Hi there, lulubelle1956.
Good to see you here in the Community. I'd be happy to provide some insight regarding this matter.
After some thorough research and testing, I found that you'll need to create a payroll item, with the correct Cost of Goods Sold (COGS) account to do this. Since you're unable to assign a COGS account to your items or use an Inventory item when entering timesheets. For additional insight about this, I'm also including these articles:
Let me know if there's anything else I can do for you, I want to make sure you're taken care of. Thanks for reaching out, wishing you and your business the best.