Health insurance deduction & reimbursement

You've taken a great step by exploring how to set up health insurance deductions and reimbursements, Sister. I'll help make this process straightforward in QuickBooks Online (QBO).

To get started, let's create a health insurance deduction. Then, mirror this with a reimbursement item of the same amount. This will ensure that they offset each other and keep your finances balanced. Here's how:

1. Go to Payroll, then Employees.
2. Select your employee.
   
   

    

3. From Deduction & contribution, click Edit.
4. Hit + Add Deduction/contribution.
5. From the dropdown menu, click deduction/contribution and provide necessary information.
   
   

    

6. Select Pre-tax insurance premium or Taxable insurance premium.
7. When finished, select Save, then Done.
   
   

Here's how to create a reimbursement item for your employee:

1. Go to Payroll, then Employees.
2. Select your employee.
3. From Pay types, click Edit.
   
   

    

4. Scroll to the Additional pay types section and select Reimbursement.
5. When you’re finished, hit Save.
   
   
   
   

If you're uncertain about which deduction types to select, it's advisable to consult with your accountant or consider utilizing QuickBooks Live Expert Assisted services. Our knowledgeable professionals simplify financial management and offer personalized advice to keep your records accurate.

To help track where your business stands in terms of employee and payroll expenses, check out this article: Run payroll reports.

We're here to ensure your payroll setup is accurate and stress-free. Let us know if you need further clarification. I'd be more than willing to lend you a hand.