XE "template:employee" should XE "employee template" be set up before entering employee records. The template serves as a source for data common to most employees, such as withholding taxes. Hourly wage items may be included, and deleted for employees where they do not apply. The template is accessible from
FilePreferences|Payroll, or from
deductions, such as 401(k) can be entered if
they will apply to the pay checks of most
box takes annual salary, hourly wage rates, sick and vacation pay items.
Additions, Deductions, and Company Contributions
box accepts entries for commonly used payroll items
of these types. Note that the figure has been edited to show that it also takes
Commission payroll items.
Complex pay situations must be set up very carefully. The order of payroll items in this box is critical, because
of the order of calculation when a pay check is generated.
Commissions (if listed) regardless of position in the list, are first added to gross pay.
Additions, Deductions, and Company Contributions take effect according to their order in the list.
As an example, consider a deduction based on a percentage of gross pay, followed by an addition to gross
pay. The percentage deduction will not be taken from the addition, or any other entry that follows.
The first two or three pay checks should be verified by manual calculation. QuickBooks will do what it is told,
but will understand the instructions on its terms.
template shows that the Federal
tab is not likely to need change. The
State tax tab needs care.
Unemployment and disability tax will usually need entries, where they apply. The individual employee records
can be changed if there are any workers who reside in different states (an alien concept in the San Francisco
or Los Angeles areas.)
Sick pay and vacation pay
are good candidates for template entry.
Sick pay and vacation pay can be accrued either once a year, with the first pay check, or with each pay period
Hours accrued per accrual period
could be, for example, 1.5 (or 1:30) per pay period, or perhaps
80 hours for annual accumulation.