How to reduce paycheck wages for an employee who has been overpaid?

Thanks for posting here in the Community space, David. Let me help you reduce the paycheck wages for overpaid employees in QuickBooks Online (QBO).

Upon reviewing your post, correcting your employee's wage paycheck is essential for you. If the payout has not been processed yet, you can delete or void the created paycheck and recreate it. However, if the payout has already been processed, you can establish a deduction item for the employee to offset the overpayment in the next paycheck. To set up the deduction item, follow the steps below:

1. In Payroll, click Employees.
2. Choose your employee.
3. Click Start or Edit from Deductions & contributions.
4. Select Edit to the deduction you want to modify.
5. Edit the information if needed.
6. If done, hit Save, then Done.

On the other hand, you can see this article to guide you with having a history of your payments to your employees inside QBO: Add pay history to QuickBooks Online Payroll.

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