How do I stop Quickbooks Online from adding together the hours from multiple pay types? The total number of hours worked on their cheques is inflated by 2 or 3 times.

userhello23 · ‎May 29, 2024

Hello,

The organization I work for receives funding from government sources, which is used to offset labour costs. We're required to break down this funding as separate pay types on employees' pay stubs. The problem is that Quickbooks adds the hours of these different pay types together, and employees' stubs show three or four times the hours they actually worked.

For example:

An employee's base hourly rate is $18.00. They receive an additional $2/hour from a wage subsidy program, and another $1/hour from a grant program, for a total of $21/hour. Their pay stub must show the three amounts separately to prove how the subsidy and grant moneys have been used.

If the employee works 72 hours, I enter 72 hours at $18/hour, 72 hours at $2/hour and 72 hours at $1/hour. But Quickbooks adds the hours together, and their paystubs end up showing they worked a total of 216 hours!

How do I change this in Quickbooks Online so that the hours worked are accurate, while showing the different pay type amounts that we're required to have on their paystubs?

MJoy_D · ‎May 29, 2024

I can share some information to help you record the hours worked accurately for employees with different pay types, @userhello23.

In QuickBooks Online (QBO), the system will automatically calculate the amount based on the hours and rate you've set for that specific pay type. The option to let QBO stop adding the hours you set per pay item is currently unavailable.

You have two options:

Create a single payroll item for all three different amounts and add a note in your paystub stating that it includes $1/hour and $2/hour for the subsidy and grant money.
You can also create a single payroll item that reflects the total 72 hours and designate the other two rates as commission.

For more information about creating and assigning this payroll item to your employees, check out this article: Manage your payroll items in QuickBooks Online Payroll. You can now create and run your payroll without adding the hours together.

If you require further assistance or have additional questions about recording your employees' work hours, let us know by leaving a reply below. Keep safe and have an excellent rest of the week.

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How do I stop Quickbooks Online from adding together the hours from multiple pay types? The total number of hours worked on their cheques is inflated by 2 or 3 times.

How do I stop Quickbooks Online from adding together the hours from multiple pay types? The total number of hours worked on their cheques is inflated by 2 or 3 times.

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