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Farfallen
January 29, 2024
Question

How can I change status from contractor to employee for someone who was already tracking time in Workforce? The tracked time is not transferring to Payroll after hire.

  • January 29, 2024
  • 1 reply
  • 0 views
* QBO shows that the Employees have already accepted the invite to Workforce so it cannot be resent from my end. 
* I don't see a way to change their status from contractor to employee in Time/Workforce. 
* They seem to exist twice in some places, as Vendor/Contractor and as Employee. 
* The desired outcome is that their tracked time transfers directly to Payroll rather than my having to manually enter hours after confirming and approving time through their contractor entity in Workforce. The two entities seem unconnected.

1 reply

K
KayePe
January 29, 2024

Thanks for dropping your concern here in the Community, @Farfallen. Let me share some steps in changing the contractor's status to an employee inside QuickBooks Online (QBO).

 

In QBO, you can change a contractor into an employee by inactivating the contractor's status and adding it as an employee. I'll show you how.

 

Make the contractor inactive:
 

  1. In Payroll, go to Contractors.
  2. Decide and click the contractor you want to make inactive.
  3. In the Details, hit the pencil icon and edit the name in the Display name. This way, it will avoid any duplication of names.
  4. Select the Active dropdown under the contractor's name and choose Mark as Inactive.

 

After that, you can now add it as an employee:
 

  1. Go to Employees, and click Add an employee.
  2. Fill in the necessary fields.
  3. Once done, select Save.

 

I recommend adding the contractor as a team member in QuickBooks Time and manually tracking their time to reflect in payroll. Since the contractor has been tracking their time to the workforce, it would be better to delete those records and start tracking their time as a team member.

 

Regarding tracking time, we highly recommend contacting our dedicated support team. Our team members are well-versed in all aspects of time tracking and possess the expertise and tools necessary to help you in the best possible way.

 

On the other hand, you can visit this link as a guide to having a pay record in QBO: Add pay history to QuickBooks Online Payroll.

 

Don't hesitate to reply to this post for further questions about changing the contractor's status in QBO. I'm here to assist you. Take care!

F
FarfallenAuthor
January 30, 2024

Thank you so much for your reply! I'm encountering an error when marking the Contractors as inactive:

 

Unable to mark contractor inactive

Something went wrong. Please wait a moment and try again. If the problem continues, contact us.

 

This occurred previously when I tried and is occurring again this morning after trying your instructions. Thank you in advance for any further assistance!

K
KimberlyS
January 30, 2024

I appreciate you providing the error you received, @Farfallen.

 

Let me add some troubleshooting steps to help you mark your contractor inactive in QuickBooks Online.

 

Pending transactions such as unbilled charges usually cause errors when attempting to inactive a contractor. To isolate this issue, you can proceed to these steps to clear these unbilled charges:

 

  1. Head to the Reports menu.
  2. In the Find report by name field, enter and select Unbilled Charges.
  3. Ensure to set the date to All Dates.
  4. Find any pending charges and click on them.
  5. Depending on the situation, you can invoice it, reassign it to another contractor, or delete it entirely.

 

However, the error can be a browser-related issues if there are no outstanding charges. With this, you can follow these guidelines to get this resolve:

 

 

After performing the steps mentioned above, deactivate your contractor again so you can add it as an employee to track timesheets seamlessly.

 

On the other hand, consider reviewing this material for guidance on creating, updating, and approving/rejecting time entries for your team members: Manage timesheets in QuickBooks Workforce.

 

Feel free to click the Reply button if you have additional questions regarding inactivating contractors or other related concerns in QuickBooks Online. We're always here to help.

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