Do you need help implementing the employee retention credit (ERC) in QuickBooks Online (QBO)? If so, you've come to the right place. In this article, we'll provide information and guidelines on how to apply for the ERC in QBO. The ERC is a refundable payroll tax credit that offers financial aid to companies affected by the pandemic and encourages them to keep their employees on the payroll. When done correctly, this will effectively introduce an employee's “negative payroll information”, so that the ERC tax refund you receive can be related to a specific employee. To get started, go to the “Payroll” menu and then select “Employee”.
Select the employee to whom you want to add the payment type. In the “How much do I pay an employee?” section , select the “edit” icon to add more payment types. Once you've done that, you'll need to enter the amount of the ERC payment and select “Employee Retention Credit” as the payment type. This will ensure that the ERC is properly applied to your employee's payroll information. Finally, you'll need to enter the amount of the ERC payment in the “Employee Retention Credit” field. This will ensure that the ERC is properly applied to your employee's payroll information. By following these steps, you can easily apply for the employee retention credit in QuickBooks Online.
Doing so will help you take advantage of this valuable tax credit and keep your employees on the payroll.