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February 13, 2022
Question

I am trying to deduct a loan payment from an employee. I have set up the deduction under the employee and it shows the loan on his paystub, but $0 is removed.

  • February 13, 2022
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1 reply

February 14, 2022

Hi cinkster,

 

It's great to have you reach out in the Community. QuickBooks offers a versatile payroll module that simplifies the way you pay your employees. I'll be happy to point you in the right direction so you can deduct a loan payment from an employee. 

 

To get started, it's important to make sure you're able to set up the deductions the right way. Here's how: 

 

1. Go to Payroll.
2. Select the Employees tab.
3. Choose the employee who you need to create the deduction.
4. In the Employee Details, click on the pencil icon next to Pay.
5. Scroll down to section 6. Click + Add deductions.
6. In the dropdown, select New deduction/contribution.
7. Choose the deduction/contribution type from the following dropdown.
8. In the following dropdown, you'll choose a type.
9. Create the label for the paycheque in the Description box.
10. Fill in the information for the amount and maximum per year as required. You'll see a box that shows information for tax purposes.
11. Click Ok.

From here, you can use this deduction for any of your employees. Here's an article with more details about setting up deductions: Set up and add deductions and contributions to an employee's payroll. I recommend trying this while using a private/incognito browser window. 

 

Feel free to keep me posted on how you make out. I'll be here to help.