Employee Was Paid Wrong Amount

Let's solve this by adjusting the mistaken payment to the right amount for your employee's wages, ndn2. I will provide you with a precise solution.

If the payout has not yet processed, you can delete or void the existing paycheck and issue a new one.

On the other hand, if the payment has already processed, you can create a deduction item for the employee to counterbalance the overpayment in their next paycheck.

To accomplish this, follow these steps:

1. Navigate to Lists, then select Payroll Item List.
2. Click on the Payroll Item button, then choose New.
3. Choose Custom Setup, then click Next.
4. Select Deduction, then click Next.
5. Enter a recognizable name for the payroll item, then click Next.
6. In the Liability account field, input the same expense account used for the original compensation item where the overpayment occurred. Click Next.
7. Choose a tax-tracking type of Compensation. Click Next twice.

Note: Choose Compensation to correct the year-to-date taxes that are inaccurately withheld due to the overpayment.   

     8. Click Calculate this item based on Quantity if the employee paid hourly, or select Neither if the payment was a salary item. Click Next, then Finish.

Additionally, here is an article that will assist you in running, printing, and customizing payroll reports: Run payroll reports.

Keep us posted if you need further assistance handling overpaid wages in QuickBooks. I'll get back to you. Take care, and have a good one!