I appreciate you for following up on this thread, Xavski.

Allow me to provide some updates regarding assigning classes to pay type via QuickBooks Online.

QuickBooks aims to find new ways to make sure that your product meets your needs. While we haven’t added this feature yet, I'd suggest visiting the QuickBooks Blog website to stay up-to-date on any improvements in the online version.

You can bookmark the following link: https://quickbooks.intuit.com/blog/.

In case you need help with utilizing your payroll accounts, you can go through the resources below. Also, it provides you more information on what are the pay types that are not supported in QuickBooks:

Add or Change Pay Types in Online Payroll

Set up Payroll account preferences

Let me know if I can be of additional assistance. Have a great rest of your day!

We have the 2019 Quickbooks Desktop version with Enhanced Payroll. I too need to assign one employee paycheck to multiple classes. It sounds like the Desktop version can do this per Michele30 comment (just online cannot). Can someone point me to directions on how to do this in the desktop version?

I too need to set up a payroll with multiple classes for one employee. We have the 2019 Desktop Quickbooks with Enhanced Payroll and it sounds like this is possible to do in the desktop version per Michele30 comment. Can someone provide or point me to directions on how to do this?

Yes, it is possible to set up multiple classes for one employee. Let me guide you on how to do this, llcall.

In QuickBooks Desktop, we can turn on the Select Earnings item option. This allows you to assign a different class to each payroll item for the employee when creating a paycheck.

Here's how to set up this preference:

1. Go to Edit on the top menu.
2. Choose Preferences.
3. In the Preferences window, select Payroll & Employees in the list on the left.
4. Tap the Company Preferences tab.
5. In the Assign one class per section, select Entire paycheck or Earnings item.
6. Press OK.

You assign the class for the paycheck or the payroll items when you generate the paycheck.

For more details about class tracking check out this article: Set up and use class tracking in QuickBooks Desktop.

Visit our Payroll Helpful Articles page for more insights about managing your payroll. 

I'll be right here to continue helping if you have any other concerns or questions about QuickBooks. Assistance is just a post away. Take care always.

I only just discovered the setting to assign a class to different employees but now need to retroactively assign classes to the payroll transactions that have been executed? Is there anyway to do this? When I navigate to the specific payroll transactions from my Income statement by class report, I can only view the paycheck and have no ability to assign classes.

Separately, I too need the ability to assign multiple classes to a single employee which I'm surprised isn't a supported feature in Quickbooks Online. 

You got me here to help you with assigning classes to your payroll transactions, edcable.

Let's make sure that the option for Job Costing and Class tracking for paychecks expenses is turned on. Here's how to accomplish this task:

1. From the Edit menu, select Preferences.
2. In the Preferences window, select Payroll & Employees.
3. Tap the Company Preferences tab.
4. Make sure the Job Costing and Class tracking for paychecks expenses box is mark checked.
5. Click OK.
   

Now, you can assign classes for your payroll transactions. Here's how:

1. Go to the Employees menu and select Employee Center.
2. Double-click the name of the employee.
3. Select Payroll Info and choose the Class.
4. Click OK.
5. Open the paycheck, click Paycheck Details, and assign a class.
6. Click OK.

Let me know how these steps work for you. I'm just around if you need more help.

I use Locations (subset of Categories) because I have multiple stores.  I have separate employees at each Location.  Within QuickBooks Online or QuickBooks Online Payroll, how do I associate each employee with that Location?

Good day, SteveG2.

You can go to the employee's profile to assign the work location. Here's how:

1. Go to the Payroll or Workers menu, then proceed to the Employees tab.
2. Click the employee's name.
3. Click the Edit button next to Employment.
4. Click the drop-down list for Work location and select the correction location for the employee.
5. Select Done.

Let me share some of the articles we have about location tracking for more details:

• Set up and assign a new work location
• Run a balance sheet by class or location
• Customize sales forms by location

The Community is always here if you need anything else. 

Hi, and thanks for posting a reply so quickly!

I have already done as you suggested, and created the Work Location for each employee.  However, this seems to be different than the Location Tracking.  When I go to the Gear --> All Lists, and select Locations, it shows a different list than I created for the Work Locations.  Why aren't they the same list of locations?

Hey there, SteveG2. 

Thanks for dropping by this afternoon. If you've completed the steps provided by my colleague, I would recommend reaching out to our support team. They will be able to dive into your account with and see whats causing the work locations to be different. To reach them, follow these steps:

Contact us through your product

1. Sign in to your QuickBooks Online company.
2. Go to Help (?).
3. Select Contact Us.
4. Enter your concern, then select Let's talk.
5. Choose a way to connect with us:
   • Start a chat with a support expert.
   • Get a callback from the next available expert.

If you have any other questions, feel free to post here anytime. Thank you for your time and have a nice afternoon. 

"In QuickBooks Online Payroll, you have the option to assign a class for each employee"

I got excited by that answer, as I can't see anything but locations in QB Online.

Selection 3. Accounting isn't an option in QB Online.

I badly want to use classes to segment payrolls.  It seems to be impossible.

Hello, Imiddle.

The Accounting option can be found under the Preferences section from the Payroll Settings. Let me walk you through the process and I'll be attaching screenshots to serve as your visual references.

