It is a common worry that you are going to pay your taxes wrong because of fees and all that, now what I’ll say is take a breath we’ll figure it out there’s a lot to learn about payroll taxes so today I’m just going to teach you a couple reports to pull and how to actually pay your payroll liabilities in QuickBooks.
Don’t Assume Quickbooks is Set up Properly
So the first thing I’m going to teach you to do is don’t just assume that QuickBooks is set up properly or that if you just go in and pay your liabilities through the pay liabilities in the employee center that it’s going to be right. The first thing you want to do is go under reports; employees and payroll summary that is a first report that I recommend pulling then you are going to pull their report based off the period of time you are paying whether you are paying every month, every couple weeks, every quarter whatever it is you are going to pull it that way.
Print Out Your Payroll Liability Balance
Typically when you’re paying your payroll taxes unless you’re checking the percentage that you are getting withheld you don’t have to worry about that then what I recommend you do is go in and print a report and that report is going to be your payroll liability balance you can either print it just for the month or you can print it for the total. Verify with your highlighter that these totals also match your state so print two of each, highlight them, and verify because the payroll summary comes actually from processing the payroll report and the payroll liability actually comes from what has happened when you have been paying your taxes.
How to Pay Your Payroll Liabilities
So the next step would be going to pay your liability, so you click pay liabilities. To do this, we are going to create custom payments this is under pay liabilities tab in the pay employees center so create custom payments you are going to pick last month or whatever timeframe you are paying, you click OK and you’ll notice you have your bank account that you are paying it out of, the date you paid it you want to make sure that is correct, the period of time you are paying for and then you come along and you just check mark the state of and then you verify that it matched your report. Okay, that is the first thing you do, the second thing you do is you come along and you check your federal withholding Medicare both sides will automatically click and then Social Security and you make sure that matches what you came up with and then you go back. I recommend doing processing at once; select all your state and hit create. So after you verify your amounts, you click create then make sure that you change your check number to EFT if I’m using the EFTPS system for IRS or the EDD services where it is electronically taken out of my account and if you click the little forward button you’ll see the IRS saying where it’s paying it to and then hit save and close. The big important part is how you make sure you go into EFTPS with IRS or EDD with the state and you actually pay those taxes, don’t assume QuickBooks did it so one step is processing it in QuickBooks the next step is actually paying it.…