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August 13, 2025
Question

Pay Types

  • August 13, 2025
  • 1 reply
  • 19 views

Shouldn't the cost rate update depending on the pay type you set up? When I pick OT pay rate that I set up for the employee, it still says the regular rate & I have to manually overrride it. Thanks!

1 reply

Moderator
August 13, 2025

Handling your query would depend on which area you're trying to select the OT pay, Lisa.
 

To confirm, may I ask which area in QuickBooks you've tried to apply the OT pay that reflects the regular rate? Sharing this additional information could help us provide a precise resolution and insights.
 

If you're trying to select the OT pay through the Weekly timesheet, the cost (billing rate per hour) will not update automatically. It will show the value of the Service you've selected. In this case, you'll need to enter the actual amount:

 

The same goes for the Single time activity:

 

 

On the other hand, if you mean the Cost rate from the Employee details section of the employee's profile, please know that adding OT as a pay type will not impact its amount. This section is designated for your estimated total hourly cost per employee that includes wages, taxes, workers' compensation, and other benefits:

 

 

For more information about the cost rate, check out this link: Track hourly labor costs and profitability by project in QuickBooks Online.

 

If you mean something else about your concern, kindly add a reply below.