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April 12, 2024
Question

Can sick pay have a negative balance?

  • April 12, 2024
  • 1 reply
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An employee was sick for more hours than their balance. Can I enter extra hours when I run payroll? If yes, what happens?

1 reply

April 12, 2024

I understand this can be a tricky situation when an employee has used up all their accrued sick time, lbs24. I'm here to share insights about this. 

 

Currently, the option to record a negative sick time balance is unavailable. If accruals are in place, the software will warn you, yet it won't stop you from paying it out. 

 

In this case, you can manually allocate additional time off to employees. Then, QuickBooks will automatically recalculate the employee's total pay to account for the additional sick time you entered. 

 

Here's how:

 

  1. Navigate to Payroll and select the Employees tab.
  2. Choose your employee.
  3. Select Edit from the Pay types.
  4. Scroll down to the Time Off Policies section. Enter the current balance
  5. Once done, click Save.

 

You can check this article to learn more about vacation/sick pay: Set up and track time off on payroll.

 

Then, QuickBooks will automatically recalculate the employee's total pay to account for the additional sick time you entered. 

 

I've added this article to guide you on how to add your salaried employee's sick pay hours: Enter sick pay or vacation pay hours for salaried employees.

 

Please keep us posted if you need additional assistance managing payroll or  employees' sick pay. We're always here to help you out. Have a good one.