Thank you for this video, I am a volunteer and switching to a third party payroll and regretting my decision! I assumed it would import as I have normally been doing business. It will not and I'm freaking out! Your calm demeanor is helping me go back to my early accounting classes. After using QBB for long enough you forget using your db & cr thought process! I have been in business using qbb for 30 years and have never had to use GL entries. In over my head, hoping your videos will talk me back down!
I'm so happy to hear this! Journal entries are very confusing and intimidating to a lot of people. If you ever need help you can schedule a 15-meeting and I'll be happy to help walk you through it: www.gentlefrog.com/meeting/
Do you happen to know if ADP is going to send any W2s out for us if we swap AWAY from them? Should I be breaking the entry down by employee, that way at the end of the year the W2s are accurate through QBO? This is the best channel I've found for helping me! Thank you so much for what you do :)
Contact ADP and ask what they'll do. I'm assuming if you leave ADP you'll be hiring or buying another solution? It's very likely that whomever is filing payroll in December is how will issue the W2. Whatever you do, do not use QBO payroll. I DO NOT recommend it. It's often wrong and difficult to fix.
Thanks for the helpful vid. Yours has provided the best clarity and I've viewed several here on UA-cam. Would you provide explanation as to what to do with the two adp items; ADP Wage Pay and ADP Tax that download into QB For Review.
Hi Tara, you can schedule a 30-minute meeting and we'll take a look together and I can explain what to do with those ADP items www.gentlefrog.com/meeting/
Hi Rachel. Quick question on a specific time in your video. At 8:36, you start to describe that ER stands for Employer, but columns G and H both say ER when you state in the video that column H, is employee money but the cell reads ER. My brain is all discombobulated 😅 which is which? I also noticed that those columns are switched with the wording in columns E and F. It seems confusing. Unless it's supposed to be like that. I wish my brain wasn't like this 😂
It's not your brain, it's that the Google Sheet used for this was completely made up (that's why it's name is Dummy Payroll 1). Mistakes happen when creating dummy documents. Column G should be EE for employee, the rest are correct. I was going to suggest you watch the Training Demo video where I go over payroll but I see already have, that one uses real documents so the column headings are correct.
OK but side note, thanks for providing this visual. Just 1 question about the JE on line 6 for checking account for payroll taxes. Is there a way to confirm on the adp report what will be taken out for payroll taxes? The amount says $2163.29 in this example. I am really confused on the payroll taxes/liabilities by itself so in order to confirm I inputted the correct amount on line 6, can I can confirm that with another report? Thank you for these videos
Leah you were a very big help to me. I'm new to quickbooks online. I created a spreadsheet as you were going along. My spreadsheet did not come out even. Not sure what Im doing wrong. Is it possible you could help me out? I use ADP and I just have to record the Payroll Liability.
If you were following along with the video, there were some mistakes made in the data used for the example. It was fake data, sometimes that happens. If you're working with real data and having trouble you can schedule a 15-minute meeting and we can take a look at it together and figure out what's going one: www.gentlefrog.com/meeting/ I do have another video on recording payroll where I help a fellow bookkeeper add a journal entry from a real ADP report: ua-cam.com/video/sA2MO-VAQvg/v-deo.html
Thank you for your explanation in this video. I am having trouble to categorize some bank transactions. I started using QB payroll in July, so for the first semester I just enter the total amounts of wages and taxes, when setting up QB payroll. Now I have all these bank transactions, from Jan-Jun, for wages checks and taxes payments that I can't match. Do you know how I solve it. Will I have to do journal entries for each pay period of the first semester?
Hi there, Just wanted to ask that if we have 1099 contractors & they are paid via ADP along with the tax based employee, would we still record all of them as Gross Salaries & Wages in the Journal entry. Please reply. Thanks
No. Your wages are for employees. Your contractors are not employees and the money paid to them should be classified separately. The "where" depends on your chart of accounts and what they do for you.
