How do you log Paid Time Off for a W2 employee?

Setting up an employee's paid time off for a vacation is made easy in QuickBooks Online (QBO. Let me guide you on how Steve-hartman-ha.

We can set up your employee’s paid or unpaid time off pay policies to track the accruals in QBO. For tracking the total time off, we can enter them in the Time Off Policies section where you can enter the hours accrued. See the screenshot for your reference:

You can follow the steps below to create your time off pay policies:

1. Go to Payroll, then Employees.
2. Choose your employee.
3. From Pay types, click Start or Edit.
4. Scroll down to the Time Off Policies section. Select Add new [time off pay] policy from the dropdown ▼ menu to add a policy for:
   • Paid time off
   • Unpaid time off
   • Sick Pay
   • Vacation Pay
5. Complete the on-screen fields to create your policy, then press Save.
6. When finished, hit Save.

When creating paychecks, choose the policy for your other employees or create a new one for them. For more info on setting up time off, this article has got you covered: Set up and track time off in payroll. In case you have a salaried employee, refer to this article to enter your employee's sick pay hours: Enter sick pay or vacation pay hours for salaried employees.

Also, you can generate this article to view your business finances and employee information: Run payroll reports. You can also customize, print, and memorize these reports.

I'm just one reply away if you have other questions about managing sick leave and holiday policy or any payroll-related concerns. We'll be here 24/7 to assist you. Have a wonderful day!