I've got you covered, tmaybee.
What I can suggest so that the 5 hours won't be added on the salary pay is to create another hourly item. Then, let's make it negative when we run the payroll to offset the first 5 hours of vacation pay.
This is how it looks like:
You can follow these steps on how to add a new payroll item:
- Go to Lists menu and select Payroll Item List.
- Click on the Payroll Item drop-down at the bottom and select New.
- Select Custom Setup then, Next.
- Choose Wage, then, Next. Select Hourly Wages then, Next.
- Select Vacation Pay then, Next.
- Enter a new payroll item name. Click Next then, choose an expense account.
- Click on Finish.
Also, you'll want to read this article to learn more about sick and vacation time.
Post again if you have more payroll concerns. I'm here to help you.