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October 16, 2024
Question

I need to put a bonus check into a simple ira account and this stupid program will not let me put the check amount into the ira account line why not? I hate this program

  • October 16, 2024
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1 reply

October 16, 2024

Adding a bonus check to a Simple IRA account is unavailable, Patty. You'll have to process it outside the program.

 

However, we can create a zero net paycheck if an employee wants to withhold an entire paycheck and put it toward retirement.

 

Here are three reasons for creating a paycheck with a net pay amount of zero:

 

  • Contribute an entire paycheck to a retirement plan.
  • Designate the whole paycheck for income tax.
  • Document a gift given to an employee, such as cash or a gift card.

 

First, add another earnings pay type to the employee's profile. I can guide you on how:

 

  1. Go to the Payroll menu and select Employees.
  2. Choose your employee.
  3. Select Edit in the Pay types column.
  4. Click the pay types you want to add or edit:
    • Pay type - for hourly, salary, or commission only. If your employee has multiple hourly rates, select Hourly 2 or Another hourly pay type. You can rename these hourly pay types.
    • Common pay types - for overtime, holiday pay, bonus, or commission. 
    • Time off pay policies - for paid time off like sick or vacation. Check out Set up and track time off in payroll to set up or change policies.
    • Additional pay types - for other pay types like tips, reimbursement, allowances, or fringe benefits. 
  5. Set the amount to 0 or leave the $ field blank.
  6. Rename it as Taxable offset. Or create your name.
  7. Hit Save.

 

After that, set up a retirement plan for deductions. Then, set the amount to zero. You can also use the gross-up formula to determine the gross pay amount.

 

Once done, you can follow step number 4 to finish the process under the Put an entire paycheck toward retirement. See this link for the procedure: Create a zero net paycheck.

 

Moreover, you can track your employees' commissions in QBO by running payroll reports.


The Community is open 24/7, so you're never alone in your journey to effectively manage bonus checks in QuickBooks. I want to ensure everything is good for you.