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JustinB75
Level 3

Use time data to create paychecks...Quickbooks Desktop User

Hello,

 

Please correct me if I am wrong, but if I am paying an employee hourly who will be filling out/turning in time sheets, do I need to check the box for "Use time data to creat paychecks" under the Payroll Info tab for that specific employee? Or, am I OK to manually input their hours worked based off of their turned in time sheet?

 

I guess I am almost looking for a "definition" of what exactly checking the box for "use time data to create paychecks" means and what it will do?

 

I would hate to assume.

 

Thank you very much in advance!

4 Comments 4
BigRedConsulting
Community Champion

Use time data to create paychecks...Quickbooks Desktop User

If you check the box, then time recorded using the QuickBooks time feature for the employee for the pay period dates - recorded before you create paychecks - will be summarized and pasted in to the earnings table of the paycheck.  You can then edit it if needed.

 

You can also use the time feature in QB and not use the resulting time for payroll (don't check the box in this case.)

JustinB75
Level 3

Use time data to create paychecks...Quickbooks Desktop User

Thank you so much for your reply and for your help. If you don't mind, I would like to ask you another payroll question (I have an accountant that I work with, but they are currently away). If I have an employee who, according to their W-4, has $20.00 withheld every week, and my company pays bi-weekly, am I OK to enter in the $20.00 in the extra withholding box on their tax info. tab? I would assume since QB knows we pay bi-weekly and that is how he is entered into the system that it would calculate his extra withholding correctly for each paycheck he will receive.
Thank you for your time, and I am sorry if I am asking simple questions. I just really do not want to make a mistake when the time comes.
PEITA-HTR
Level 1

Use time data to create paychecks...Quickbooks Desktop User

on this same line of questioning. How do I add OT to the timesheets?

 

Thanks,

Peita

IrizA
QuickBooks Team

Use time data to create paychecks...Quickbooks Desktop User

I know some information regarding adding Over Time (OT) in timesheets, PEITA

 

In QBDT, adding an OT within the timesheets is currently unavailable. You can only add regular hours to it. On the other hand, as you add regular hours to your timesheets, you can manually create a paycheck with overtime pay afterward. 

 

Here's how: 

 

Step 1: Create the overtime pay item 

 

  1. Go to the Lists, then click the Payroll Item List.
  2. Under the Payroll Item dropdown, press New.
  3. Tick the Custom Setup radio button, then Next.
  4. Under the Payroll item type, select the Wage radio button then click Next
  5. Within the Wages window, you can select Hourly Wages, then Next.
  6. Tick the Overtime Pay, then Next.
  7. Enter the name of the item according to your preference, then Next.
  8. Choose the overtime rate you want to pay your employee, then Next.
  9. Select the Expense account where you want to track the item, then select Finish.

 

Step 2: Add the item to the employee

 

  1. Go to the Employees Center, and double-click the name of your employee. 
  2. Navigate to the Payroll Info section. 
  3. Under the Item Name column, press a space where you can add the created overtime pay item. 
  4. Choose the overtime pay item you created earlier, and then click OK

 

Step 3: Create a paycheck with overtime pay

 

  1. Ensure you set up and add a payroll schedule for your employees.
  2. Go to the Employee menu, click the Pay Employees dropdown, and you can choose Scheduled Payroll. Then press Start Scheduled Payroll
  3. Make sure that the Pay Period EndsCheck Date, and QuickBooks Bank Account fields are accurate. 
  4. If you're using timesheets, you'll see the hours for this pay period already entered. If not, you can enter the hours under the designated column or grid you created earlier. 
  5. You can also click the Open Paycheck Detail to see everyone's paycheck details. 
  6. Under the name of your employee, you can add the hours of their OT. Once done, you can click Save & Next
  7. Do the same process for each of your employees if you want to add some OT hours. Once done, click Save & Close. 
  8. Press Continue. Ensure you've reviewed everything. 
  9. Once done, you can click Create Paychecks
  10. You can either choose to Print Paychecks or Print Pay Stubs

 

Additionally, you can view this material to see further details regarding adding OT in QBDT: Add overtime pay to an employee

 

I'll also leave this material for you to use as a future reference in case you'd like to learn how to set up direct deposit to pay your employees and contractors in QuickBooks Desktop Payroll: Set up your company payroll for direct deposit.

 

I'm always ready to lend a helping hand in case you have anything to ask or need some clarification. 

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