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M
mgclark9
April 26, 2021
Question

I don't want to use Pension Thresholds but can't find where to disable them in QB Advanced Payroll

  • April 26, 2021
  • 1 reply
  • 0 views

I am using QB Online Advanced Payroll, and have been using QB payroll for many years.  After creating a pay run for the month of April 2021, QB for some reason starting applying thresholds to our employer pension contributions.  Previously, employer pension contributions were calculated as a percentage of the gross pay per month, and thresholds were not used to adjust the gross amount at all.  In the April pay run, QB applied thresholds (i.e. deducted £520 from the gross pay and then applied the employer pension contribution percentage to the resulting amount).  That is not what we want and I don't know why it started doing this.  I have also been unable after many hours of searching to find any way to turn this feature off.  Any help greatly appreciated!  Thanks

1 reply

G
Giovann_G
April 26, 2021

Hi there, mgclark9.

 

I'm here to help you ensure that your pension contributions set up properly.

 

Let's check your pension setting to make sure that all pensionable items were included. I'll show you how.

 

1. Go to the Employees menu.

2. Click the Payroll Setting tab.

3. Under Business Setting, choose Pension Settings.

4. Go to the Contribution Plans section and hit the Name pension link.

5. In the Applicable pay categories, exclude Pension and add Salary.

6. Click Save.

 

Then, recalculate the payroll of the employee to ensure the calculation is correct after making any changes.

 

Here's how:

 

1. Go to the Employees menu.

2. Click the Pay Runs tab.

3. Choose a pay period and click the date link.

4. From the Actions tab, select the employee.

5. Click Recalculate from the Actions menu.

 

Review this guide for more information: QuickBooks Online Advanced Payroll hub.

 

Reply to this post if you have further questions about pension contributions. We're always here to back you up.

 

M
mgclark9Author
April 27, 2021

Hi Giovann_G, thanks for getting back to me so quickly I really appreciate that!  Unfortunately, the menus, tabs , settings, etc. that you referenced don't show up as you describe in my version of QB Payroll, so I couldn't follow them exactly :-(  I use QB Online and QB Payroll together, so when I select Payroll from the main QB menu it then lets me select Employees.  From there, there is no Business Setting, but there is a tab for Payroll Settings which then has a Pension Settings link.  From there I can see my Contribution Plans, but no Name pension link (though i can see my pension plan listed).  From there, I can't find anything that looks like Applicable pay categories so can't see anywhere to exclude Pension and add Salary. 

I double checked with the QuickBooks Online Advanced Payroll hub, and my interface matches what they show there, so not sure what to do now.  What's strange to me is that I've been using QB Payroll for years with same pension plan, same employees and never had this problem before this month.

Any other ideas?

 

 

 

 

G
GeorgiaC
April 27, 2021

Thanks for gettings back to us mgclark9, please click Payroll from the left-menu > Payroll Settings > Pension Settings > Scroll to Contribution plans > Click into the relevant contribution plan > See if the option for 'Calculate pension on qualifying earnings' is selected. 🧐

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