Here's how:

1. Click the Gear icon at the upper right corner and choose Payroll Settings.
   
2. Go to the Preferences section.
   
3. From the Accounting Preferences, scroll down to the Classes section.
4. Choose I use different classes for different employees option.
5. Tap OK.
   
6. Assign a Class for each employee by clicking the drop-down arrow.
7. Select a Class from the List.
8. Hit OK.
   

This should get you on the right track. I'll be leaving you the links below. These will provide you more information on how class tracking works as well as tips on how to manage your payroll preferences in QuickBooks Online:

Set up Payroll account preferences.

Get started with class tracking in QuickBooks Online.

Kindly update me on how things go by adding another comment below. I want to make sure you're all set, and I'm here if you need further guidance. Have a great day! All the best.

Hi Rose Marjorie,

Thanks, that's a great answer.  Unfortunately I'm in the UK and that level of functionality does not appear to be available to us (even though  - I suspect - we get charged more).  The menus are laid out differently and only Locations are offered (yes, Classes is switched on).

When I assigned the class, it apparently does not go back and assign the class to prior payroll checks.  How can I add the class to prior payroll checks.  

Thanks for joining this thread, @CFuqua.

The option to add classes to prior payrolls is unavailable in QuickBooks Online. You can only assign classes for payroll moving forward. This is because changing already created paychecks may affect future ones. 

Here's an article that will give you more info about prior payroll: Set up a prior payroll for QuickBooks Online Payroll. 

Also, you may visit these helpful articles to guide and give more details about managing classes in QuickBooks Online:

• Class tracking for Online Payroll.

• Create and manage classes in QuickBooks Online.

Please know that you're always welcome to post again if you have any other payroll concerns. I'm always here to help. Wishing you and your business continued success. 

I've added the class to the employee, but it doesn't add the class to the payroll taxes for a previous year.  How can I add the class to a payroll tax line item previous year?

Hello there, Dpettit1,

I noticed that you have posted the same question earlier. My colleague has already answered that for you. You can go to this link: https://quickbooks.intuit.com/learn-support/en-us/employees-and-payroll/re-add-a-class-to-payroll-ta....

If you have other questions that need to be addressed, you can always leave a reply on this thread.

I went to gear, payroll settings, accounting, classes and chose I use the same class for all employees. Went back to P&L and the class was not assigned to the 2020 payroll payments and taxes.

Welcome to the Community, 1353 0080 50.
 

Since your class feature's turned on and its preferences have been configured as necessary, you can generate a Profit and Loss by Class report. This groups your income, expenses, and net income by class.
 

Here's how it's done:

1. In the left navigation bar, go to Reports.
2. Access your Standard tab.
3. Find the Business overview section and choose Profit and Loss by Class.
4. Use your available drop-downs, such as Report period, to configure the document as needed.
5. If you'd to add additional customizations to it, click your Customize button.
6. When you're ready to produce the report, select Run report.

There's a handful of other useful reports that can be ran by class. You'll be able to find more information about them in our following resource: Run reports by class
 

If there's any questions, I'm just a post away. Have a lovely day!

I have just switch from desktop to QBonline and my payroll will not class but goes into a "not specified" column.  I have followed this suggestions but I do not see the suggested settings.  I have option under Accounting Preference to choose "all employees to one expense account" , "wages post to employees own expense account" or "employees post to different type of accounts".   I have tried all three but none works.  HELP

Hello there, mh44, 

The steps provided are meant for a different payroll subscription. This is the reason why you're unable to see these options. 

If you need to update payroll settings, I recommend contacting our Payroll Support. They will be able to assist you in doing so.

Here's how:

1. Go to the Help icon.
2. Select Talk to a human.
3. Enter "Talk to a human" again in the search bar.
4. Choose I still need a human, then click Contact us.
5. Select Get a callback or Send a message to start a conversation.

I'll also share the reference for the newest payroll services and their features.

You might want to check out this article to know more about the updates of the tax feature: Tax feature updates with QuickBooks Online Payroll Core.

Please let me know if there is anything else I can do to help by clicking the Reply button below. 

How do you add the journal entry - I'd like to try your method after running quickbooks payroll. Thank you!

Hello @AlbertD,

Let me walk you through the steps on how you can create a journal entry in QuickBooks Online.

1. Go to the +New button.
2. Under OTHER, select Journal Entry.
3. Select the appropriate date of your journal entry.
4. Choose the needed category and enter the amount of your transaction.
5. Click Save and close.

In the same manner, here's an article you can read to learn more about creating a journal entry: Create a journal entry in QuickBooks Online

But please know that it is recommended to contact your accountant if you need the specific name of the category to use. If you haven't yet, you can use this link to find someone near you: Business is better with a ProAdvisor.

On top of that, I've also included this reference for a compilation of articles you can use while working with us: Know where you stand financially.

If you have any other questions, please let me know by leaving any comments below. I'll be here to lend a hand.

Thank you, @JonpriL ! I'm trying to understand how to apply the workaround that @Alison Gallensky mentioned on May 13, 2020 08:37. @Alison Gallensky said "I create a journal entry each pay-period after I run payroll to assign reassign payroll expenses to multiple classes for a single employee. Very inelegant but with only one employee it is doable." So, when I run payroll I'd like to do what @Alison Gallensky is suggesting and create a journal entry as a workaround to assign one class to each earnings item on a paycheck. I'd like try this workaround if possible and then run our P&L by Class to see the payroll expenses show up. Thank you!