QuickBooks 2005: The Missing Manual

Getting Started

The easiest way to apply for a service and begin setting up payroll is by choosing Employees→Payroll Services→Set Up Payroll, which launches the Payroll Setup wizard. Figure 11-1 shows how the wizard helps you see where you are in the payroll setup process.

Note

When you install QuickBooks, the preference for payroll is turned on automatically (page 143). If you turned it off initially because you had no employees, but now want to use payroll features, choose Edit→ Preferences and click Payroll & Employees. Click the Company Preferences tab. If you've opted to use Complete Payroll, select the Complete Payroll Customers option. Otherwise, select the Full payroll option.

Before you begin the mechanics of setting up your payroll, you must select and sign up for one of the QuickBooks Payroll Services, which is why the first step in the Payroll Setup wizard is to select the service you want. Payroll services are grouped into three options: QuickBooks Standard or Enhanced Payroll, Assisted Payroll, and Complete Payroll. After you select an option, click Continue to sign up. Tax agencies are notoriously finicky about payroll tax reporting, and your choice of when to start using QuickBooks payroll affects the ease with which you can produce tax reports, as described in "Choosing the Right Payroll Start Date" box on page 312.

In the Payroll Setup wizard, when you click the "Sign up for payroll service" link, QuickBooks displays the Payroll Service Signup screen and automatically ...