Payroll done by accounting firm - I am tracking in PC

[GFBCUser]

We have an accounting firm that processes our payroll and pays the taxes to both state and federal. We only have three employees, and the accounting firm debits the church’s checking account for the total of their salaries and direct deposits their biweekly salaries into their checking accounts. Last year all their income was on 1099, this year we went to employee status.

I have now set up the payroll module with the three employees, all the deductions etc. to where if I was actually running payroll I could’ve done it. The question is now, what’s the best way to keep track without actually running payroll? Or some way to run payroll in PC and have the results show correctly with the firm doing the cutting of the checks and taking care of the taxes and W-2’s.

Before I set up the payroll, I was just running a repeating transaction which debited each of their salary accounts – the total agreed with the amount the accounting firm debited from the checking account. However, the firm will be paying the federal taxes monthly (separate transaction debited from our checking account), and state taxes quarterly (separate transaction debited from our checking account). With the payroll that I set up, all of that was tracked…(still haven’t “run” a payroll yet).

Hopefully you can help…thanks in advance.

[NeilZ]

We have an accounting firm that processes our payroll and pays the taxes to both state and federal. We only have three employees, and the accounting firm debits the church’s checking account for the total of their salaries and direct deposits their biweekly salaries into their checking accounts. Last year all their income was on 1099, this year we went to employee status.

I have now set up the payroll module with the three employees, all the deductions etc. to where if I was actually running payroll I could’ve done it. The question is now, what’s the best way to keep track without actually running payroll? Or some way to run payroll in PC and have the results show correctly with the firm doing the cutting of the checks and taking care of the taxes and W-2’s.

Before I set up the payroll, I was just running a repeating transaction which debited each of their salary accounts – the total agreed with the amount the accounting firm debited from the checking account. However, the firm will be paying the federal taxes monthly (separate transaction debited from our checking account), and state taxes quarterly (separate transaction debited from our checking account). With the payroll that I set up, all of that was tracked…(still haven’t “run” a payroll yet).

Hopefully you can help…thanks in advance.

Frankly, why bother unless you're planning to take over full payroll later in the year.

You're always going to have some issues with Federal taxes as they accounting firm may use a different method than Powerchurch does. They may use the bi-weekly tables,whereas Powerchurch uses the annual.

Unless you're actually going to 'run payroll', then Post to funds accounting, its much easier for you to just create the entries in Accounts Payable as manual checks. Because the only way you're going to keep Payroll in sync is to 'run payroll'.