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How do I set up an HRA in QuickBooks online?

Author

Christopher Snyder

Updated on March 11, 2026

How do I set up an HRA in QuickBooks online?

For Intuit Online Payroll:

Click Employees.
Click the employee's name.
Click Edit in the Pay section.
Select the Reimbursement box.
Click the Add/edit types link to the right of the box.
From the dropdown, select Add Reimbursement name.
Enter a name like "Take Command Health QSEHRA", and click Save.

Similarly, you may ask, how do I set up an HRA in QuickBooks?

Small ER HRA tax tracking type payroll item, here's what you'll need to do:

Go to the Employees menu at the top and choose Manage Payroll Items.
Choose Custom Setup and click Next.
Select Company Contribution and click Next.
Leave the agency information blank.

Secondly, how do I set up an HRA? You can set up an individual coverage HRA at any time. You'll need to provide a written notice to your employees as soon as they're eligible to participate and 90 days before the beginning of each plan year.

In this manner, how do I create a reimbursement in QuickBooks online?

Select Workers from the left menu, then select Employees.
Select the employee's name.
Select edit (pencil) icon beside Pay.
Under How much do you pay, select Add additional pay types.
Select Even more ways to pay drop-down, then select Reimbursement.
Select Done.

How do I enter a payment type in QuickBooks online?

Add or Change Pay Types in Online Payroll

Select the Payroll menu > Employees.
Select name of the employee.
Select Edit employee.
Under How much do you pay. . ., select Add additional pay types.
Select the pay type that fits your purposes. You may need to select Even more ways to pay. . . to make the pay type you're looking for available.
Select Done.

How do I record HRA reimbursements on Quickbooks desktop?

How do I record HRA reimbursements on Quickbooks Online and Intuit Online Payroll?

Select Employees, then select the employee's name.
In Pay section, select Edit.
Under What additional ways do you pay employee, select Show all pay types.
Select Reimbursement pay type.
Select OK.

How do I set up health insurance reimbursement in Quickbooks?

Here's how:

Select Workers from the sidebar menu.
Click Employees.
Choose the employee's name.
Click the Pencil icon beside Pay.
Under How much do you pay, select Add additional pay types.
Select Even more ways to pay drop-down, then select Reimbursement.
Hit Done.

How do I set up a qualified small employer health reimbursement arrangement?

Q: How Do I Set Up a QSEHRA (Small Business HRA)?

Step 1: Make sure you're an eligible employer.
Step 2: Decide who is eligible for a QSEHRA.
Step 3: Determine how much each employee can be reimbursed.
Step 4: Determine which expenses you want to reimburse.
Step 5: Pick a start date.
Step 6: Create your legal documents.

How do I report health insurance reimbursement on w2?

The Affordable Care Act requires employers to report the cost of coverage under an employer-sponsored group health plan on an employee's Form W-2, Wage and Tax Statement, in Box 12, using Code DD.

How do I report a Qsehra on my W 2?

Per the IRS, “a new box 12 Code FF has been added to report the total amount of permitted benefits under a qualified small employer health reimbursement arrangement (QSEHRA).” Therefore, when reporting QSEHRA benefits on eligible employees' W-2, you will need to state in box 12 (using Code FF) the total amount the

How do I categorize a reimbursement in QuickBooks online?

How to record an owner's expense reimbursement in online quickbooks

From QuickBooks Online, click the Plus (+) icon, select Journal Entry.
Enter an Expense account and debit the amount of the expense on the first line.
Select Owner's Equity or a Partner account and credit it for the same amount. Select Save and close.

How do I write a reimbursement check for an employee in QuickBooks?

Reimburse an employee

Click the Employees tab.
Select the employee name.
In the Pay section, click Edit.
Under Additional pay, select the Reimbursement checkbox.
Click Edit and enter a recurring amount or give the pay type a unique name (optional).
Click Save.

What type of account is employee reimbursement?

When you reimburse an employee, this will go to the liability account called Employee Reimbursements.

How do you record an owner's draw?

To record owner's draws, you need to go to your Owner's Equity Account on your balance sheet. Record your owner's draw by debiting your Owner's Draw Account and crediting your Cash Account.

How do you record reimbursed expenses?

Out-of-pocket expenses include such items as travel and entertainment and photocopying charges. If a customer agrees to reimburse you for these expenses, then you can record the reimbursed expenses as revenue.

How do I reimburse an owner in Quickbooks?

Using an Expense:

Go to the + sign and select Expense.
Purchased From (Choose a Payee): Yourself or your partner.
Bank Account: The account you reimburse from (bank or petty cash).
Payment Method.
Account: Owner's equity or Partner's equity.
Amount: Amount to reimburse yourself.

How do I reimburse myself for expenses in Quickbooks?

Write a check to reimburse the money:

Go to the Banking menu and click Write checks.
Pick the bank account to use for the reimbursed funds.
In the Expenses tab, choose Partner's equity or Owner's Equity.
Enter the amount of the reimbursement, then push Save & Close.

