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powerboard-deb
January 23, 2019
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Monthly Stipen

  • January 23, 2019
  • 2 replies
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Our company pays employees who do not have insurance a set amount each month to help cover premium fees. They will find the insurance on their own and we will just write a check to them. How do I do this in Quickbooks Pro?  The only thing I could find is maybe printing an unscheduled paycheck each month.

Best answer by HoneyLynn_G

Great day, @powerboard-deb.

 

Thank you for visiting us today. I can help you add a payroll insurance item on your employee setup.

 

You have the option to assign an additional item for the insurance of your employees. Here's how:

  1. Click Employees.
  2. Choose Employee Center.
  3. Double-click the employee name.
  4. Select the Payroll Info tab.
  5. Go to the Additions, Deductions and Company Contributions section.
  6. Create an additional item for the insurance and enter the amount.
  7. Click OK to save changes.

 

The insurance item is automatically added on the paycheck of your employee. You also have the option to adjust the rate or amount.

 

That should help you enter and record the insurance of your employees, powerboard-deb. For additional insights about setting up employees, you can refer to this article: Set up an employee in QuickBooks Desktop Payroll.

 

I'm still here to help you more if you have other payroll questions. Just leave me a comment below. Wishing you continued success!

2 replies

HoneyLynn_G
HoneyLynn_GAnswer
January 23, 2019

Great day, @powerboard-deb.

 

Thank you for visiting us today. I can help you add a payroll insurance item on your employee setup.

 

You have the option to assign an additional item for the insurance of your employees. Here's how:

  1. Click Employees.
  2. Choose Employee Center.
  3. Double-click the employee name.
  4. Select the Payroll Info tab.
  5. Go to the Additions, Deductions and Company Contributions section.
  6. Create an additional item for the insurance and enter the amount.
  7. Click OK to save changes.

 

The insurance item is automatically added on the paycheck of your employee. You also have the option to adjust the rate or amount.

 

That should help you enter and record the insurance of your employees, powerboard-deb. For additional insights about setting up employees, you can refer to this article: Set up an employee in QuickBooks Desktop Payroll.

 

I'm still here to help you more if you have other payroll questions. Just leave me a comment below. Wishing you continued success!

    P
    powerboard-debAuthor
    January 23, 2019

    Great. That helped alot. One more question.

    Payroll is every two weeks but the insurance stipen is monthly, by adding here will it take it out every payday or just once a month?

      HoneyLynn_G
      HoneyLynn_G
      January 23, 2019

      Hello again, powerboard-deb.

       

      I appreciate you coming back to us for additional support. Allow me to share some more information about the insurance item.

       

      You can decide whether you'll take it by the first or second payday. Then, just zero it out on the other payday period. This guarantees that it's only added once a month.

       

      That's it. Let me know if there's anything else I can help you today. I'd be around to assist you more. Have a good one!

        J
        Jeannieat
        January 4, 2023

         

         

        R
        Rea_M
        January 4, 2023

        Hello there, @Jeannieat.

         

        Yes, you'll have to set up the stipend for your employees so you can keep your financial data accurate and updated in QuickBooks Desktop (QBDT) Payroll. Let me share some insights about this, and guide you on how to record one accordingly.

         

        When a stipend is a non-taxable payment, you'll have to record it as reimbursement to your employee. This type of payment doesn’t appear on any of your payroll tax forms. For the complete guidelines, please check the Employee business expense reimbursements section of IRS Publication 15, Circular E — Employer's Tax Guide.

         

        You can start the setup process by creating a reimbursement item. Here's how:

         

        1. Go to Employees, and select Manage Payroll Items.
        2. Select New Payroll Item.
        3. Choose Custom Setup, then select Next.
        4. Select Addition, then select Next.
        5. Enter the name of the Reimbursement item. Select Next.
        6. Select an expense account for tracking this item.
        7. Set the Tax Tracking type to None. Then select Next.
        8. Under Taxes, none should be selected. Select Next.
        9. For amounts paid per mile/kilometer, select the Based on Quantity checkbox. Then select Next.
        10. Choose to calculate on Net Pay and select Next. Then, enter a Default Rate, then select Finish.

         

        Once you're done, add the reimbursement item to your employee’s record. Then, run payroll with the reimbursement amount. 

         

        You can see this article for the step-by-step guide: Reimburse your employee.

         

        Also, a variety of payroll and employee reports can help you manage payroll and keep track of employee expenses in QBDT. You may want to check out this article as your reference to guide you in customizing them to get the data you need: Customize payroll and employee reports.

         

        Please feel free to leave a comment below if you have other payroll concerns or questions about managing employee transactions in QBDT Payroll. I'm always ready to help. Take care, @Jeannieat.

        J
        Jeannieat
        January 11, 2023

        Hi,

        Thank you for this answer, however, the company decided not to make the stipend non-taxable after all.  Would I just set it up as a new Payroll Item as a bonus so it doesn't affect PTO but it will be taxed?

         

        I have another question.

        We discovered that Holiday Pay is being taken out of PTO.  So my work around is to go into each employee, add the 8 hours for the holiday pay to their available PTO, then create a separate pay check, mark the do not accrue box. We also discovered that when we are paying PTO hours on the regular pay check, the PTO hours are being added AND subtracted from the PTO available hours. So on the check with Holiday Pay, I also add the PPTO.

         

        Could I set up the Holiday Pay as an additional item, have it taxed but not have it affect PTO? 

        Thanks for your help!!

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