If the money is taken out of the checking account, wouldn't that decrease the checking twice? Once for the journal and once for the actual amount taking out? Or, when the transaction for the credit to checking comes through banking, will QBO show it as a "match" so we can just match it? Finally, when are we recording the journal? The date we get the report from the third party, i.e., the date the payroll ends? Thanks!
You can match bank transactions with journal entries. If QBO doesn't automatically match it you can use the "Find a match" and in the Show drop-down select Journal Entries to find the journal entry you need. When recording the journal entry use the date the payroll ends. Here's another Payroll example video that might help you out: ua-cam.com/video/sA2MO-VAQvg/v-deo.html And you can always schedule a 15-minute meeting and I can walk you through the process: www.gentlefrog.com/meeting/
CAN YOU PLEASE TELL ME HOW I CAN CREATE A JOURNAL FOR A MANUAL CHECK I CUT. WE USE ADP AND I NEED TO RECORD THE TAXES? GROSS WAGES 1886.24 NET 1656.52 ( AMOUNT OF CHECK I CUT ) EMPLOYEE TAXES WITH HELD 214.90 EMPLOYER PAID TAXES 143.17 HEALTH INS WITHHELD 14.82
You are a big life saver! So easy to understand! Many many thanks!
Your welcome! I'm so glad you got the help you need.
Yes, you helped me understand it much better. Thank you!
You're welcome! I'm so glad my video helped you out.
Thanks Rachel! you are the BEST for making these very informative videos.
You're welcome! I'm so glad you found it informative.
Thank you for this video, I am a volunteer and switching to a third party payroll and regretting my decision! I assumed it would import as I have normally been doing business. It will not and I'm freaking out! Your calm demeanor is helping me go back to my early accounting classes. After using QBB for long enough you forget using your db & cr thought process! I have been in business using qbb for 30 years and have never had to use GL entries. In over my head, hoping your videos will talk me back down!
I'm so happy to hear this! Journal entries are very confusing and intimidating to a lot of people. If you ever need help you can schedule a 15-meeting and I'll be happy to help walk you through it: www.gentlefrog.com/meeting/
I loved this video! You’re a great teacher!
Thank you so much!
Thanks! Very easy to understand!
Thank you so much, I was looking for this particular case for months, and thanks to you I understood everything, you're the best.
That's fantastic! I'm so glad to hear that you finally got the help you needed.
Thank you:) this help gets my brain wrapped around this.
You're welcome!
Thank you!! Super helpful! 🥰
Do you happen to know if ADP is going to send any W2s out for us if we swap AWAY from them? Should I be breaking the entry down by employee, that way at the end of the year the W2s are accurate through QBO?
This is the best channel I've found for helping me! Thank you so much for what you do :)
Contact ADP and ask what they'll do.
I'm assuming if you leave ADP you'll be hiring or buying another solution? It's very likely that whomever is filing payroll in December is how will issue the W2.
Whatever you do, do not use QBO payroll. I DO NOT recommend it. It's often wrong and difficult to fix.
Thanks for the helpful vid. Yours has provided the best clarity and I've viewed several here on UA-cam. Would you provide explanation as to what to do with the two adp items; ADP Wage Pay and ADP Tax that download into QB For Review.
Hi Tara, you can schedule a 30-minute meeting and we'll take a look together and I can explain what to do with those ADP items www.gentlefrog.com/meeting/
Hi Rachel. Quick question on a specific time in your video. At 8:36, you start to describe that ER stands for Employer, but columns G and H both say ER when you state in the video that column H, is employee money but the cell reads ER. My brain is all discombobulated 😅 which is which? I also noticed that those columns are switched with the wording in columns E and F. It seems confusing. Unless it's supposed to be like that. I wish my brain wasn't like this 😂
It's not your brain, it's that the Google Sheet used for this was completely made up (that's why it's name is Dummy Payroll 1). Mistakes happen when creating dummy documents. Column G should be EE for employee, the rest are correct. I was going to suggest you watch the Training Demo video where I go over payroll but I see already have, that one uses real documents so the column headings are correct.
