All original employees filter to COGS wages as they should. New employees are filtering to Expense Payroll Expenses Wages... Nothing has changed in entry process?

Good day, @tracie4.

I’d like to take this opportunity to help ensure your payroll items are mapped under the correct account in the Chart of Accounts.

Let’s review how the payroll expenses for your new employee’s were set up in the payroll accounting preferences window. Here’s how:

1. Click the Gear Icon.
2. Choose Payroll Settings.
3. Select the Preferences tab.
4. Click Accounting Preferences.
5. Under the Wage Expenses Accounts section, ensure to select All employee’s wages go in the same accounts.
6. Click Ok. 

That should do it! This will allow you to account all your employee’s payroll wages under COGS.

Please don’t hesitate feel free to visit us here in the Community if you have other questions about setting up your payroll accounting preferences. I’m always here to help.

Payroll is an expense, it is not COGS

IF, if you were to post payroll to COGS, you would ONLY post the wages earned by employees who actually make what you sell.  And then, just as COGS means cost of goods sold, only the wages that pertain to the items sold would post in COGS