I appreciate you joining this thread.
You are correct, MN Rookie. Thank you for this information. Under the Fair Labor Standards Act (FLSA), employers are not required to offer premium pay for working on holidays, weekends, or days of rest. Overtime is calculated solely on hours actually worked during a workweek. Non-worked hours, like holidays, vacations, or sick leave, do not count toward the 40-hour threshold for overtime eligibility.
Regarding your concern, Cady, while QuickBooks Desktop offers customizable payroll setups, it does not currently include a feature that split an employee’s earnings into two components as described. For now, a workaround would be to continue using a separate payroll item for overtime and calculate the amounts manually.
Let us know if you have any further questions. We'll be glad to assist you.
