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chris80
July 29, 2020
Solved

When we run Payroll, ER pension contributions are added to a Payroll expenses journal. When we then enter the NEST pension d/d in our bank ledger, the pension appears 2x.

  • July 29, 2020
  • 1 reply
  • 0 views
So the employer's pension contribution appears twice on our Profit & Loss report. How do we get round this ?
Best answer by ReymondO

Hi there, @chris80.

 

It could be that these transactions were both posted as payroll expenses. This is the reason why the employer's contribution appears twice in the Profit & Loss report. 

 

Let me help fix this out so that it will be properly recorded in your reports in QuickBooks Online (QBO). 

 

What we need to do is to open the NEST pension payment in your bank ledger. Then, change its account from Payroll Expense: Pension to Payroll Liabilities: Pension. This way, it will correct the records in your P&L report. 

 

In addition, you can run the Workplace Pension report in QuickBooks. This will show all of your employee's information in your pension plan, their personal details, the date they enrolled, their assessment information, and their pensionable earnings. Just go Reports and scroll down to the Payroll section. Then, select the Workplace Pension report and click Run.

 

I'm always here to help if you have any other concerns or questions. Just tag my name in the comment section and I'll get back to you as soon as I can.

1 reply

R
ReymondOAnswer
July 29, 2020

Hi there, @chris80.

 

It could be that these transactions were both posted as payroll expenses. This is the reason why the employer's contribution appears twice in the Profit & Loss report. 

 

Let me help fix this out so that it will be properly recorded in your reports in QuickBooks Online (QBO). 

 

What we need to do is to open the NEST pension payment in your bank ledger. Then, change its account from Payroll Expense: Pension to Payroll Liabilities: Pension. This way, it will correct the records in your P&L report. 

 

In addition, you can run the Workplace Pension report in QuickBooks. This will show all of your employee's information in your pension plan, their personal details, the date they enrolled, their assessment information, and their pensionable earnings. Just go Reports and scroll down to the Payroll section. Then, select the Workplace Pension report and click Run.

 

I'm always here to help if you have any other concerns or questions. Just tag my name in the comment section and I'll get back to you as soon as I can.

C
chris80Author
July 30, 2020

Many thanks, Reymond.

Changing the account from "Payroll Expenses:Pension" to "Payroll Liabilities:Pension" does indeed remove that entry from the Profit & Loss; thank you for that.

However ... it is the entry automatically posted by QuickBooks Payroll which I don't want on the P&L ... the payment direct-debited by Nest I do want, as it correctly shows what amount was taken from our bank account by Nest.
So one solution is that every time QuickBooks Payroll runs, I afterwards go through the journal entries it has created automatically and change "Payroll Expenses:Pension" to "Payroll Liabilities:Pension" for every "Pension Contribution ER" entry ... but that will take time every month.

Is there an easier / global way to tell QuickBooks Payroll to use "Payroll Liabilities:Pension" for "Pension Contribution ER" entries ?

Many thanks for your help.

Chris

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