Payroll wage allocations

Forum|Forum|7 years ago
February 14, 2019
2 replies
6 views

I need to allocate employee wages to departments. In my old software for example dept. 40 was shop and I could chose regular, ot, holiday, sick, vacation, etc and it would all go to my general ledger account number for shop wages. It looks like in QB I have to set up items such as 40-regular, 40-sick, 40-holiday, etc. I think this will be too cumbersome to use. Am I missing something?

QuickBooks Desktop

Anonymous

If you want to use different accounts for different types of work, you do have to set up different payroll items.

I don't see how that's cumbersome (any more than the multiple accounts you want to use.) How is it cumbersome?

qbteachmt

Level 11

You would be using Class Tracking in QB, for Departments, Divisions, etc. Then, you assign each person to their Class, and that tracks P&L by Class for you. Make sure to include Class Track Expenses = the employer's share of taxes also get allocated By Class. You run P&L by Class to see the Columns. You can also show someone has One Payroll Item, such as Hourly, but list it more than once = reiterate and "class track per earnings item" to show their Hourly Pay falls into more than one Column = Class.

Not More Pay Items and not More account Rows.

I have an attached image that shows a QB file which was micro-managed as you are asking to do, with more and more pay items and more and more accounts. Once we Enabled Class tracking, you clearly see that the Employer's Payroll Expense is One Row, allocated just fine.

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