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sharieb
October 7, 2021
Question

Reimbursing expense receipts

  • October 7, 2021
  • 1 reply
  • 0 views

Good day,

 

At my workplace, we have employees purchase items with their own money and then submit receipts to be reimbursed during a regular cheque run at a later date (but not included on their paycheque). I did not know how I could record these and found the JE method outlined below (which I know is for QBO and not QBD, but I couldn't find any help for QBD that matched my situation):

 

https://quickbooks.intuit.com/learn-support/global/payroll-additions-or-deductions/reimburse-an-employee/01/381577

 

However, it says "After recording to your Journal Entry, you can now pay them using a cheque or expense," but when I go into "write cheques" and choose the recipient to reimburse, the amount is blank. I'm concerned that if I use this feature I will be recording these expenses twice. Is that the case? If not, how do I record this payment as a cheque so that I have a record of the cheque number being used? I also see this is under "Payroll Additions or Deductions", but the instructions don't mention payrolls or cheques...I am wondering if this amount only comes up when doing a payroll run instead.

1 reply

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Nick K
October 8, 2021

Hi sharieb.

 

Entering your employees purchases that they make with their own money correctly is a great way to keep track so they can be paid back at a later time. I'd be happy to help point you in the right direction for this.

 

In order to enter these transactions into QuickBooks Desktop properly I recommend reaching out to your accountant as they are trained in how to make these entries. If you don't have an accountant no worries, we have your back. You can go to our find an accountant page to find one in your area that can help.

 

Once they advise you of the best way to make these entries let us know and we'd be happy to help walk you through the steps of what they suggest.

 

Have a great one!

S
shariebAuthor
October 12, 2021

Hello,

 

I didn't find the answer to my question satisfactory. All I asked was if it would post as a double entry if I entered the expenses as a journal entry and then as a cheque later. Surely someone at Intuit would know the answer to this.

 

I'm starting to wonder if you provide support at all for QB Desktop. Whenever I go into this community I see many thorough answers to simple questions posted about QBO but each of my questions received the answer "ask your accountant" when asking how to apply a similar situation to Desktop. Our accountant isn't setting this up for us. Further, we do not have the ability or the funds to ask our accountant about every little thing to do with a software program that the support team of a software company should be able to answer themselves. I recommended switching from Sage to Quickbooks based on my personal experience with QBO and the wonderful support I have been able to access, but I wouldn't have recommended it at all if I'd known there wasn't the same level of support given for QBD.

    T
    Trish_T
    October 12, 2021

    Hi sharieb,

     

    Thanks for reaching back out to Community!  As you've mentioned, you're trying to follow an article related to QuickBooks Online.  However, you can create a non-taxable reimbursement payroll item for your employees in QuickBooks Desktop.  I'd be happy to help!

     

    Let's get started with setting up a new payroll item for employee reimbursements, by following these steps;

     

    1. Select Lists on the menu bar, and then Payroll Item List.

    2. Click on the drop-down arrow on Payroll Item at the bottom of the box and hit New.

    3. Choose Addition for the item type, then Next.

    4. Set up the item by selecting the appropriate Expense account

    5. Make the Tax Tracking type to none, so it won't appear on tax forms and then hit Next

    6. Select the option for how you'd like this Calculated, base on Hours, Quantity or Neither

    7. Set your default Rate and Limit

    8. Click Finish

     

    To add the reimbursement to an employee go to:

     

    1. Employees and then the Employee Centre

    2. Double-click on the name

    3. Navigate to the Payroll Info tab

    4. Under Additions, Deductions and Company Contributions, select the reimbursement item from the drop-down list

     

    When you create pay cheques, you'll Open Pay Cheque Detail to see the reimbursement option in the Other Payroll Items area by clicking on a blank line and then use the drop-down arrow to locate the item and enter the amount.

     

    For future reference, here's an article to Create a non-taxable reimbursement in QuickBooks Desktop.

     

    If you have any additional questions, or require further assistance, please don't hesitate to reach back out.  We'd be glad to assist!

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