There are a lot of softwares out there. Quickbooks is one of them. Businesses usually prefer this software for any kind of accounting solutions. It assists in management of daily activities of accounting. Hence, provides accounting help.
Consequently, making their tasks easy. QuickBooks Payroll is one of these features of QB. It allows you to manage your activities. These activities constitute employee’s pay. Now we are going to discuss about How to Zero Out Payroll Liabilities in QuickBooks.
Payroll liabilities are a part of Payroll. The payroll liabilities have information related to payroll items.
The items consists of :
- Liability accounts
- Deduction of taxes, and
- Payments done by employees
Liability refers to the amount to be paid to someone, yet is due.
If you try to get the liability report of payroll, you sometimes suffer from wrong accounts. Thus, it becomes a necessity to zero them out.
In addition, payroll liability also comprises taxes. Businesses opt for keeping the payroll taxes with them. Hence, holding it from their employees.
Therefore, one should know what a payroll liability is.
To know more about how to zero out payroll liabilities in Quickbooks, read the full article.
Reading the article with utmost attention will thus be advantageous.
Payroll Liabilities – Meaning
Payroll liability is the type of liability which you owe to your employees.
In other words, it is the amount that you have not paid to the employees. Also, it is not a debt. It is only a liability.
It comprises payroll taxes also. The business keeps these payroll taxes with themselves. Similarly, these payroll liabilities also include amounts tracked on paychecks.
Payroll liabilities has the following examples :
- Contributions of Health insurance
- Contribution of 401(k)
- Union dues, and
- Child support garnishments
Requirements behind Zero Out Payroll liabilities in QuickBooks
Some important reasons hold the power to zero out payroll liabilities. The reasons are below :
- Necessity : It is necessary to pay all the liabilities. Therefore, one has to zero out a particular amount.
- Also, if the two match –
- the net compensation to employees, and
- net compensation of wages payable and payroll.
Then, you should zero it out.
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Hints indicating that you should zero out Payroll Liabilities
- If the employee receives more. And this amount exceeds the original payroll amount.
- In addition, if you get an error message.
- Likewise, if your bank seems perfect, yet it is not.
- And, if you have not updated the Quickbooks version.
Also Read: How To Fix QuickBooks Payroll Error 15311?
Causes behind Payroll Liabilities getting wrong
Payroll liabilities occur due to many significant reasons.. Thus, we have pointed down some causes for you :
- Wrong Amount
If you entered the wrong amount in the Liability check. Or in the deposit refund. So, payroll can show due balance.
- An amount missed
In addition, if there is a missing amount in liability due. It happens due to the presence of other liability checks.
- Account Inactive
If your liability account is inactive. It can cause issues.
- Upgraded files
Moreover, if there are upgraded files. The files must belong to the latest version of Quickbooks.
- Missing Liability
You get errors even if you find a missing liability.
Due to this, Intuit shows positive balances of taxes paid by you.
Hence, what can you do?
- Check Payroll
A checkup of Payroll is needed for users of :
- Enhanced, and
- Standard version of Quickbooks
- Contacting support team
One must contact the support team. Thus, they will solve the errors.
Likewise, they will see the payroll errors for you and fix them.
Also Read: How to Fix QuickBooks Payroll Error PS036?
Procedure to Zero out liabilities in QuickBooks
If you are looking to zero out payroll liabilities, this is the right place. Find the steps for the procedure below :
- The procedure begins through starting Quickbooks software.
- Then, go to the navigation center.
- Here, you need to check the payroll liability.
- This liability should be the payment done through cash or cheque.
- Continue the process and opt either view or pay tab.
- A liability check up appears on the screen of your system.
- Hence, opt for the expenses.
- And, then go to the account dropdown menu.
- Here, click at the expense account selected by you.
- This expense should be of at the time of recording payment.
- It will be safer to tick at no option when displayed in particular amount.
- Then, you have to add a negative value sum.
- This should be equal to the value of liability.
- Hence, proceed by choosing the recalculate option.
- This will zero out the payroll liabilities amount.
- Therefore, hit save.
- And then, click on close.
- This will complete the procedure.
You are done!
The procedure is finished. So, zero out payroll liabilities in Quickbooks yourself now!
The article above has provided all necessary information. The information above limelights on how to zero out payroll liabilities in Quickbooks. Yet, since errors can still occur while doing the procedure. Do not forget the support team!
The Quickbooks support team is available for you 24/7. In addition, the professionals are skilled. They will help you to overcome any issues.
Moreover, you can contact them through QuickBooks Helpline toll free number. Your issues will be solved easily and conveniently.
Hence, contact the team now. Solve any errors arising during the process.