Adding Employees in CustomBooks™'s Cloud Payroll Module

Adding employees manually to the Cloud Payroll module in CustomBooks™ is a straightforward process. This guide will take you through the necessary steps and information required to successfully add employees to your payroll system.

As a payroll admin, you will also have the option of having employees self-onboard. They will be sent a link to do so after their initial information has been completed (name, work address, start date, and personal email). Their onboarding status can be monitored from the Employee list by navigating to Payroll > Employees within the application. 

Steps to Add Employees

1. Access the Employees Section

Navigate to the "Employees" section in the Cloud Payroll module. Here, you can add, update, or remove employees.

2. Gather Required Information

Before adding an employee, ensure you have the following information ready:

• Personal Information: Name, Social Security Number (SSN)
• Work Information: Start date, compensation details
• Tax Details: Filing status
• Banking Information: Account number
• I-9 Form: Required for employment eligibility verification

Click on "Add Employee" to begin the process.

3. Enter Personal Details

Fill in the employee's personal details, including:

• Legal first name
• Preferred first name (optional)
• Middle initial (optional)
• Last name
• Work address
• Start date
• Personal email
• Social Security Number (SSN)
• Date of birth
  

4. Compensation Details

Next, enter the compensation details for the employee:

• Job title
• Employee classification (Paid by the hour, Salary with/out overtime, Commission only with/out overtime, Owner's draw)
• Compensation amount
• Payment frequency (per hour, week, month, year, or paycheck)
  

5. Home Address

Enter the employee's home address. This address is used for mailing and other official purposes. You can also setup courtesy withholding if desired. 

6. Federal Tax Withholdings

Set up the federal tax withholdings by entering the following information:

• Federal filing status
• Multiple jobs indication (if applicable)
• Dependents total (if applicable)
  
• Other income (if applicable)
  
• Deductions (if applicable) 
  
• Extra withholdings (if applicable) 

Refer to the IRS calculator for accurate withholding amounts. If possible, have the employee's W-4 form available to ensure correct information. 

7. State Tax Withholdings

Enter the state tax withholdings for the employee. This includes:

• Filing status
• Additional withholding amounts
• Annual withholding allowance
• New hire report filing status
  

8. Payment Method

Select the payment method for the employee, either direct deposit or check. For direct deposit, enter the employee's bank account details. Multiple accounts can be added and payments can be split accordingly. 

9. Required Documents

During onboarding, employees will sign and upload necessary documents, such as:

• Tax withholding (Form W-4)
• Direct deposit authorization
  

10. Deductions

If applicable, add any deductions from the employee's paycheck, such as for housing, meals, or transportation. To learn more about adding deductions, please see the related knowledge base article. 

11. Summary

Review all the entered information in the summary section. Ensure that all details are correct before finalizing the employee setup.

Conclusion

By following these steps, you can efficiently add employees manually to the CustomBooks™ Cloud Payroll module. Ensure all required information is gathered and entered accurately to avoid any issues with payroll processing. If you need further assistance, please contact our support team.