QuickBooks calculates gross pay as follows:
all compensation+special compensation (such as commissions) + taxable
company contributions + additions to gross (in the order you add them to the
In general, the position that an addition to gross has in the table affects
how QuickBooks calculates deductions based on a percentage of gross.
An employee has a salary of $1,000, an addition to a gross of $100, and a 2%
deduction from gross.
If you enter the addition first, QuickBooks calculates the 2% deduction on a
gross of $1,000 + $100, or $1,100. The net salary is $1,078 ($1,000 + $100
If you enter the deduction first, QuickBooks calculates the 2% deduction on
a gross of $1,000. The net salary is $1,080 ($1,000 - $20 + $100).
Affecting amounts and gross pay on