Accounting Connection: Quickbooks Online to 7shifts Payroll

Once 7shifts Payroll is connected to Quickbooks Online via the accounting connection, it allows payroll data to flow directly into your QuickBooks account, reducing manual effort and ensuring accuracy in your general ledger. Here's what to expect with the integration:

  • Exports payroll details directly to QuickBooks Online.
  • Supports direct deposit and manual payroll entries.
  • Automatically creates journal entries when payroll moves to the "processing" status, if the Auto-Push feature is enabled.
  • Maintains an accurate General Ledger by mapping payroll categories to your Chart of Accounts.

Follow the steps below to connect your Quickbooks Online account to 7shifts Payroll.

Prerequisites

⚠️ The transaction date for journal entries will be the payroll approval deadline or payday if no deadline exists.

⚠️For questions about mapping categories, please reach out to your Quickbooks Online professional.

⚠️ The integration exports lump-sum totals for payroll categories (e.g., wages, taxes, benefits). Individual withholdings or employee-specific breakdowns are not included in the journal entries. For this level of data granularity, manually import the day data into Quickbooks Online.


Connect QuickBooks Online to 7shifts Payroll

  1. Log in to the web app as an Admin.
  2. In the left navigation bar, head to Payroll > Settings > Company Settings.

  3. Under Accounting Connection, click Update accounting integration:

  4. Select QuickBooks Online.
  5. Log in to your QuickBooks Online account when prompted.
  6. Follow the on-screen instructions to map your payroll fields to the appropriate accounts in your general ledger.
  7. Mapping payroll categories ensures journal entries align with your Chart of Accounts, reducing the risk of discrepancies. While the data is summarized, it provides a high-level overview that matches your payroll records.

    ⚠️ Unmapped payroll categories will not transfer to your General Ledger. Map all relevant categories, even if unused, to avoid errors in the future.
    The following payroll categories must be mapped to a chart of accounts to enable the proper flow of payroll data to QuickBooks Online.

    The categories that are optional can be marked in the dropdown as N/A. It is recommended that all categories are mapped to account in the event that you begin using the category in the future to prevent errors.

    Category

    Flow

    Description

    Sample Entries

    Wages and Salaries 

    Expense, 

    Debit

    All earnings paid to employees and contractors in the pay period. (Also known as “Compensation”. )

    • Employee Wages & Salaries (Gross Pay excluding Reimbursements)

    Contractor Payments

    Expense, Debit

    All earnings paid to contractors in the pay period. (Also known as “Compensation”. )

    • Contractor Payments
      (Gross Pay excluding Reimbursements)

    Expense Reimbursements

    Expense, 

    Debit

    All reimbursements paid to employees and contractors in the pay period.

    • Employee Reimbursements

    • Contractor Reimbursements

    Employer Taxes

    Expense, 

    Debit

    All employer taxes for the pay period.

    • Employer Taxes

    Employee Benefits

    Expense, 

    Debit

    All benefits paid by the employer and remitted by the employer for the pay period.

    • Employee Benefits

    Bank Account 

    Liability, Credit

    The account that funds the amount that the employer is liable for over a given pay period.

    • Cash Requirement (ACH) -- including any taxes and/or garnishments paid by Check

    • Checks, ie. Check #122 -- broken out individually

    Payroll Taxes Payable

    Liability, Credit

    All employer taxes to be paid 

    • Non-remittable Taxes 

    Cash Tips

    Liability, Credit

    All cash tips paid to employees directly

    • Cash Tips

    Imputed Income

    Liability, Credit

    Other imputed income such as use of a company car or gym membership

    • Other Imputed Income

    Other Payroll Liabilities

    Liability, Credit

    All employer benefits and PTDs to be paid out by the employer 

    • Employee Benefits Liabilities 

    • Garnishments

  8. (optional) Enable Auto-Push to have payroll journal entries automatically pushed to the general ledger as a new journal entry when payroll moves to the Processing status.
  9. Click Save.
  10. Once the setup is complete, payroll data will sync to QuickBooks Online as journal entries based on your selected mapping.

If you need to re-sync data after adjusting categories or need assistance with pushing past payrolls, feel free to reach out to our team.


Was this article helpful?
0 out of 0 found this helpful