Hello - is there any type of work around to still use the manual payroll function within QB Desktop Pro 2020, when you activate multi currency, and your home currency is set to a non-USD currency?
My company is located in the Cayman Islands, and the home currency is KYD (Cayman Island Dollar).
80% of the transactions are in KYD, however we do have a USD bank account as certain vendor purchases are made in USD.
For the last year I have been able to process payroll using the timesheets for my job costing of labor hours, and 'manual payroll' to generate paystubs for all of my employees. I have recently turned on the multi-currency feature in QB and set my home currency as KYD, and now I am unable to use the payroll function. Is there any type of work-a-round whereby a home currency can be set as non-USD, and the manual payroll function can still be used? Payroll is processed in the home currency.
I've got insights to share about the multicurrency feature in QuickBooks Desktop.
Turning on the Multicurrency feature in QuickBooks Desktop is irreversible. That said, you can no longer change the home currency that you've selected.
You can restore a backup of your company file if you want to process transactions without multiple currencies. Here's a link that you can scan through when restoring data: Restore a backup of your company file.
On the other hand, the payroll feature in the system allows you to generate paychecks in USD currency. To get your work done, you may process your employee's paycheck manually.
To do that:
From the Edit dropdown menu, select Preferences.
Select Payroll & Employees, then select the Company Preferences tab.
In the QuickBooks Desktop Payroll Features section, select the Full payroll and the Manual Payroll checkboxes.
In the Get payday peace of mind window, select Next and then Activate in the confirmation screen.
In addition, you can use the current currency that you've selected (KYD). After that, you can process a journal entry distribute the amounts based on USD.
However, to ensure the best course of action for your business, I'd recommend reaching out to your accountant. They'll be able to guide you on what's the best thing to do when crediting and debiting your accounts.
Once verified, you can follow these steps below to create a journal entry:
Navigate to the Company menu.
Select Make General Journal Entries.
Fill out the fields and make sure your debits equal your credits when you’re done.