Wages don't calculate properly

Hi there, @orear.

I want to make sure the gross wages for each employee calculates correctly.

One of the possible reasons why employees' gross wages don't calculate properly is that the payroll tax table isn't updated. You'll want to ensure to run the latest payroll update to have an accurate calculation of wages and tax amounts. Here's how:

1. Go to the Employees menu and select Get Payroll Updates.
2. Check the Download Entire Update checkbox.
3. Select Download Latest Update.
4. You'll see a pop-up when the update is complete. 

If you get the same result, you can check out these resources for more troubleshooting steps on what to do if payroll wages aren't calculating properly:

• Payroll items on a paycheck are not calculating or are calculating incorrectly
• QuickBooks Desktop calculates wages and/or payroll taxes incorrectly

You may also want to run and customize payroll reports in QuickBooks Desktop. This will help you manage payroll taxes and keep track of employee expenses. 

Feel free to leave a comment below if you have follow-up questions about the calculation of the gross wage. I'll be standing by to your response.

Mark_R,

It's just the wages that aren't calculating properly, not the taxes (after I correct the wages).  Whether or not a payroll update has been run (which I always do when suggested) is irrelevant as this doesn't effect wages.

Here's an example:  Employee is paid $21/hr and worked 79.08 hrs for the pay period.  QB calculates this to equal $1660.35.  Do the math, is this correct?  All of the taxes for that gross amount come out correctly, but the wage itself IS NOT CORRECT.  It should be $1660.68, then the taxes recalculate and are correct for that amount.

This still happens after running a payroll checkup.

Thanks for getting back and confirming, @orear.

I can see that you've already updated your payroll, but still, wages don't calculate correctly. To further investigate this problem, I suggest contacting our Payroll Support Team. They have the tools to perform screen sharing in a secure environment and check your payroll settings.

To reach them, here's how:

1. On your QuickBooks account, go to the Help menu at the top.
2. Select QuickBooks Desktop Help. 
3. Choose Contact Us. 
4. Enter the issue or topic in the field box. 
5. Follow the onscreen instructions.

You can also check out this link for more information on how to contact them: Contact Payroll support. Ensure to review their support hours to know when agents are available.

Once resolved, I recommend running and customizing any payroll reports in the program. Doing this will help you manage your payroll and keep track of employee expenses. 

Please let me know if you have other concerns. I'm just around to help. Have a great day.

Thanks,  I'll try that next week when I do payroll again and let you know what happens.

@orear 

Do you enter employee time in hh:mm or in decimal format?  If you enter it in hh:mm, there will be some rounding issues.  For example, if the employee works 7h56m, that converts to 7.9333... hours.  If you enter hours worked as 7h56m, you will get 7.9333 x $21 = $166.60, whereas if you enter hours worked in decimal format as 7.93, you will get 7.93 x $21 = $166.53.

What you said makes sense.  I didn't think about that.

I don't enter the time, I download it from QuickBooks Time, and it's in decimal format. But that still means that the time has to be fixed, seeing as it doesn't show more than two numbers after the decimal point, and  you can't just retype the time, you have to delete it AND the hourly rate, then re-enter them.  I've tried just fixing the time and it doesn't do anything.

I am having the same issue with my QB Pro Plus 2022. Been using QB for over 15 years and never had this problem before. Some (not all) employees gross pay is off by .04-.05 cents on their paycheck. The next week, it might be different employees whose paychecks are off. There is no rhyme or reason that I can see- they might be overpaid, or underpaid. Is there a glitch in the system? I have reached out to my accounting firm, and they don't know. I had a 3 hour phone call with Quick Books and they couldn't fix it. They told me to email their online support and expect them to get back with me in 3-5 business days. I own a second company on a different QB license (QB Premier) and different location- same thing is happening with their payroll. I need help!!

I have the same issue it started happening late last year.

I'd be delighted to assist you here in the Community, billsplace. 

To dig deeper into this. Could you please provide me with more information or screenshots regarding your inquiry? Are you trying to calculate your employee payroll? I'd be happy to provide you with the exact solution that you need. 

You can use this article as a reference: QuickBooks Desktop calculates wages and/or payroll taxes incorrectly. It covers how to calculate tax calculation.  

I'll keep an eye open for your response. Have a great day!

I too am having the same issue. I used to be able to fix it by deleting the hours brought over from QuickBooks Time (now Workforce) and reentering so there were no long decimals hanging out unseen. A tedious process when our guys work multiple jobs all day long.  I contacted help and shared my screen to troubleshoot both QuickBooks Desktop and QuickBooks Time to no avail.  Now, even after deleting and reentering the hours so I know they are exact, the final calculation is still off by a few cents and there is no rhyme or reason as to who it will happen to.

I appreciate the steps you've taken to fix the amount, RuthP.

While I don't have access to your account or the ability to troubleshoot your software directly, I recommend contacting our QuickBooks Desktop Payroll support again. They have the tools necessary to investigate and fix the problem for you.

1. Go to Help, then select QuickBooks Desktop Help/Contact Us.
2. Select Contact Us.
3. Give a brief description of your issue, then choose Continue.
4. Choose to chat with us or Have us call you.

In addition, I'm sharing an article that offers the advantages of maintaining accuracy, compliance, financial analysis, and comprehensive record-keeping for businesses and employees: Run payroll reports.

You can provide specific details below if you need further assistance with payroll or other related concerns. The Community and I will be happy to help and give you the necessary guidance. Take care!