How do i enter a payment from an employee for a loan repayment?

Hi tclark1,

Correctly accounting for loans and loan repayments is an important part of running a business. Luckily, QuickBooks Online has a straightforward way for you to do this. Let me explain how this will work for you.

Since the loan repayment you're making is coming from your employee, my advice would be to record that as a deposit into the account that you'll be making the loan repayment from. You can do this by creating a Sales Receipt from the + New menu. Here's some more information on how to Create sales receipts.

Once you've recorded the amount your employee is paying towards the loan, you'll want to record a loan repayment. First you'll want to Set up a loan in QuickBooks Online. Once you've completed that step, here's what to do to record the loan repayment:

1. Select + New in the upper left corner.
2. Select Cheque.
3. Enter a cheque number if you're going to send an actual cheque. You can enter Debit or EFT in the Cheque # field if you'll be using direct withdrawal or an email transfer.

In the section for Category Details, you'll want to enter some specific details that can be found in Step 3 of the article above. It's a great resource that I know you'll find helpful.

If this isn't quite the solution you're looking for, an accountant is a great resource to draw from. Accountants know a variety of methods to record loans and repayments, especially coming from specific sources such as your employee. If you already have an accountant, invite them to work in your QuickBooks account by selecting My Accountant from the left menu and entering their email. Once you hit Invite they'll receive an email that will give them access to your books. 

Don't have an accountant just yet? The Find a pro to help button will take you to a database of Quickbooks certified accountants with a wealth of knowledge and experience. You'll be able to find an accountant in your area that will be happy to point you in the right direction for all your accounting needs.

Thanks for being a member of the QuickBooks family!