Make a fringe benefits adjustment

Sometimes an employer needs to account for fringe benefits after payroll has been processed. For example, your accountant might review your books after the year is over and ask you to add Group term life insurance to your employees’ compensation. If you've already paid the last payroll of the year, you can no longer add this fringe benefit to a paycheck. You'll need to enter a fringe benefit adjustment.

To enter a fringe benefit adjustment:

1. In the left navigation bar, select Employees.
2. Click the Run payroll drop-down arrow, and select Fringe benefits only.
3. On the Run Payroll: Fringe Benefits Only page, select an option:
   1. Yes, my business will pay the taxes
   2. No, my employee will pay the taxes

   Need more info before you decide? See Taxes for a fringe benefits adjustment.

4. Select the checkbox next to each employee to include in this fringe benefits adjustment run, and enter the value of the fringe benefit. (You can create adjustments for more than one employee at a time. Just select the boxes next to their names.)
5. Optionally, enter a message to appear in the Memo field of the check or pay stub.
7. Click Preview payroll.
8. Click Submit payroll.
9. Optionally, click Print checks or Print pay stubs. (The checks or pay stubs open in a separate page.)
10. When you’re all done, click Finish payroll.

Income tax withholding is applied differently on checks versus adjustments for fringe benefits.

See also

• Taxes for a fringe benefits adjustment
• Payroll topics

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