you need further help with QuickBooks. Have a great day!

        M
        maven1129
        September 7, 2020

        This method doesn't work for Auto-Payroll in QBO.  There is no way to add the expense line item since there are not any Scheduled Pay Runs available to add the line item too.  Assuming I already have the expense captured, I just need to know how to add the expense reimbursement to the employee's paycheck. How do we add a one-time reimbursement expense to an employee Pay Run if we are using Auto Payroll?

        MJoy_D
        MJoy_D
        September 7, 2020

        I can provide some information about adding an expense using auto payroll, maven1129.

         

        You may need to pause Auto Payroll for a period and pay your employee manually to add an expense reimbursement. 

         

        Here's how:

        1. Click on Run Payroll and choose to Run payroll manually
        2. Set the date, pay schedule, and edit any pay items for this payroll to add this expense reimbursement. 
        3. Choose Preview and then Submit.

        You can check this article for more information on how to set up and run your payroll: Turn on and manage your Auto Payroll.

         

        Let me know if there's anything that you need in the reply section below. Keep safe and have a wonderful day!

        S
        ShulyM
        June 1, 2021

        we use QuickBooks desktop - can I reimburse an employee for an expense (non-payroll transaction)?

        do I enter a check (from Banking icon then 'Write Checks') and select the employee and code to an expense account? I would like to be able to process the reimbursement via the direct deposit bank account already in our system for payroll.

        Please help - many thanks.

        R
        Rasa-LilaM
        June 1, 2021

        Thanks for joining this thread, ShulyM.


        In QuickBooks Desktop Payroll, we use a non-taxable addition payroll item to track the employee’s reimbursement. I’ll help and make sure the process is a breeze for you.


        To add the payroll item:   

        1. Go to the Lists menu at the top to choose the Payroll Item List.
        2. Scroll down to the bottom of the page and click the Payroll Item button to select New.
        3. Tick the radio button for Custom Setup and hit Next.
        4. In the Payroll item type screen, choose the Addition (Employee Loan, Mileage Reimbursement) and tap Next.
        5. Type a name for the payroll item in the Enter name for addition box and press the Next button.
        6. Pick the expense account to the non-payroll transaction and then hit Next.
        7. Set the Tax Tracking type to None so that the amounts don't report on tax forms and tap the Next option.
        8. For amounts paid per mile/kilometer, tick the radio button for Calculate this item based on quantity and click Next.
        9. In the Select whether to calculate on section, choose the net pay option and Next.
        10. In the Default rate and limit screen, fill in the field boxes with the correction and hit Finish.

         

        Now that we’ve added the reimbursement pay type, link the item to your worker’s profile. For detailed instructions, go to the Add the item to the employee's record section in this article: Create a non-taxable reimbursement payroll item.


        When you create paychecks, the addition item will appear in the Other Payroll Items area of the Preview Paycheck screen.


        Do you need assistance performing any payroll tasks in QBDT? No worries, here’s a link that lists all our self-help articles. They’re grouped by topics so you can view each one seamlessly: QBDT payroll.


        Stay in touch if you have additional questions or other concerns. I’ll get back and answer them for you. Enjoy the rest of the day.

        S
        ShulyM
        June 1, 2021

        Appreciate the detailed reply.

        At times we do those reimbursements with our payroll runs. 

        Is there a way we are able to only run reimbursements via direct deposit? 

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