QuickBooks Online For Dummies, 5th Edition

Chapter 9

Paying Employees and Contractors

IN THIS CHAPTER

Turning on payroll and setting payroll preferences

Preparing paychecks

Handling payroll tax payments and returns

Paying contractors

As an employer, you have a responsibility to pay both your employees and any contractors who work for you. In this chapter, I explore both responsibilities.

It’s important to understand that QBO users can prepare payroll in one of two ways: using QBO with Self Service Payroll (which I call QBOP for QBO Payroll) or using QBO with Full Service Payroll. Although both of these options work in QBO, this chapter explores using QBOP, where you use QBO to do the work yourself. There isn’t much point for me to describe QuickBooks Online with Full Service Payroll because Intuit does the work for you if you choose that plan.

If you opt to use Full Service Payroll, Intuit does the work and is also responsible for penalties. So, if you aren’t confident in your abilities to handle payroll, consider starting ...