Distributing vacation and sick pay

What's new

Setup

Security

Maintenance

Everyday tasks

Period-end tasks

Reports and forms

Importing/exporting

-------------

Glossary

Site help

Sitemap

Accounts

Banking

Sales

Time billing

Purchases

Inventory

Payroll

Cards

Jobs

Distributing vacation and sick pay

You can distribute vacation or sick pay accrual wages on an employee payment using timesheets or as part of step 2 of Process Payroll -- Review & Edit Paychecks.

To do this, you should have already created accrual and wages payroll categories for your employee's sick or vacation time. You'll create the accrual payroll category to track the hours that accrue for the employee; you'll create the wage to distribute the accrued hours. (To create an accrual and To create a wage)

Enter in timesheets

Hourly employees. Use the Vacation Pay or Sick Pay wage categories instead of the Base Hourly wage category for your timesheet entries. Then just use the Process Payroll Assistant; the hours will be assigned to the correct payroll categories.

Salaried employees. Use the Vacation Pay or Sick Pay wage categories for your timesheet entries. Then make adjustments in the Select & Edit Paychecks -- reduce the amount allocated to Base Salary by the values displayed in the Amount column for the Sick Pay and Vacation Pay payroll categories.

See To pay vacation and sick pay (using timesheets).

Enter in Select & Edit Paychecks step of Process Payroll (no timesheets)

Use the Process Payroll Assistant. In Step 2, open the Pay Employee window. (To pay vacation and sick pay (no timesheets))

Hourly employees. Reduce the number of hours allocated to Base Hourly by the number of hours allocated to the Sick Pay and Vacation Pay payroll categories.

For example, Mary Jones works 40 hours a week and is paid on an hourly basis. If she takes one day of vacation leave and half a day of sick leave, allocate 8 hours to Vacation Pay, 4 hours to Sick Pay and 28 hours to Base Hourly.

Salaried employees. Reduce the amount allocated to Base Salary by the values displayed in the Amount column for the Sick Pay and Vacation Pay payroll categories.

For example, Alan Long is paid a gross amount of $1,000 per 40 hour week. If he takes one day of vacation leave and half a day of sick leave, then allocate 8 hours to Vacation Pay and 4 hours to Sick Pay. The combined amount displayed in the Amount column for the Vacation Pay and Sick Pay payroll categories equals $300. Therefore, the value you need to enter in the Amount column for Base Salary is $700 (that is, $1,000 less $300).

Step by step