How to setup payroll in QuickBooks:
- In the navigation bar Click employees.
- Click turn on payroll.
Note: That you need to have master administrator or company administrator privilege in QuickBooks to turn on and use payroll.
- Once you activate payroll page loads click start your free trial.
- on the welcome dialogue box Click
- Go to the company menu with the gear icon and select payroll settings under settings.
- On the company profile page you can fill in details about your business such as business address, phone number, type of business, website, email id, stitchery registration number etc.
- Be sure to save any changes you have made click configure rules in the left menu.
- Here you can select a whether login to the employees self service portal is using employee email or employee id.
- QuickBooks can generate employee code automatically if you prefer.
- Click advance rule to see even more options.
- Scroll down and click save button.
- Masters are list elements such as department, designation, which you can setup and subsequently choose when creating when creating employees.
- The locations page allows you to to include multiple locations of your operations.
- On the bank page add details of the businesses bank accounts that will be used to pay employees.
- On the leaves page you can create various types of leaves and rules associated with them.
- LOP or Loss of Pay is a default leave type auto created by the program.
- As an example we will setup earned leave click Add leave.
- Enter a name and abbreviation for the leave.
- The abbreviation is used in payroll reports.
- Select the credit frequency and the day on which to apply the credit.
- Enter the number of days to be credited.
- Enter encashment and carry forward specifications
- Under the rules tab there are various other rules you can apply.
- Under the applicability tab enter criteria for the types of employees the leave applies to
- Check select all in checkbox.
- Click permanent from the checkbox.
- Now click on the save button.
- On the holydays page you can setup all the days off including weekly days off as well as annual holydays.
- Click on weekly holiday tab and select days and click on save button.
- Now go on general holyday tab and select date and type holyday name after then click on save button
- Under the PF Rules tab fill in all the details.
- First select effective date.
- Enter restricted Basic Salary.
- Now enter the EDLI charges.
- After this enter the EDLI admin Charges
- Click on the Save Button.
- On the salary components page you will see all the typically used standard components
- You can add additional salary components by clicking new.
- Enter a name and abbreviation for the salary component.
- The abbreviation is used in payroll reports.
- Go through the remaining detail and click Add when finished.
Now let’s adding your employee
- Click Add Employee.
- In the first page enter all the employees’ personal detail on the first page such as name, address, DOB, etc.
- After filling all detail click on Next Button.
- The second page has field for all official details such as joining date, job type, payment mode, etc.
- On the third page select if the employee has PF or ESI eligibility.
- On the fourth page, enter leave details.
- On the fifth page enter the CTC amount and click calculates.
- All the components are automatically calculated and scroll down.
- Now click finish and the new employee has been added to the payroll.
- Once your employees are the setup you can run payroll click on run payroll.
- Check attendance in case any leaves need to be applied.
- Click Next to make any payment adjustments needed for a single employee or for all employees.
- For example, we are adding incentive to the current month’s salary.
- Click on + Button on the right corner and select employee Wise Pay adjustments.
- Here Add Employee Adjustments dialogue box appears.
- Select an employee from the list and enter the amount.
- Now click Save button and after that click
- Double click on employee in the conform payroll grid.
- The employees pay slip preview shown.
- Now click OK and Next
- Once your payroll is completed you can download salary register as an Excel worksheet click
- The employee’s page updates to reflect the latest payroll click preview payroll.
- Select a month double click in the entry to preview the pay slip you can also download the pay slip.
- click close
- Click the arrow next to run payroll a select unlock select the month and variables that you wish to lock.
- Under recent transactions, you can see that a journal entry has been made for the payroll that was just run.
- QuickBooks Payroll Technical Support