AL OT ? for online payroll user that doesnt use AUTO payroll

Let me help you with setting up QuickBooks Payroll to track overtime pay exempt from Alabama (AL) withholding tax in QuickBooks Online (QBO), LDO.

Effective January 1, 2024, the pay for those extra hours is exempt from AL income tax if an hourly employee works more than 40 hours in a week. Here’s more about the state law on how to track it and report it in QuickBooks Online Payroll and QuickBooks Desktop Payroll:

• Understand AL overtime exemption
• Track the AL overtime exemption
• Report the tax-exempt amounts to AL

We need to manually calculate the tax-exempt pay amount and add it to your employees when you create your payroll. For more details, please check out this article: Set up and track Alabama overtime exemption. If you need further assistance with the setup, please contact our Payroll Support Team. They'll pull up your account in a secure environment and help you with this one. Here's how: 

1. Go to Help.
2. Select Search.
3. Click Contact Us.
4. Enter Payroll account is placed on hold in the What can we help you with? text area.
5. Select Continue.
6. Click Chat with us or Have us call you.

I want to include that reaching out to our Customer Care Support is best during business hours from 6 AM-6 PM PT Mondays-Fridays. Use this article to learn more: QuickBooks Online Payroll Support.

You may also read this reference for another mode of payment and form filings to use: Pay and File Payroll Taxes and Forms in Online Payroll. Feel free to visit our QuickBooks Online Payroll Hub page for more insights about setting up and processing payroll seamlessly in the future.

Keep in touch with me if you have any other concerns or questions about payroll or your account. I’m always around ready to back you up. Keep safe and stay well!