Banking

Thanks for joining in on this thread, steven. Allow me to give you insights about payroll transactions from your bank feeds in QuickBooks Online (QBO).

You’re correct that the only way to keep your records accurate is to Exclude the transaction from your bank feeds. After that, we can utilize a Journal Entry (JE) to move the amounts recorded from the incorrect account to the correct one.

First, let’s create the JE to safeguard the recording of the transactions. Nevertheless, I recommend doing this with the guidance of your accountant to properly account for the transactions. Here’s how we can start:

1. Click the + New icon and select Journal Entry.
2. Choose the accounts where to Debit and Credit the amount in the Account field.
3. Check the amounts and ensure you enter the same amount in the Debit and Credit fields.
4. Enter more information you may have to easily track the transaction.
5. Then, click Save and close.

I also added this article for more details: Create journal entries in QuickBooks Online.

To start removing the incorrect postings from your bank feeds, we can go ahead of exclude them. Please take note that excluding transactions will remove them from the For Review tab, and the Exclude section will serve as the trash bin of your deleted download bank transactions. Use the steps below to begin:

1. Go to the Banking menu in the left panel and choose Banking.
2. In the For Review tab, select the payroll transaction that has been posted incorrectly.
3. Tap on the Exclude button.

Moving forward, let’s avoid this from happening again by correcting the payroll bank account set in your payroll settings. I’ll show you how:

1. Go to the Gear icon and select Payroll Settings.
2. Scroll down to the bottom to see the Bank Accounts section. Tap the Edit icon to make changes.
3. Select Update and press the Add new bank account.
4. Look for your bank name and enter your online banking user ID and password.
5. After that, click Accept and Submit.

You can also manually change the bank connection by selecting the Enter bank info manually option from Step 4 given above. Then, verify if it’s connected by going over to this article and referring to Step 5: Verify your bank account (if you connected manually) in this article: Change your payroll bank account.

Additionally, QuickBooks offers a variety of payroll reports. This will give you a more thorough picture of the gross pay, deductions, and tax data for your employee over a specific time frame. For a comprehensive list of available payroll reports and instructions on how to get them, please visit this article: Run payroll reports.

I can help keep your records precise. Thus, you can always post if you have more concerns about managing transactions or any QuickBooks-related matters. I’m just a post away, and take care!