Payroll Bonus Paycheck

***Note that the checks are referred to as Bonus/Commission pay checks, however in AccountEdge 2015 a specific feature for paying commission was added. Click here to learn about paying commission in AccountEdge 2015 and later.

There are four payroll options to paying employees a bonus:

  1. Include the bonus /commission on a regular check using a regular Wage Category
  2. Include the bonus / commission on a regular check using a different (bonus / commission) Wage Category
  3. Create a separate bonus / commission check using a regular Wage Category
  4. Create a separate bonus / commission check using a bonus / commission Wage Category

If the employees are paid hourly, and timesheets are used, the procedure starts with one of the following timesheet options:

  1. Include the bonus / commission on a regular check (in a regular pay period) using either a regular or bonus / commission Wage Category
  2. Create a new timesheet for a one-day period, indicating at least 1 hour in either a regular or bonus / commission Wage Category
  3. Add at least 1 hour in either a regular or bonus / commission Wage Category on an old, already-used timesheet

If a Bonus / Commission Wage Category is needed and timesheets are used, the Type of Wage needs to be Hourly. Otherwise its type can be Salary or Hourly.


For Hourly with Timesheets:

  1. Create the Bonus / Commission Wage Category, if required
  2. Select one of the timesheet options (see above), and make a 1-hour entry
  3. Select Process Payroll in the Payroll Command Center
  4. Select Bonus/Commission in the Process All Employees paid dropdown
  5. Enter the appropriate payment date
  6. Select the correct pay period
  7. Click Next
  8. Click the arrow to the left of the employees' names to edit the paycheck, adding the Bonus / Commission amount, and clearing or adjusting the hour entered on the timesheet
  9. Click OK
  10. When all edits are complete, continue with payroll

For Hourly (without Timesheets) and Salary:

  1. Select Process Payroll in the Payroll Command Center
  2. Select Bonus/Commission in the Process All Employees paid dropdown
  3. Enter the appropriate payment date
  4. Select the correct pay period
  5. Click Next
  6. Click the arrow to the left of the employees' names to edit the paycheck, adding the Bonus / Commission amount
  7. Click OK
  8. When all edits are complete, continue with payroll



Tax Rates on Bonus/Commission Checks
Please note that Bonus/Commission checks will be taxed differently than a regular paycheck. As of 2018 the US federal government recommends the supplemental tax rate of 22% will be used when calculating Federal Income Tax. If an employees wages exceeds $1 million, everything above $1 million will be taxed at 39.6%. For Canadian payroll bonuses and commissions are taxed at special rates which need to be manually calculated and entered.