How do I get job related payroll to show in COGS on the Standard P&L in stead of Payroll Expense?

You need to link the job-related payroll expenses to a sales transaction to categorize it under COGS, cmcclung. I can clarify when it becomes a Payroll Expense in the P&L report.

Once you enter the paychecks for the employees, the labor costs for each job will be visible on the Job Profitability report. Since the company covers their worker's payroll, it's recorded as Payroll Expense in the Profit & Loss report.

Additionally, the service item will appear under COGS after you add the billable timesheet to an invoice or sales receipt. This account type is for a profit center associated with customer tasks or jobs. Here's an article for more information about tracking the money you spend and make: Track job costs in QuickBooks Desktop.

Moreover, this material outlines the steps to personalize reports according to your needs: Customize payroll and employee reports.

This thread will remain open for additional questions about tracking jobs or reports. Post here anytime you need immediate help with QuickBooks.

So, what I am gathering is if I pull the billable items into an invoice and bill to the customer, it will then move the costs on the P&L from Payroll Expense to COGS ?   

Thanks for getting back here in the Community, cmcclung. Let me share details about showing job-related payroll expenses in Cost of Goods Sold (COGS) instead of Payroll Expenses on your Profit and Loss report.

It is crucial to understand that billing a client for billable items will not automatically transfer the costs from Payroll Expense to COGS. The expenses remain in the Payroll Expense account unless the payroll item's associated account is specifically modified to COGS. This action guarantees the items are recorded under Cost of Goods Sold on QuickBooks Enterprise's Profit and Loss report.

Here's how to change the tracking expense account of your item:

1. Go to Lists, then click Payroll Item List.
   
   
2. Choose an item and double-click to edit.
   
   
3. Click Next.
   
   
4. Hit the dropdown arrow and look for the Cost of Goods sold account
   
   
5. Once done, click Finish.
   
   

That will cause your labor costs to be categorized under COGS when running a Profit and Loss report.

Moreover, feel free to visit these articles as your reference for customizing different types of reports in QBDT:

• Customize payroll and employee reports.
• Customize customer, job, and sales reports in QuickBooks Desktop.
• Customize vendor reports.
• Customize item reports.

Shoot me a reply if you need further assistance with tracking your payroll items and running payroll reports in QuickBooks Enterprise. I'll be here to lend a hand.