Chapter 5

Paying Employees

In This Chapter

  • Setting up payroll service
  • Setting up payroll runs
  • Getting your employees paid
  • Revising checks
  • Handling payroll liabilities

QuickBooks provides two do-it-yourself options for paying employees: Basic Payroll (which usually means that your accountant helps you with the payroll tax forms) and Enhanced Payroll (which means that QuickBooks helps you with the payroll tax forms). This chapter describes the Basic Payroll option. With the Basic Payroll option, you do most of the work yourself, but you don’t pay very much for your payroll processing.

tip Would you be terribly offended if I offered you a bit of friendly advice about a third option for doing payroll? If you’re not an accountant, consider splurging a bit and going with one of the full-service payroll providers, such as ADP or Paychex. Having ADP or Paychex do your payroll greatly simplifies your payroll accounting work and — in my experience — saves you money over time.

If you go with a payroll provider, you can stop reading this chapter right now. Seriously. All you need to do is telephone the payroll service company and say, “Help!”

Setting Up Basic Payroll

To set up do-it-yourself payroll, you step through a web-based interview. To start this interview, choose the Employees ⇒ Payroll ⇒ Turn On Payroll in QuickBooks command. QuickBooks displays the QuickBooks Online Subscription ...

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