QuickBooks Certification 2025 – 400 Free Practice Questions to Pass the Exam

The EZ setup wizard in QuickBooks is designed to streamline the payroll setup process, making it easier for users to get started with payroll functions. During this setup, certain types of payroll items may not be available due to the simplicity and focus of the EZ setup.

City/Local Taxes typically require more detailed setup and considerations than what the EZ setup wizard provides. This includes the need for specifying local tax rates and jurisdictions, which can vary widely depending on the employee's work location and could involve multiple localities. The intention behind the EZ setup wizard is to facilitate a quick and straightforward payroll structure, primarily focusing on more common payroll items that can be utilized without in-depth customization or local jurisdiction concern.

On the other hand, Compensation, Retirement Benefits, and Insurance Benefits are standard payroll items that can generally be set up easily through the EZ wizard, allowing users to designate employee pay types and associated benefits without navigating through complex configurations.