16 Nov MIscellaneous Payroll Item Tips & Tricks
Miscellaneous Payroll Item Tips & Tricks
TIP: The software has safeguards to permit only creating the federal and state tax items once so the resulting payroll information for tax return preparation will be accurate.
TRICK: The payroll tax amounts can only be coded to one expense account. If the desired result is to code part of the employer portion of the payroll taxes to a cost of goods sold account and the remainder to an expense account, two alternatives exist. One alternative would be to create a payroll report for those employees who should be coded differently and make a journal entry to reclassify the balance to the preferred account. The second alternative would be to set up the company name as a customer and job cost the payroll wages and related payroll taxes to that particular job (double check to make sure the preference is set properly to job cost the payroll tax portion). Then create a profit and loss by job to see the total amount that needs to be reclassified to the preferred account.