- Medicare Company

Medicare Company type payroll items are used to accrue the company portion of medicare tax. You may have only one item of this type in a company file.

Lookup—Enter a brief identifier for the payroll item. It can be any desired alphanumeric combination. Each Lookup must be unique. It should not be more than 7 characters.

Description—Enter a meaningful description in this field. 

Expense Account

Select a default expense account from the drop-down list. This account will only be used if the FICA Expense Account field in the Payroll Department is set to On Item.

Liability Account

Select the appropriate general ledger account that should be credited for the accrual. Any class of account may be selected. If you want the system to create a payable invoice for this deduction, you must select a liability classification account.

Payable To

Select the desired payee if you want the system to create a payable invoice for this deduction.