Sick Pay

Yes, there's a way to enter holiday pay without accruing sick time in QuickBooks Desktop, Mary102.

You can create another payroll item for the holiday pay and add this to your employee's earnings profile.

Here's how to create the holiday pay:

1. Click Lists at the top menu bar and choose the Payroll Item List.
   
2. In the lower-left corner, select the Payroll Item drop-down and click New.
   
3. Choose Custom Setup and select Next.
   
4. Select Wage and tap Next.
   
5. From the Wages, choose Hourly Wages or Annual Salary, and select Next.
   
6. Choose Regular Pay, and select Next.
7. In the Name used in paychecks and payroll reports field, enter Holiday Pay, and select Next.
   
8. The default account for the expense is Payroll Expenses.
9. Hit Finish.

Once done, let's add this item to your employee's earnings. Adding this item will track the YTD amount once you created paychecks with holiday pay.

1. From the Employees page, click the employee's name.
2. Click Payroll Info in the left panel.
3. Under Earnings, add the Holiday Pay and enter the rate.
4. Hit OK.
   

That should do it. The next time you add the holiday pay item, it'll automatically track the YTD amount on the next paycheck.

I'll be sharing with you this article: Payroll 101. It contains more information about the different types of compensation as well as on what are the types of federal forms you need to file.

If I can be of help while working in QuickBooks or if you have additional questions about holiday pay, feel free to let me know by adding a comment below. I'd love to help. Have a nice day!

There really isn't a way because holiday pay isn't a special type of pay in QuickBooks.

You can do this for sick and vacation pay, but setting the holiday item as one of those types will mess up the employee sick or vacation balances.

@Rose-A 

RE: Yes, there's a way to enter holiday pay without accruing sick time.

There actually isn't.  Adding another payroll item won't stop the accrual of sick and vacation time when they are set up to accrue based on hours worked.

If you had actually tried your solution, you would have seen this to be the case.