Hello there, Saucy Lisa,
You can set up and track your Employer-Sponsored Health Coverage using the tax tracking type, Health Coverage Cost. This is the tax tracking type mae to track the cost of the coverage which will then report on employees' Forms W-2 in box 12, code DD.
You can check this step-by-step guide to help you set up the payroll item for tacking: Health Coverage Reporting User Guide for QuickBooks.
You can also refer to this article for more information: QuickBooks Desktop Payroll: Reporting Employer-Sponsored Health Coverage Cost on Form W-2.
Let me know if you have questions about the process, I'm just a reply away.
