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February 28, 2024
Question

I have added a simple IRA deduction to an employee. The math of 3% gross is incorrect. How do i fix this? their gross is $700 and should be $21 but its deducting $1.47.

  • February 28, 2024
  • 1 reply
  • 0 views
Their gross changes every check this is just an example.

1 reply

February 28, 2024

Warm greetings, charlene. Let me shed some light on how the Simple IRA is calculated in QuickBooks Online Payroll and ensure that the gross will be fixed. 

 

Please know that Simple IRAs are calculated on the gross wages minus any pre-tax deduction. If you've set up pre-tax deductions, QuickBooks will calculate first the pre-tax insurances or deductions. 

 

If you haven't set up any pre-tax deduction and ensure that Simple IRA's percentage is 3%, but the gross is still calculated inaccurately, I recommend contacting our payroll expert. They have the necessary tools to pull up your account securely. That way, they will know what's causing the issue. 

 

Here's how to reach our payroll support:

 

  1. In your QuickBooks Online account, go to the Help menu.
  2. Hover to the Search tab, then click Contact Us.
  3. Type in a short description of your issue and concern in the box provided.
  4. Click Continue.
  5. Select the Chat or Callback option.

 

Moreover, you can also add multiple hourly rates/wages, bonuses, commissions, overtime, and fringe benefits items to pay them on top of your employee's regular salary or hourly rate. Refer to this article to learn how to set this up: Add or change pay types

 

For future reference, you can run a payroll report to get a detailed summary of your company's payroll expenses, including employee salaries, bonuses, taxes, and other related costs. 

 

You can return here anytime you need help regarding paychecks and payroll deductions. Enter your queries by clicking the reply button below, and I'll provide the necessary assistance.