Capping Annual PTO Accrual

PayrollRookie · ‎March 09, 2023

Employees at our company accrue 1 hour of sick time for every 30 hours worked, up to a maximum accrual of 40 hours per year. I am trying to make the employees' pay stubs display the correct available amount of sick time, but am having difficulty doing so. I have set the maximum number of hours to accrue to 40, but when the employees use their sick time, it seems to reset the accrual counter (hopefully that makes sense).

For example, one employee has max accrual set to 40 hours and has used 36 hours of his sick time this year. He had 40 hours of sick time available when he used the 36 hours, so I would like his pay stub to display that he has 4 hours of sick time remaining available for use. Instead, his pay stub is showing that he has 14 hours of sick time available because QuickBooks seems to be allowing additional accrual beyond the 40 hour cap. Any advice would be appreciated.

Bryan_M · ‎March 09, 2023

We appreciate you for posting here in the Community, @PayrollRookie.

I see the importance of showing your employee's remaining sick leave hours in their paychecks. At the moment, this feature isn't available in QuickBooks Desktop Payroll.

In the meantime, you can directly submit feedback to our software engineers to raise your suggestion. This might be helpful also to other users.

Our product engineers might consider adding this to our future product updates. Below are a few steps to submit feedback:

Move your cursor to the Help option above.
Select the Send Feedback Online.
Choose Product Suggestion.
A prompt will show and type in your suggestion in the box.
Click Send Feedback.

Consider reading this article if you want to track time off, vacation, and sick pay for your employees: Set up and track time off in payroll.

For additional questions about managing your employees' PTO, don't hesitate to reply to this post. I'll be happy to extend a hand. Keep safe and have a great day!

BigRedConsulting · ‎March 09, 2023

@PayrollRookie

RE: Employees at our company accrue 1 hour of sick time for every 30 hours worked, up to a maximum accrual of 40 hours per year....Any advice would be appreciated.

Yes, because lots of customers want this, Intuit added the ability to do it several years ago, at least as far back as QuickBooks 2019. It is a well-known feature they touted as an upgrade.

To this, edit your preference so that Sick stops accruing at a total for the year, and not at a ceiling/max balance:

From the QuickBooks menu, pick Edit | Preferences | Payroll & Employees | Company Preferences | Sick and Vacation. Then select "Maximum hours for the year" for the Set accrual limit option:

Note that changing the preference won't change exiting balances on employees. However, if you edit the checks that include the over-accrual and change the hours and then change them back I think the YTD accrued will be reduced to the appropriate amount. It seems to work that way when I tested it to see what it would do.

BigRedConsulting · ‎March 09, 2023

@Bryan_M RE: I see the importance of showing your employee's remaining sick leave hours in their paychecks. At the moment, this feature isn't available in QuickBooks Desktop Payroll.

Of course it's available. It has been available literally for decades. Did you actually read the OP's question, because that's not what the OP asked for?

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Capping Annual PTO Accrual