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pmariew1
September 13, 2021
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payroll liabilities

  • September 13, 2021
  • 1 reply
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My company started QuickBooks mid year, (July) so the bookkeeper entered all the historical payroll information for the employees, so the W2's would print correctly. Now they are showing up as liabilities.  How would I adjust these off the books? 

Best answer by JenoP

Let me help with your question about removing the payroll liabilities so you can file the tax forms, pmariew1.

 

You can create a prior payment history to zero out the liabilities. Here's how:

 

  1. Go to the Help menu and select About QuickBooks.
  2. Press Ctrl + Alt + Y or Ctrl + Shift + Y to open the Setup YTD Amounts window.
  3. Click Next until you reach the Enter prior payments section.
  4. Select Create Payment.
  5. Enter the Payment Date and For Period Ending date accordingly (in many cases these dates will be the same).
  6. Enter all the details and amounts of the liabilities.
  7. Click the Accounts Affected button. Then, select Affect liability accounts but not the bank account. Selecting this option will cause the prior payment to not show up in the bank register.
  8. Select Done. 

 

You can also check out these articles for additional guidance and reference when paying and filing taxes in QuickBooks: 

 

 

Reach out to us again any time of the day if you have other questions or concerns when working in QuickBooks. We'd be happy to help you again. 

1 reply

JenoP
JenoPAnswer
September 13, 2021

Let me help with your question about removing the payroll liabilities so you can file the tax forms, pmariew1.

 

You can create a prior payment history to zero out the liabilities. Here's how:

 

  1. Go to the Help menu and select About QuickBooks.
  2. Press Ctrl + Alt + Y or Ctrl + Shift + Y to open the Setup YTD Amounts window.
  3. Click Next until you reach the Enter prior payments section.
  4. Select Create Payment.
  5. Enter the Payment Date and For Period Ending date accordingly (in many cases these dates will be the same).
  6. Enter all the details and amounts of the liabilities.
  7. Click the Accounts Affected button. Then, select Affect liability accounts but not the bank account. Selecting this option will cause the prior payment to not show up in the bank register.
  8. Select Done. 

 

You can also check out these articles for additional guidance and reference when paying and filing taxes in QuickBooks: 

 

 

Reach out to us again any time of the day if you have other questions or concerns when working in QuickBooks. We'd be happy to help you again. 

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