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August 4, 2022
Question

reversing a roth 401K contribution to a 401K contribution

  • August 4, 2022
  • 1 reply
  • 0 views

I erroneously deducted for a roth 401K on an employees paycheck, instead of for a 401K contribution.  How do I correct the paycheck after it's gone out? 

1 reply

Rose-A
August 4, 2022

Let me help you go over your 401K contribution and have it corrected, MRoger.

 

To correct the employees' paycheck, we can make liability adjustments in QuickBooks Desktop for this deduction.

 

Here's how:

 

  1. Click Employees at the top menu bar and choose Payroll Taxes and Liabilities.
  2. Tap Adjust Payroll Liabilities.
  3. Enter the Date and Effective Date.
  4. Under Adjustment is for, select Employee and the employee's name.
  5. Choose the 401K payroll item and enter the Amount. See the sample screenshot.
  6. Tick Accounts Affected and then OK.
  7. Hit OK.

 

To know more about how 401K contribution works in QuickBooks Desktop, we can refer to this article: Set up a payroll item for retirement benefits (401(K), Simple IRA, etc.). It contains details on what other retirement plans we can create.

 

Let me know if there's anything else you need aside from this, MRoger. I'd be happy to lend a helping hand.