Thanks for checking this with us, ajsutter.

Let's record your personal expense charge on your company business account. Follow the steps below to be guided:

1. Go to Payroll, then Employees.
2. Select the employee’s name.
3. In the Pay types section, select  Edit.
4. Scroll to the Additional pay types section and select Reimbursement.
5. When you’re finished, select Save.

Once done, you can create a paycheck and enter an amount in the Reimbursement field.

To create a check: 

1. Go to the  Payroll menu, then select Employees.
2. Click Run Payroll.
3. Select your desired payroll schedule, then Continue.
4. Fill in the necessary information.
5. Select Preview payroll.
6. Choose Preview payroll details or Submit payroll.
7. Select Finish payroll.

More about the whole process of reimbursing an employee can be found in this article: Reimburse your employee

Anything else you need help with can be answered here in the Community. Just let me know and I'd be happy to assist. Have a good one.

The employees need to reimburse the company for personal charges they put on the company credit card.  The company is not reimbursing the employee.

Thanks for getting back to us with clarification on your concerns, @ajsutter. I'm here to guide you in deducting the personal charges from the employees' paychecks.

To do this, you'll need to l set up a Payroll Deduction item from Net pay as wage garnishment. 

Here's how: 

1. Go to the Workers tab, then click Employees.
2. Select the employee's name, then select Edit next to Pay.
3. In section 5, select + Add a new deduction or + Add deductions.
4. From the Deductions/contributions dropdown menu, choose New deduction/contribution.
5. Choose a Deduction type and Type from the small arrow icon, then enter Provider name(appears on a paycheck).
6. From the Amount per pay period icon, choose $ amount or % of gross pay and enter the $ amount or percentage. Do the same for the Company-paid contribution as applicable.
7. Click OK, then Done.

To match the reimbursement to the expense, use the same account in the payroll item to be used for the deduction on the employees' paycheck. 

To make sure your books are correct, I'd recommend consulting an accountant.

Keep in touch if you have additional questions. I'll be here to guide you more. 

It doesn't seem to be possible to "Categorize" the deduction into an account. Edit Paycheck only allows editing of the amount to deduct.

What would be the best way to direct the deducted money to a Current Liability account used for tracking an employees debts? A journal entry will work, but no one likes doing those. A transfer?

It sure would be nice to be able to just pick the account on the paycheck page, so if I missed it please let me know.

Yes, you're correct. To properly categorize the deduction to an account, you need to map them correctly in the accounting preferences, CreativePrinters. Let me guide you with this.

QuickBooks automatically creates default accounts where your payroll liabilities and expenses are recorded. For a direct way to deduct the employee's debts to a current liability account, you need to update your payroll settings and choose which account the transactions should go to.

Here's how:

1. Go to the Gear icon.
2. Select Payroll Settings under Your Company.
3. In the Preferences section, click Accounting Preferences.
4. Select Edit ✎ to update a specific section.
5. Enter the account name, or scroll to choose which account the transactions should go to.
6. Click Save, then Done.

For detailed information about the process above, see this article: Change your accounting preferences in QuickBooks Online Payroll.

Also, I'd suggest contacting your accountant if you are unsure about the account type to be included. They can provide guidance on which account to use to ensure that the payroll mapping is accurate.

Additionally, I'll be sharing these resources that will guide you in managing deductions and payroll reports for your employees:

• Set up, change, or delete employee-paid payroll deductions
• Run payroll reports in QuickBooks Online Payroll.

Feel free to contact me with any questions or concerns regarding payroll. I am more than happy to answer your questions. Take care.

Are the same steps for Quickbooks Desktop?

The navigation process in QuickBooks Desktop (QBDT) will differ from QuickBooks Online as they're different platforms with distinct features, Nina27. I'm here to provide the converted steps to reimburse an expense charged to your company's account for your convenience.

In QBDT Payroll, you can create a payroll deduction item to subtract an amount from an employee's paycheck to reimburse personal expenses paid by your company. Let me show you how.

1. Head to the List menu, then select Payroll Item List.

2. Click the Payroll Item dropdown at the bottom and choose New.

3. Pick Custom Setup, then hit Next.

4. Follow the on-screen instructions and note the following:

• Payroll item type: Select Deduction.
• Name used in paychecks and payroll reports: Key in a name.
• Agency for employee-paid liability: Leave the Agency Name and Agency Identification Number field blank. As for the Liability account, consult your accountant to know if you'll use Payroll Liabilities or another account.
• Tax Tracking type: Pick None if it's non-taxable. Otherwise, choose the appropriate deduction type.
• Taxes: Ensure not to select anything and click Next.
• Calculated based on quantity: Determine how you want this item to be calculated.
• Gross vs. net: Select net pay to prevent this from affecting the gross wages that appear on your forms.
• Default rate and limit: Leave all of the fields blank.

5. Select Finish once done.

Moreover, you can add the item to the employee's profile to automatically include it when running the payroll. Proceed to Step 2 under QuickBooks Desktop Payroll in the Set up a new deduction item section in this material for guidance: Set up, change, or delete employee-paid payroll deductions.

On the other hand, consider running payroll reports if you want to review payroll-related data, depending on your business needs.

Kindly utilize the Reply button on this thread to notify us of any future concerns you may have when reimbursing personal and company expenses in QuickBooks Desktop Payroll. You can rely on us to share all the feasible solutions applicable to your situation.

Got the payroll deductions correct. Now, how do I credit my expense line item, such as travel,etc.

Ex: employee used the company card for gas in their personal vehicle. It has been deducted from payroll, but the initial charge was placed into the travel expense line account. I need to credit the travel account to have proper P&L reports. 

What is the best way to go about this?  

Thanks for this info. I have the payroll deductions set.

But what is the best process to credit my expenses for my P & L reports.

Great work on setting your deduction, Trm05. Managing an employee's expense charged to a business account needs proper handling and documentation. Let me share how to deal with this transaction and reflect them in your profit and loss.

To credit your travel expense line item for the gas charge incurred by the employee, consider utilizing journal entries to credit the expense accounts.

Follow these steps:

1. Go to the Company menu and select Make General Journal Entries.
2. Select an account, and enter the amount you owe your employee.
3. Choose the category and the amount.
4. Select Save or Save & Close.

If you are using QuickBooks Online, you can follow the steps in this article: Create journal entries in QuickBooks Online.

While you can make these adjustments, you can consult your accountant for guidance on how to handle these corrections. They can offer insights into any potential effects on your financial statements and ensure you remain compliant with accounting standards.

Furthermore, discover how QuickBooks Online Payroll and QuickBooks Desktop Payroll calculate taxes, enabling you to understand the tax amounts reflected on your employees' paychecks and payroll forms in this article: Understand how your payroll taxes are calculated.

Drop your comment below if there are things you need to achieve while managing your payroll deductions. We'll be here to guide you along the complete process. Take care.