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GlynnPH
June 28, 2022
Question

Record Cash-in-hand Reward for referral program on employee paycheques

  • June 28, 2022
  • 1 reply
  • 0 views

My employer is creating an employee referral program, where if an employee brings in a client, they receive $25 cash-in-hand. I am trying to figure out a way to add this cash taxable benefit onto the employees paycheques without adding an additional $25 (as they already received the cash) while also having it taxed correctly.

 

As they will be receiving the cash already, I cannot use the additional payment type as it adds on another $25 to their paycheque.

 

I also tried to set up a non-cash contribution but the Tax settings are not correct as non-cash benefits are not taxed for EI where as cash benefits are.

 

Are there other options?

 

Thanks!

1 reply

J
JamesM4
June 28, 2022

Hi GlynnPH,

 

Thanks for contacting us here. QuickBooks is a hassle-free program that simplifies the way you manage your accounting. I'll be glad to point you in the right direction so you can achieve your QuickBooks goals. Recording your transactions the right way is a good exercise for keeping your books accurate.

 

Based on what you've described, I see you're following the right steps for recording your invoices. To ensure accuracy in your books, I recommend contacting an accounting professional to get expert advice. Doing this will help prevent any future discrepancies in your books. You can also reach out to accounting professionals on our site using this link here.

 

I'll also leave this question here so other accounting professional members can chime in and share their expert advice. Let me know if you have other questions, I'm here to assist.

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