How do I track employee expenses in Quickbooks?

Reimbursing employees and how to track these expenses

Click the + New button, then select Expense.
Select the bank account to use to reimburse the payment made by the employee.
In the Category column, select a liability account.
Enter the amount of the reimbursement.
Click Save and close.

What does my HRA cover?

In 2019, HRAs can be used to pay for qualified medical expenses, which include prescription medications, insulin, an annual physical exam, crutches, birth control pills, meals paid for while receiving treatment at a medical facility, care from a psychologist or psychiatrist, substance abuse treatment, transportation

How does a HRA health plan work?

An HRA, or health reimbursement arrangement, is a kind of health spending account provided and owned by an employer. The money in it pays for qualified expenses, like medical, pharmacy, dental and vision, as determined by the employer.

How much can an employer contribute to an HRA?

A Typical employer contributions are one-half of the deductible amount of the health plan. For example, the health plan has a $2,000 deductible per individual employee and $4,000 deductible per family. This means your typical HRA contribution would be $1,000 for individuals and $2,000 for families.

Do you have to offer HRA to all employees?

A health reimbursement arrangement (HRA) allows an employer to design a health benefits offering that varies by employee and is not required to be provided to all employees at a company.

Can an employer administer their own HRA?

The other way employers occasionally administer an HRA is by self-administration. Self-administered HRAs: Technically, an organization can self-administer its HRA, but failure to comply with the minimum HRA federal administration requirements is common without utilizing proper HRA software or a TPA.

Can a small employer reimburse an employee for health insurance in 2019?

2? And the Trump administration finalized new regulations in 2019 that allow employers of any size to reimburse employees for the cost of individual market coverage, starting in 2020.

What is a PPO HRA?

HRAs are most often paired with PPO plans that have a high deductible, allowing you to pay for part of the deductible on behalf of your employees. In addition, at your discretion, money left over at the end of each year can be rolled over to the next year.

Can employers reimburse employees for health insurance in 2020?

Employers have two new options for providing tax-advantaged health reimbursement arrangements (HRAs) to their employees starting in 2020. HRAs are account-based health plans that employers can use to reimburse employees for medical insurance premiums and other medical expenses.

What does HRA stand for?

Health Reimbursement Arrangements

How do I enter an employee salary in QuickBooks online?

Add your employee to payroll

Open QuickBooks Online and go to Payroll.
Select Employees, then Add an employee.
If you want the employee to add some of their own info, enter the following in the Personal Info section: First and last name. Hire date. Email address.
Enter the info in each section, then select Done.

Where is payroll item list in QuickBooks online?

To do this: Go to the Lists menu, then select Payroll Item List. What is the Payroll Item List? The Payroll Item list holds the payroll items that are currently set up in QuickBooks.

How do I enter hazard pay in QuickBooks?

And then follow the steps below:

Go to Employees, then select Employee Center.
Double-click on the employee's name.
Select the Payroll Info tab.
Click on the blank area below Item Name column.
You can enter "Hazard pay" in the field.
Follow the onscreen instruction to set up successfully.
Select OK to save.

How do I adjust salary in QuickBooks?

If you're using QuickBooks Online Standard payroll:

Select Employees from the left menu.
Select the employee you wish to edit.
Select the edit icon next to Pay.
Select the edit icon next to the section #3.
Select the type of pay you wish to apply from the drop down menu.
Input the salary amount.
Select Done twice.

How do I add a payment method in QuickBooks?

Set up Payment Method in QuickBooks

From the Lists menu, select Customer & Vendor Profile Lists, then choose Payment Method List.
Select Payment Method and choose New.
Enter the appropriate Payment Method and Payment Type.
Select OK. IMPORTANT: The Payment Method should match the Payment Type.

How do I change my pay rate in QuickBooks?

Here's how:

Go to Employees.
Choose Employee Center.
Select and double-click the name of the employee.
Click the Payroll Info tab.
Under the Earning Table, you can manually enter the new hourly rate of your employees.
Click Ok.

How do I enter public holiday pay in QuickBooks?

Annual leave payroll tips with Quickbooks Online and Keypay

From the left hand side navigation bar > Employees > Click Payroll Settings > Click Public Holidays.
From the right top corner at the drop down box choose the state required to import the public holidays or leave at All States.
Click the cog wheel > Click Import Public Holidays.

How do I enter stat holiday pay in QuickBooks online?

How to add statutory holiday pay as a pay type

Go to the Employees or Payroll menu.
Select the employee by choosing their name.
If Stat Holiday Pay is not already added in the Additional pay section under Pay, select the edit pencil beside Pay.
Scroll the question 3 and select the edit pencil.
Select the Stat Holiday Pay checkbox.
Select Done.

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How do I set up an HRA in QuickBooks online?