Can anyone tell me the Journal entry to expense payroll, taxes and benefits w/o liabilities? I pay everything on the date of payroll run. Payroll Summary for 01/06/2023 Pay Date 1/6/2023Gross Wages $ 27,803.451/6/2023Child Support Payment $ 615.181/6/2023FITW -EE $ 2,339.781/6/2023FICA -ER $ 2,034.231/6/2023FICA -EE $ 2,034.231/6/2023FUTA-ER $ 159.551/6/2023SITW- EE $ 1,124.721/6/2023SUI - ER $ 553.101/6/2023Net wages to be paid $ 20,477.331/6/2023Payroll Fees $ 117.70 Bank Transfers 1/6/2023Payroll Bill Payment to Processing Company $ 117.701/6/2023Net Payroll direct deposit $ 20,477.331/6/2023Payroll Taxes Paid $ 8,245.631/6/2023Child Support check paid $ 615.18

@DaveQuinn The numbers don't seem to add up properly IMO. Your net payroll ($20,477.33) should be your gross wages ($27,803.45) less the employee withholding for FIT ($2,339.78), FICA ($2,034.23), SIT ($1,124.72), and child support ($615.18). That comes out to $21,689.54 - a difference of $1,212.21 from the net payroll amount listed in your post of $20,477.33. Therefore, the journal entry is off by $1,212.21 ($1,212.19 due to rounding presumably): Gross Wages$27,803.45 FICA - Employer$2,034.23 FUTA - Employer$159.55 SUI - Employer$553.10 Payroll Processing Fees$117.70 Cash (Processing Fees Payment) $117.70 Cash (Payroll Tax Payment) $8,245.63 Cash (Child Support Payment) $615.18 Cash (Net Payroll DD) $20,477.33 $30,668.03$29,455.84 ($1,212.19) Net payroll would need to be $21,689.52 to get this to balance. IMO, there's $1,212.19 missing somewhere.

Good day, Dave. Joining you here to offer my help and guide you record the payroll transactions in QuickBooks. I can also see from your previous posts that you are using the Desktop version. Before you make a journal entry, create separate accounts for payroll wages and taxes. Please note that you may also need to create additional accounts for taxes specific to your state or locality. Let me share these steps with you: Go to the Lists menu then select Chart of Accounts.Click New in the Account ▼dropdown.Choose an account type then select Continue.Fill in the necessary details then click on Save & Close. Once everything is set up and ready, follow these steps on how to record the journal entry: Go to the Company menu and select Make General Journal Entries.Fill out the fields to create your journal entry. Proceed to the Account column and record them using them using these entries: For wages Select Payroll Expenses: Wages for the account.Enter the amount as a debit. Employer payroll taxes Select Payroll Expenses: Taxes for the account.Enter the amount as a debit Tax payments Select Payroll Liabilities: Federal Taxes (941/944) for the account.Enter the amount as a credit. Net wages Select the checking account you're paying your employees from.Instead of combining them, enter each individual paycheck on separate lines. Enter the amounts as credits Additional details and a sample journal entry are also provided in this article for QBO, which uses the same concept: Manually Enter Payroll Paychecks in QuickBooks Online.However, I would still recommend reaching out to your accountant for additional advice on this matter. Allow me to give you these articles as well for additional information when recording journal entries in QuickBooks Desktop: Debit vs. Credit AccountingView the Transaction Journal Report in QuickBooks Desktop The Community is always here if you need anything else.

D

DaveQuinn

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Payroll Journal Entry

Forum|Forum|3 years ago
July 3, 2023
2 replies
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Can anyone tell me the Journal entry to expense payroll, taxes and benefits w/o liabilities? I pay everything on the date of payroll run.

