Employees and payroll

Good day, @ialam.

Thanks for reaching out to us. Let me help provide some additional information about Health Savings Account (HSA) contribution. 

For shareholder-employees who own 2% or more of an S Corporation, do not select Company HSA contribution. Your contributions are taxable at the federal level and in some states. In this case, you'll need to set up S Corp item instead of HSA Contribution.

Here's how to add the S-corp owners health insurance pay type for an employee:

1. In the left navigation bar, click Employees. 
2. Click the name of the employee you want to pay S-corp owners health insurance amount.
3. Click Edit employee.
4. Under How much do you pay this employee? click Add additional pay types if you haven't selected any other pay types, or click the pencil icon if you have.
5. Select the S-Corp Owners Health Insurance checkbox. If the pay type is not in the Additional pay types list, click Even more ways to pay this employee to see more pay types, and select it from there. 
6. Click Done.

For additional reference, please check these articles:

• S-Corp Owners Health Insurance.
• Supported pay types and deductions explained.
• W2 form boxes explained.

If you need further assistance with the steps from our live support, here's how you can contact them: 

1. Sign in to your QuickBooks Online company.
2. Select Help (question mark icon) at the top right.
3. Click Contact us to connect with a live support agent.

Don't hesitate to leave a comment below if you have any other questions. Have a good one.