Connect Vacation Accrual Correctly

tumc1854 · ‎May 19, 2020

I am trying to setup vacation pay for the first time. Using Premier Desktop. We have online payroll with QB.

I entered the accrued hours below:

But how does this connect with the "Payroll Expenses" payroll list item, similar to how the sick hours connect to it? Will it automatically happen once I use vacation hours? See how sick hours' expense account is "Payroll Expenses" below? I do not see a vacation hours already in this list. When I tried to set one up, it would not let me access "Payroll Expenses" - said it was inactive. Was I suppose to allow it to be "active" temporarily, or something else?

I cannot find reference to this particular piece anywhere in QB support or community, and they have stopped allowing phone calls for online payroll customers. Thanks for any help you can offer!

Catherine_B · ‎May 19, 2020

Hello there, tumc1854.

Hourly wages are an expense to your company. Every time a Vacation time or rate is used by the employee's paycheck, any amount will be connected and reflected on the expense account (Payroll Expense) you used in setting it up.

Let's ensure that our Payroll Service and the payroll expense account is active so we can smoothly create payroll items. Here's how to review your accounts:

Press Ctrl + A to open the Chart of Accounts.
From the bottom menu, check the Include inactive box.
Inactive accounts are indicated with an X mark.
To make it active, click the X mark.

I also have here list of article that will help us more in setting up and track time off in payroll and available reports to see an employee's vacation and sick time used, available, accrued, and limits.

Feel free to get back to me if you need anything else. Take care always and have a great day!

View solution in original post

Catherine_B · ‎May 19, 2020

Hello there, tumc1854.

Hourly wages are an expense to your company. Every time a Vacation time or rate is used by the employee's paycheck, any amount will be connected and reflected on the expense account (Payroll Expense) you used in setting it up.

Let's ensure that our Payroll Service and the payroll expense account is active so we can smoothly create payroll items. Here's how to review your accounts:

Press Ctrl + A to open the Chart of Accounts.
From the bottom menu, check the Include inactive box.
Inactive accounts are indicated with an X mark.
To make it active, click the X mark.

I also have here list of article that will help us more in setting up and track time off in payroll and available reports to see an employee's vacation and sick time used, available, accrued, and limits.

Feel free to get back to me if you need anything else. Take care always and have a great day!

tumc1854 · ‎May 21, 2020

Thank you, Catherine.

I think I didn't explain myself well. The question wasn't about creating a Chart of Accounts account (which I've done a zillion times), but connecting a Payroll account to PAYROLL EXPENSES (not Payroll Expense). I've read from Quickbooks employee that PAYROLL EXPENSES is the only one you should connect these to - if you create your own, such as PAYROLL EXPENSE then things won't connect correctly. (But maybe you know differently?)

So...I went in this morning to repeat what I did yesterday, and it brought up PAYROLL EXPENSES when I tried this time. I must have accidentally hit a key when trying it yesterday that made it glitch...or something like that.

Thank you for your time, and I think it is fixed.

Thanks!

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Connect Vacation Accrual Correctly