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Deadwood Al
February 23, 2024
Question

Periodic Commission payment

  • February 23, 2024
  • 1 reply
  • 0 views

Enhanced Payroll:

We pay a commission on certain paid activity that is paid twice a year: when it is paid in payroll, it is taxed as if that amount is paid each payroll. Looking for suggestions on how to pay that and have it taxed as if is paid once every 6 months instead of every two weeks. Would that require a separate payroll or is there a way to do that in a regular payroll processing? 

 

Thanks in advance for any comments, suggestions, etc.

1 reply

F
FateCandylaneT
February 23, 2024

It's great to have you join this forum, Deadwood Al. Let me provide information to help you handle commissions for employees when running payroll.

 

Yes, you can pay employees commission on a regular payroll processing. Applying for these commission payments on regular pay will calculate the same taxes when filing. You may exclude the commission amount on the paycheck created when running a regular payroll of every two weeks.

 

 

In addition to that, you may consider reaching out to your tax advisor to seek additional guidance in managing this process.

 

Moreover, you may want to utilize this reference when filing and paying federal taxes electronically: E-file and e-pay federal forms and taxes in QuickBooks Desktop Payroll Enhanced.

 

I'll keep this thread available for any additional queries when paying employee commissions in your account. Just let me know below, so I can get you covered. Stay safe and have a great one!

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