Hi there, ptheo1.
Welcome back to the QuickBooks Community. I appreciate you for performing troubleshooting steps to fix the issue about generating worksheet 2. With this, I'll ensure to share details about 941 Worksheet 2 and how it works.
If you have the FFCRA items calculate on the paychecks and you are referring to sick and family wages, worksheet 2 will not generate in the system once this wasn't included in setting up your payroll. That said, I suggest checking the guidelines for ERC or check with IRS on who's eligible for ERC. This is because when setting up the Employee Retention Credit in your payroll, you need to make sure you qualify for the credit. The size of your workforce, the structure of your business, and the reason why your business may or may not be closed all effect whether you can take this credit.
Once you've concluded you are eligible to accept the credit, you'll have to first set up your payroll to accept and track the credit. Since the Employee Retention Tax Credit covers regular time, overtime, and company contributions to health care, you’ll need to set each of these items in your payroll. You can click this article to see the additional details and how to perform the process. How to set up and track the Employee Retention Credit.
If everything is already set up and the issue persists, I suggest contacting our QuickBooks Support Team. They have the tools to pull your account and assist you in populating Worksheet 2 for the Employee Retention Credit (ERC).
Please refer to this article to view various information on how QuickBooks populates each line and an equivalent report from your payroll software: How QuickBooks populates the 941.
Please know the Community has your back. If you have any clarifications or other concerns, click the Reply button and add a comment. I’ll jump right back in to assist further. Have a good one.
