QuickBooks Tips Blog

Look at the skeleton of the QuickBooks program and it's made of 5 basic functions. All of
 them are on the home screen that split off into an abundance of specialized categories. It consists of Vendors, Customers, Company, Banking and lastly Employees. The Employee section of QuickBooks is predominately utilized when the payroll function has been activated which I will adamantly advise against. Some functions of the payroll section are available however even if you do not activate it, namely the employee names list. Before we begin talking about how to enter payroll let us briefly discuss the difference between bringing payroll in house (utilizing the QuickBooks payroll function) and using an outsourced vendor such as ADP or Infnisource.

Many businesses outsource their payroll needs to companies such as ADP, Paychex, Qqest or some other company that handles payroll for businesses.  However, many businesses do not properly account for their outsourced payroll transactions, which will produce inaccurate financials.  In this video I will show you how to accurately record outsourced payroll in QuickBooks.

I have had a lot of inquiries lately about how to properly record payroll in QuickBooks when using an outsourced payroll company.  As we have stated before we highly recommend outsourcing your payroll to a trusted payroll company.  Many bookkeepers that don't know better record any payroll transactions that hit the bank account as a payroll expense and move on.  Unfortunately this is incorrect and causes inaccurate financial statements.  I will breakdown all the various transactions that typically occur with outsourced payroll and tell you how to properly account for them. 

Many bookkeepers and businesses are not aware that it is possible to import payroll data into QuickBooks.  As I stated in a previous post we always recommend that our clients outsource payroll for a number of reasons.  Entering payroll data into QuickBooks accurately can be tricky and time consuming.  Finding an outsourced payroll company that not only handles all aspects of payroll, but also can provide you with a file that will import the payroll data into QuickBooks is essential.  Here are a few tips for accurately importing payroll data into QuickBooks.