During the payroll setup process, which tab is used to set deductions, taxes, and sick/vacation time?

• A. Time and Expense tab
• B. Company Preferences tab
• C. Employee Center
• D. Payroll Info tab

Answer: (D)

Payroll-specific settings for an employee are configured on the Payroll Info tab. This is where you define tax withholdings (federal, state, and any local taxes), any payroll deductions (such as retirement contributions or health insurance), and how paid time off like sick and vacation is accrued and tracked. QuickBooks uses these details during each payroll run to calculate net pay and update PTO balances.

The other tabs serve different purposes: Time and Expense is for recording hours and reimbursements, Company Preferences holds global payroll or company-wide defaults, and the Employee Center is primarily for managing basic employee data, not per-paycheck payroll calculations.