OK but side note, thanks for providing this visual. Just 1 question about the JE on line 6 for checking account for payroll taxes. Is there a way to confirm on the adp report what will be taken out for payroll taxes? The amount says $2163.29 in this example. I am really confused on the payroll taxes/liabilities by itself so in order to confirm I inputted the correct amount on line 6, can I can confirm that with another report? Thank you for these videos
This video may help make this clearer: ua-cam.com/video/sA2MO-VAQvg/v-deo.htmlsi=9QV1fntJkbGDW1-T&t=411
Thank you very much for this video. You are such a great teacher!
You're welcome! Thank you for the wonderful feedback.
Thank you for this video so helpful. How do we do our journal entry when it has a Simple IRA deduction?
Stay tuned, I'll be recording more payroll videos soon.
Leah you were a very big help to me. I'm new to quickbooks online. I created a spreadsheet as you were going along. My spreadsheet did not come out even. Not sure what Im doing wrong. Is it possible you could help me out? I use ADP and I just have to record the Payroll Liability.
If you were following along with the video, there were some mistakes made in the data used for the example. It was fake data, sometimes that happens. If you're working with real data and having trouble you can schedule a 15-minute meeting and we can take a look at it together and figure out what's going one: www.gentlefrog.com/meeting/
I do have another video on recording payroll where I help a fellow bookkeeper add a journal entry from a real ADP report: ua-cam.com/video/sA2MO-VAQvg/v-deo.html
So for accrual the je should be the last date of the period and for cash basis should the check date correct?
Are you using cash or accrual accounting? They're not interchangeable.
Thank you for this video. But, shouldn't line 6 say Employer tax withheld, not Employee tax withheld (line 2) of your JE?
Yeah, this video was made with a fake ADP Payroll spreadsheet. Some mistakes were made in the creation of the spreadsheet.
Thank you for your explanation in this video. I am having trouble to categorize some bank transactions. I started using QB payroll in July, so for the first semester I just enter the total amounts of wages and taxes, when setting up QB payroll. Now I have all these bank transactions, from Jan-Jun, for wages checks and taxes payments that I can't match. Do you know how I solve it. Will I have to do journal entries for each pay period of the first semester?
You can schedule a 15-minute meeting and we take a look at it together and figure out what will work best: www.gentlefrog.com/meeting/
Hi there, Just wanted to ask that if we have 1099 contractors & they are paid via ADP along with the tax based employee, would we still record all of them as Gross Salaries & Wages in the Journal entry. Please reply. Thanks
No. Your wages are for employees. Your contractors are not employees and the money paid to them should be classified separately. The "where" depends on your chart of accounts and what they do for you.
Great video. Could you help with one more step? How about when there are pretax, after tax and employer 401k contributions?
If you need help with Payroll you can schedule a 15-minute meeting and I can walk you through all your questions: www.gentlefrog.com/meeting/
If the money is taken out of the checking account, wouldn't that decrease the checking twice? Once for the journal and once for the actual amount taking out? Or, when the transaction for the credit to checking comes through banking, will QBO show it as a "match" so we can just match it?
Finally, when are we recording the journal? The date we get the report from the third party, i.e., the date the payroll ends? Thanks!
You can match bank transactions with journal entries. If QBO doesn't automatically match it you can use the "Find a match" and in the Show drop-down select Journal Entries to find the journal entry you need.
When recording the journal entry use the date the payroll ends.
Here's another Payroll example video that might help you out: ua-cam.com/video/sA2MO-VAQvg/v-deo.html
And you can always schedule a 15-minute meeting and I can walk you through the process: www.gentlefrog.com/meeting/
CAN YOU PLEASE TELL ME HOW I CAN CREATE A JOURNAL FOR A MANUAL CHECK I CUT. WE USE ADP AND I NEED TO RECORD THE TAXES? GROSS WAGES 1886.24 NET 1656.52 ( AMOUNT OF CHECK I CUT ) EMPLOYEE TAXES WITH HELD 214.90 EMPLOYER PAID TAXES 143.17 HEALTH INS WITHHELD 14.82
You can schedule a 15-minute meeting and I can walk you through the process over Zoom: www.gentlefrog.com/meeting/