To record QSEHRA or ICHRA reimbursements in Paycom, add the approved reimbursement amount from your Take Command Reimbursement Statement as a non-taxable employer-paid health reimbursement entry in Payroll Data Input using Paycom’s “Employer Health Insurance Reimbursement (HRI)” deduction code and enter the amount as a negative value.
Before you start recording reimbursements
Before entering reimbursements into Paycom:
Log in to your Take Command Admin Portal
Download your latest Reimbursement Statement
Confirm each employee’s approved reimbursement amount
Verify the correct pay period you are processing
Only approved reimbursement amounts from the Take Command statement should be entered into payroll.
How do I record HRA reimbursements in Paycom?
Follow these steps inside Paycom:
Start a new payroll run in Paycom
Navigate to Payroll Data Input
Select the employee receiving the reimbursement
Scroll to the Deductions or Reimbursements section
Click Add
Select the deduction code:
HRI – Employer Health Insurance Reimbursement
Enter the reimbursement amount as a negative value
Example: $100 reimbursement = -100
Click Update
Repeat for each eligible employee
Continue and complete the payroll run
This ensures reimbursements are included in the employee’s paycheck as a non-taxable benefit.
Why do I need to enter a negative amount?
Paycom uses deduction-style fields for reimbursements.
Positive values reduce pay
Negative values add reimbursement to the paycheck
Entering a negative value ensures the employee receives the reimbursement amount correctly.
Are HRA reimbursements taxable in Paycom?
Most QSEHRA and ICHRA reimbursements are non-taxable when:
The employee has qualifying Minimum Essential Coverage (MEC)
The expense is eligible under HRA rules
The reimbursement is approved in the Take Command Reimbursement Statement
When entered correctly in Paycom:
Reimbursements are excluded from taxable wages
They are not subject to payroll taxes
They do not appear as regular compensation
What should I use to determine reimbursement amounts?
Always use the Take Command Reimbursement Statement.
It provides:
Approved reimbursement amounts per employee
Monthly eligibility and allowance limits
Any carryover or adjustments
Taxable vs non-taxable breakdown (if applicable)
Do not estimate reimbursement amounts manually.
What if I need to make one-time vs recurring reimbursements?
One-time reimbursements
Enter during the payroll run for that specific period
Do not set up recurring entries
Recurring reimbursements
Can be configured if employee reimbursement amounts remain consistent
Must be updated whenever allowance or eligibility changes
Always re-check the monthly Reimbursement Statement before each payroll.
What if I entered the wrong reimbursement amount?
If an error occurs:
Return to the payroll run in Paycom
Locate the employee’s reimbursement entry
Edit the HRI deduction amount
Save and re-run payroll calculations if needed
Confirm correction appears in final payroll preview
Corrections should be made before payroll is finalized.
What does Take Command do vs Paycom?
Take Command responsibilities
Tracks employee eligibility
Reviews and approves claims
Generates monthly Reimbursement Statements
Ensures IRS compliance rules are met
Paycom responsibilities
Processes payroll
Applies reimbursement entries
Issues payments to employees
Take Command does not process payroll payments directly.
What does NOT happen automatically?
Entering reimbursements in Paycom does NOT:
Pull reimbursement amounts automatically from Take Command
Update payroll without manual entry
Determine tax classification inside Paycom
Replace the need to use the monthly Reimbursement Statement
Payroll administrators must manually enter approved amounts each cycle.