Hi I’m Samohay! In this QuickBooks premier tutorial I’m going to show you how to enter your payroll data into QuickBooks without using the QuickBooks payroll feature.
So if you haven’t paid the extra annual or monthly fee to have that feature in your QuickBooks program that’s okay you can still use QuickBooks to record your payroll so the first thing that you’re going to need to do is calculate all the deductions from everybody’s pay so if you haven’t done that yet pause this video do your calculations come back and we’ll get started the first demonstration I’m going to show you will be using the general journal and this is how you’re going to want to enter your payroll information.
If you’ve used direct deposit or a direct payment to pay your employees so I’m starting from the home screen we’re going to navigate up to the top menu go over tour it says company down to where it says make general journal entries and open up the general journal so from here what I usually do is in the top line I enter the bank account that the payment will be coming out of now the amount you’re going to put in here is going to be of course the net pay that the employee is going to receive in the memo early I put in the first line at just the name of the employee and also at the pay period now in the next line I’m going to start adding in the deductions that have come off the employees pay and I’m going to put that in an account called payroll liabilities so in the first line.
I’m going to put in the taxes I’m in Canada so we have source deductions that will include payroll taxes ai and CPP if you’re in the United States this will probably work similar for you just put in any deductions that you will need to pay to the government now in this note I’m going to put in payroll tax and I’m going to move on to the next deduction it’s going into the same account and this one is going to be CPP and it’s going to CPP employee in the note and next it’s going to be e I and again it’s in the same account for payroll liabilities now I’m going to add in the ones that are the expense of the employer so we’ve got the same amount for CPP and I’m going to put a note in here that says it’s CPP paid by the employer and again I need to put in di and it’s going to be e I am player now the next thing I’m going to do is enter in the wages expense and in this case I’m going to assume that the employer is paying out the wages as well as vacation pay owing to the employee every single paid period so I’m going to put in here wages.
I’m putting it wages plus vacation paid together I’ve already added it up so this is the total 1560 and I’m going to put in my note here wages plus vacation pay and the final line is going to be what I would call payroll tax expense to the employer or the company and I’m putting in at an account called here all expenses so this is my entry as I would make it if I was paying the employee with direct deposit and of course you always want to check your totals at the bottom to make sure the debits equal the credits and the other thing you want to do is make sure that the date is corresponding with when you’re making the payment so this is for at the 15th so I’m just going to change the date to the fifth and that is the entry so I’m just going to go ahead and hit save and close to record that entry next I’m going to show you how to do a payroll entry using the check feature from QuickBooks now you can either record a check if you’re writing it by hand or you can use the check printing feature if you ordered the checks that work with QuickBooks so I’m just going to go into it right checks.
The first thing that you want to do is make sure you have the right bank account selected so there is a drop down here if you have more than one bank account make sure that you have the right one in here so you can just use this drop down to select the account and next you want to choose the date for the check I have November 15th here that’s the right date if you need to change it you can do that in here and then you want to put in the name of the employee in the pay to order of box and in this box here is going to be the net amount being paid to the employee so it’s going to be wages less all of the deductions and then move down to the box I like to put in the pay period so I’ve tapped down into selecting the account and the first one I’m going to put in is going to be payroll liabilities and in the first line here I’m going to put in the taxes that were deducted from the employee.
I’m going to put in a minus because it’s going to be a credit this amount is going to need to be remitted to the government and in the memo here I’m going to put income tax I’m going to tap through to the next account in the next line here and it’s going to be payroll liabilities again and then this line I’m putting in the CPP that was deducted from the employee and I’m going to put in the note here at CPP employee I’m going to tap through again and it’s going into the same account payroll liabilities and I’m going to put in this line AI that was deducted from the employee and in the note I’m going to but in E I employee next I’m going to put in the employers portion of the CPP and E I so it’s going into the same account again payroll liabilities and again it’s going to be a credit it’s an amount going and I’m going to put in CPP employer and again payroll liabilities and this is going to be e aí employer.
Now I’m going to start recording the actual expenses so this line is going to be wages and the amount is going in here is going to be the total of the salary plus vacation pay going to the employee that’s being paid out this period and I’m going to put in the note wages plus vacation pay and the last line is going to be the sum of these two amounts so CPP employer and E I employ EUR and I’m going to put that in an account called payroll expenses so once your entry is balanced just double check over your check to make sure that everything looks correct with the name the date and the amounts and then you need to decide whether you’re going to print your check right away or if you are going to be writing a check by hand you can uncheck this box and then it’s going to you the option to just put in the check number here and then you can select save and close now if you do want to print your check all you have to do is select print and then a check now it’s telling me I already have a check that has the number 1 so I’m just gonna change this number 2 to make sure that your check of course lines up with the check number that you have in your printer if you’re printing it and then again print and check it and then it says here are 2 check number if that is correct just click on OK and now it’s asking to select the printer for the check to be printed from so if you have multiple printer setup you can use this drop-down to select the right printer once everything is correct just go ahead and click print now it’s asking again to confirm the check number at the payee and the amount if that’s all good the check is already started printing just click OK and save and close to complete the transaction so those are the basics for recording your payroll transactions in QuickBooks without using the QuickBooks here will feature this is a great thing to do to save a little bit of money if you only have a few employees and you don’t mind taking extra time to calculate the payroll
taxes yourself and make the entries using either the general journal or the cheque printing feature it takes a little bit of extra time but it’s not that much thank you for watching this video and of course if you do have any questions please leave me a comment on this video and I will be sure to answer it as quickly as I can and if you did like this video if you found it helpful please leave a like and don’t forget to subscribe to the channel you.