Hi there,
If you have employees who you pay on an hourly basis, you may want to use banked overtime instead of paying outright for overtime. In terms of dollars, it costs you the same, but the employee might prefer this benefit over pure cash. Don't worry, I'll shed some light on this for you.
At this time, QuickBooks Online doesn't have a feature for banking overtime automatically in the system. This will have to be done manually. Here's an article that helps you learn how to calculate banked overtime for your employees.
As explained in this article, all you need to do is track the employee's overtime hours, then convert these overtime hours to paid time off. For help setting up a time off policy, take a look at this article: Set up time off policy in Online Payroll.
That's all there is to it! I hope this gets you on the right track. Please don't hesitate to reach back out if you have any other questions.
Have a great day.
