Skip to main content
K
Kirsty79
May 12, 2020
Solved

Anyone know how to stop Pension contributions being taken from dividends? This should not be happening,I cannot see any way round it. Never took contributions in Desktop

  • May 12, 2020
  • 1 reply
  • 0 views
Original commenter did not share additional details
Best answer by emmam6

Thank you for reply

 

In the Applicable Pay Categories section Salary is already there and Pension isn't so I guess this still does not solve my problem. Dividends also not selected.


Hello Community users👋 Just popping in to add some help to this post. In the case that the pension default account as dividends it is a case of mapping the journals to resolve this. To do this we have included a link here. Feel free to add any comments or questions to this thread. 

1 reply

MaryLandT
MaryLandT
May 12, 2020

Hello there, Kirsty79,

 

Let's stop pension contribution by opting out this method on your employee's profile. To do so, the following step shown below will guide you through:

 

  1. Go to Workers from the left navigation bar, then Employees.
  2. Click the employee name.
  3. In the Profile section, click on the Pencil icon for Auto-enrollment.
  4. In the Enrolled in the pension section, select Opt Out, then enter the effective date.
  5. Click Done.

You can refer to this article to learn more about the process provided above: Auto Enrolment for workplace pensions in QuickBooks Online Payroll.

 

Also, to learn more about running payroll in QuickBooks, you can read through these articles:

 

Don't hesitate to post again if there's anything else you need concerning payroll. I always have your back.

 

Thank you and stay safe!

K
Kirsty79Author
May 12, 2020

This is not going to work as they are in the pension scheme and each month they get a salary which should have pensionable earnings coming off and dividend which shouldn't. Any  further ideas?

JasroV
JasroV
May 12, 2020

Thanks for the clarification, @Kirsty79.

 

You'll want to go to your payroll Settings and stop the Pension contributions being taken from dividends from there. Let me guide you how to do it in your QuickBooks Online (QBO) account.

  1. Go to the Employees menu.
  2. Select the Payroll Settings tab.
  3. Under Business Settings, select Pension Settings.
  4. Go to the Contribution Plans section and click the Name pension link.
  5. In the Applicable pay categories, exclude Pension and add Salary. 
  6. Click Save to save the changes.

Once done, recalculate the payroll of the employee to ensure the calculation is correct after making these changes. Here's how:

  1. Go to the Employees menu.
  2. Select the Pay Runs tab.
  3. Choose a pay period and click the date link.
  4. From the Actions tab, select the employee.
  5. Select Recalculate from the Actions menu.

Also, do check our QuickBooks Online Advanced Payroll Hub page for more insights in managing your employees's payroll accordingly.

 

Let me know if you have other concerns or questions. I'm always here to help you anytime. Have a wonderful day!

Terms & ConditionsAccessibility statement