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A
Aaron at LTJ
April 19, 2022
Question

Labor costing

  • April 19, 2022
  • 26 replies
  • 27 views

Do I need QB Time and/or Payroll to be able to apply hourly costing to an employee and see that cost pull through on job profitability reports?

 

QB Desktop pro plus 2022

26 replies

M
Mark_RModerator
Moderator
April 20, 2022

I'm here to help track your employee's hourly cost, @Aaron at LTJ.

 

You don't need to have QuickBooks Time or Payroll services to track your employee's hourly costs. You can utilize the Time Tracking feature to record an hourly cost. Let me guide you through the process.

 

Firstly, let's turn on the Time Tracking feature in your company file. Here's how:

 

  1. Open your QuickBooks Desktop company file.
  2. Go to the Edit menu, then select Preferences.
  3. Click Time & Expenses from the left menu.
  4. Go to the Company Preferences section and select Yes to turn on the feature.
  5. Select OK to save the settings.

 

Once done, you can now enter a weekly or a single timesheet to track your employee's hourly cost. To do so, please follow the steps below:

 

  1. Go to the Employees menu, then select Enter Time.
  2. Choose Use Weekly Timesheet or Time/Enter Single Activity.
  3. Enter the information needed.
  4. Click Save & Close.

 

After the steps, the information will show on your job profitability report. 

 

You might also want to read this article to learn more about job costing in QuickBooks Desktop: Track job costs.

 

Please let me know if you need clarification about labor costing. I'll be standing by for your response, @Aaron at LTJ.

A
Aaron at LTJAuthor
April 21, 2022

Mark_R,

 

We have done everything mentioned and no labor cost are pulled through to the "actual" column. Cost for job related expenses comes through for PO's that were put on the job. We also don't see a location to enter an hourly cost for each employee to calculate labor cost from, it looks to me that we would need to have payroll turned on to enter a compensation cost for the employee or another means from QB Time. QB Online seems to have this configured considerably different and better for job costing purposes.

 

We have read that thread thoroughly and under stand a time sheet is a non posting transaction but we get confused by this note

"Timesheets are a non-posting entry. You must import time to a bill or invoice to include it in the Job Profitability or Company Financial Reports.". 

We don't understand what they mean to "import" time, when creating an invoice we select the job we are invoicing and pull expenses and time through to the invoice by either the pop up window or the "add time/cost" button. Which I would believe we are "importing" to the invoice this way.

 

It would be nice to pull a report showing all labor hours and material cost that was applied to each job.. don't know if I've found that yet as the "quick report" in the job doesn't pull hours through just cost.

A
Aaron at LTJAuthor
June 27, 2022

I follow the steps to setup time tracking and when I double click on the employee I do not see a "Payroll Info" tab. My options are " Personal , Address & Contact, Additional Info, Compensation, Employment info". Everything is greyed out under compensation. Back in the employee center in the top right there is a hyperlink to turn on payroll, that's why I believe I need to turn on payroll feature to get this function. Please advise. 


Any update on this?

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