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July 13, 2021
Question

When processing a paycheck, why do I get the following message: "Either the Accrued Expenses account, or its parent account, is an inappropriate account type" ?

  • July 13, 2021
  • 1 reply
  • 0 views
Also, it says: "Please check the account types in your company's Chart of Accounts."

1 reply

July 13, 2021

I can share a few details on why you get this message, @donald-johnston1.

 

The account that was assigned may have an incorrect account type. You can follow these steps to check it:

 

  1. Click the Accounting tab.
  2. Use the search box to look for the account in question. 

 

Once done, I suggest checking the expense accounts assigned on your Accounting Preferences page.

 

  1. Go to the Gear icon. 
  2. Select Payroll settings
  3. Click the Preferences link on top.
  4. Tap the Accounting Preferences link.
  5. On the following account sections, ensure that the accounts are correct.

 

You can check this handy article for more details about assigning accounts where you automatically record your payroll liabilities and expenses when running payroll: Set up Payroll account preferences.

 

I've added this article if you're still new with QuickBooks Online Payroll: Get started with Payroll. It covers how you can create paychecks, as well as pay and file federal and state taxes.

 

Feel free to tag me (@Jovychris_A) in your comment below if you have other concerns about accounts assigned in your payroll preferences. I'll come to help. Have a great week, and stay safe!