	Payroll Summary for 01/06/2023 Pay Date

1/6/2023	Gross Wages	$ 27,803.45
1/6/2023	Child Support Payment	$ 615.18
1/6/2023	FITW -EE	$ 2,339.78
1/6/2023	FICA -ER	$ 2,034.23
1/6/2023	FICA -EE	$ 2,034.23
1/6/2023	FUTA-ER	$ 159.55
1/6/2023	SITW- EE	$ 1,124.72
1/6/2023	SUI - ER	$ 553.10
1/6/2023	Net wages to be paid	$ 20,477.33
1/6/2023	Payroll Fees	$ 117.70

	Bank Transfers

1/6/2023	Payroll Bill Payment to Processing Company	$ 117.70
1/6/2023	Net Payroll direct deposit	$ 20,477.33
1/6/2023	Payroll Taxes Paid	$ 8,245.63
1/6/2023	Child Support check paid	$ 615.18

Best answer by Rainflurry

@DaveQuinn

The numbers don't seem to add up properly IMO. Your net payroll ($20,477.33) should be your gross wages ($27,803.45) less the employee withholding for FIT ($2,339.78), FICA ($2,034.23), SIT ($1,124.72), and child support ($615.18). That comes out to $21,689.54 - a difference of $1,212.21 from the net payroll amount listed in your post of $20,477.33. Therefore, the journal entry is off by $1,212.21 ($1,212.19 due to rounding presumably):

Gross Wages	$27,803.45
FICA - Employer	$2,034.23
FUTA - Employer	$159.55
SUI - Employer	$553.10
Payroll Processing Fees	$117.70
Cash (Processing Fees Payment)		$117.70
Cash (Payroll Tax Payment)		$8,245.63
Cash (Child Support Payment)		$615.18
Cash (Net Payroll DD)		$20,477.33
	$30,668.03	$29,455.84
		($1,212.19)

Net payroll would need to be $21,689.52 to get this to balance. IMO, there's $1,212.19 missing somewhere.

JenoP

Good day, Dave.

Joining you here to offer my help and guide you record the payroll transactions in QuickBooks. I can also see from your previous posts that you are using the Desktop version.

Before you make a journal entry, create separate accounts for payroll wages and taxes. Please note that you may also need to create additional accounts for taxes specific to your state or locality.

Let me share these steps with you:

Go to the Lists menu then select Chart of Accounts.
Click New in the Account ▼dropdown.
Choose an account type then select Continue.
Fill in the necessary details then click on Save & Close.

Once everything is set up and ready, follow these steps on how to record the journal entry:

Go to the Company menu and select Make General Journal Entries.
Fill out the fields to create your journal entry.
Proceed to the Account column and record them using them using these entries:

For wages

Select Payroll Expenses: Wages for the account.
Enter the amount as a debit.

Employer payroll taxes

Select Payroll Expenses: Taxes for the account.
Enter the amount as a debit

Tax payments

Select Payroll Liabilities: Federal Taxes (941/944) for the account.
Enter the amount as a credit.

Net wages

Select the checking account you're paying your employees from.
Instead of combining them, enter each individual paycheck on separate lines. Enter the amounts as credits

Additional details and a sample journal entry are also provided in this article for QBO, which uses the same concept: Manually Enter Payroll Paychecks in QuickBooks Online.

However, I would still recommend reaching out to your accountant for additional advice on this matter.

Allow me to give you these articles as well for additional information when recording journal entries in QuickBooks Desktop:

The Community is always here if you need anything else.

RainflurryAnswer

@DaveQuinn

The numbers don't seem to add up properly IMO. Your net payroll ($20,477.33) should be your gross wages ($27,803.45) less the employee withholding for FIT ($2,339.78), FICA ($2,034.23), SIT ($1,124.72), and child support ($615.18). That comes out to $21,689.54 - a difference of $1,212.21 from the net payroll amount listed in your post of $20,477.33. Therefore, the journal entry is off by $1,212.21 ($1,212.19 due to rounding presumably):

Gross Wages	$27,803.45
FICA - Employer	$2,034.23
FUTA - Employer	$159.55
SUI - Employer	$553.10
Payroll Processing Fees	$117.70
Cash (Processing Fees Payment)		$117.70
Cash (Payroll Tax Payment)		$8,245.63
Cash (Child Support Payment)		$615.18
Cash (Net Payroll DD)		$20,477.33
	$30,668.03	$29,455.84
		($1,212.19)

Net payroll would need to be $21,689.52 to get this to balance. IMO, there's $1,212.19 missing somewhere.

D

DaveQuinnAuthor

Thank You for your valuable insight Rainflurry. The $1212.19 are the medical deductions for employees.

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