New to quickbooks, entered all data back to Jan 1st 2009. Paid 2008 4th qrt payroll liablities Jan 13th. What account should I debit in the general ledger to off set the credit I need to make to show the acrual for the 4th qrt payroll liability?
When you paid the payroll taxes - you paid the liability on the books as of 12/31/2008. When your trial balance was entered as of 12/31/2008, you should have had a payroll tax liability matching the amount you paid in January. You will Debit that payroll liability and credit the cash when you write the check.
Hope this helps! If so, please mark Solved. If not, just ask more questions. Thanks so much.
Debbie
Thanks Debbie, but my problem is I didn't have any data from 2008, I've just started this for my company in 2009 and that's what I need to get in my books, the acrual for 2008 4th qrt payroll liability because it's not in there. Do I need to go back and create payroll for the 4th qrt in 2008 in Quickbooks (but that will mess up my checking account as I would have to show the paid salary wouldn't it?) or can I just adjust the general ledger and then what account do I debit in the GL, since it won't let me just credit the payroll liability account...I need something to debit.
You should have had beginning balances for your balance sheet accounts from 2008 which would show a payroll liability. If you don't have that then you can debit your payroll expense account but it could mess with the balance there for something that should have been taken in 2008. If you didn't account for payroll liabilities in 2008 and only claimed taxes as they were paid then you are probably okay to put it in the payroll expense account.
