Vacation accruals and employer portion

I'll help with your payroll questions, StormyG.

For the first one, it's usually caused if the vacation you're using is not an hourly item. Please follow these steps to resolve the issue

1. Go to your Payroll Item List and press CTRL + N.
2. Select Custom Setup.
3. Click Wage, then click Next.
4. Select Hourly Wages and click Next.
5. Select Vacation Pay and click Next.
6. Follow the succeeding prompts to create the item. 

After creating the item, delete and recreate the paycheck. Then, make sure to use the new item to make sure the vacation days is deducting from the available vacation hours.

With regards to the employer portion of Medicare, it's possible that there's a previous adjustment or paycheck that's causing the issue. 

Let's run a report to check what's causing the discrepancy. Here's how: 

1. Go to the Reports menu and select Employees and Payroll.
2. Select Payroll Detail Review.
3. Change the Report Period to This Calendar Year. 
4. Look for Medicare Company and check if there's any entry prior to the paycheck that you're creating.
5. Look under the Amount, Calculated Amount, and Amount Difference columns.
6. The number in the Amount column is the amount that was manually entered or edited, while the number in the Calculated Amount column is the correct one. 
7. Double-click on the transaction to open it and edit it accordingly. 
8. Create another test paycheck to see if the amount is correct.

You can also see this article for more possible reasons why cases like this can happen: QuickBooks Desktop Calculates Wages And/or Payroll Taxes Incorrectly

I'll be around if you have other questions. Thanks for dropping by.

On the first answer; it already says hourly wage and still not working.

On the second answer; I went into an employees detail and noticed that the Medical insurance is in both the "Other Payroll Items" and "Company Summary". Is this correct?

Hello there, @StormyG,

You need to enter the number of used vacation hours for the Vacation Hourly item. By doing so, this will deduct the number of available vacation accruals. 

About the Medical insurance, if you enter this as company contribution, thus this should appear on both Other Payroll Items and Company Summary tables. 

However, if you want to set up the insurance as employee deduction, then this will appear on the Other Payroll Items and Employee Summary tables. 

You can read through this article on how to set up an insurance benefit for your employee: Set up a payroll item for an insurance.

Let me know if you need additional information by leaving a comment below. I'm always around whenever you need help.

Okay. I did that with my vacation hours and it did not deduct from the screen on the right hand side. Then we I went to another check, input vacation hours, it seems to be growing. What am I doing wrong. As far as the Medical Ins.  In "other payroll items", I have Medical Insurance in there twice. Once as a negative and once as a positive. Is this wrong?

Hi there, @StormyG.

Thank you for getting back to me and letting me know the outcome of the troubleshooting when processing payroll for vacation pay and medical insurance. I'd be glad to help share some more ways to get you back on track. 

Unexpected behavior like this on the employee's paycheck is sometimes caused by some pending transaction that needs to be reverted. To verify if this is the cause, please refer to the steps below: 

1. Click the Employees tab.
2. Choose Pay Employees.
3. Click Unscheduled Payroll.
4. Locate for the employees with a yellow highlight.
5. Right-click the Employee name of the highlighted employee.
6. Click Revert Paycheck.
7. Do this to all affected employees. Make sure no Employee name is highlighted.
8. Click the Open Paycheck Detail button and reenter the vacation pay item. 

Then, for the check that accrues vacation time, it's possible that you have the incorrect payroll item or there's hourly item entered on that paycheck. You can check the paycheck detail to make sure the item used is correct. 

For your question about medical insurance, generally, it's a negative amount because it's a deduction item. If your company share for the employee's insurance, it's possible that the positive amount is for the company contribution. 

To check, you can go to the Payroll Item List to see the item type. 

Here's how: 

1. From the Lists menu. select the Payroll Item List. 
2. Find the item and check the description in the TYPE column. 

If the item is a Company Contribution, then that information in the paycheck is correct. 

For additional help, feel free to reach out to our Payroll Support. They have tools like screen sharing tool to verify what's causing this issue and get to a resolution quickly. 

That should point you in the right direction today. Let me know how it goes once you've tried the steps above or if you have any other questions about payroll. I'll be happy to help you out. 

There are no employees highlighted. Still working on this problem.

Hello there, @StormyG.

I appreciate you getting back to this thread and trying the steps I provided above. However, since you're still having an issue with the vacation hours not subtracting from the accrual amount, I'd suggest reaching out to our Payroll Support.

They have the tools that can get into your account in a secure environment and initiate a screen-sharing to guide you with the step by step process to see the vacation payroll item settings. Here's how you can reach them: 

1. Sign in to your QuickBooks Desktop company.
2. Select QuickBooks Desktop Help.
3. Click Contact us.

Let me know if you’re able to process payroll after reaching out to our Payroll Support Team. I've also added the following article for additional reference: Sick and Vacation time (Add the sick or vacation time on a paycheck).

That should get you back on track. Please know that the Community has your back if you need more assistance with payroll. I'll be happy to help you out. Have a great day ahead.