Skip to main content
D
Dave Berry
June 14, 2021
Question

Holiday Pay

  • June 14, 2021
  • 1 reply
  • 0 views

I have just started to use the standard payrole package for 2021-22 tax year and can find no way to deduct the correct tax- ni & pension contribution when calculating holiday pay.

As you know if an employee is taking two weeks leave and paid weekly, all other packages I have used allow you to advance the tax period by two weeks so the employee gets the correct wage for his holiday.

I can see how to set up a holiday header but no way to advance the pay period for that employee.

 

Can any one guild me in the right direction or is it that QB has not got that part of the wage package sorted.

Many thanks

Dave B

1 reply

M
mv32
June 14, 2021

Let me share some insights for you to deduct the correct tax- NI and pension contribution when calculating holiday pay, @Dave Berry.

 

Normally, the system calculates contributions and deductions depending on how you set them up in the system. When an employee gets money from holiday pay, you still have to deduct tax on it and usually National Insurance and pension contribution too.

 

I'd also suggest reaching out to an accountant so they can help you verify your setup according to your payroll preferences. Feel free to use these articles that will help you identify pay types: 

 

 

You'll want to advance the pay period for that specific employee, you can reference this article: Adjust pay period dates within a pay run in QuickBooks Online Advanced Payroll.

 

Additionally, you can contact our Customer Support team to see if they have another way to review this calculation.

 

Here's how to reach our supports:

  1. Sign in to your QuickBooks Online company.
  2. Select Help (?).
  3. In QB Assistant, type the topic you need help with. You can also enter questions.
  4. Select Contact Us to connect with a live support agent.
  5. Choose to Start a chat or Call us.

 

Feel free to swing by and leave a comment if you have other concerns with running payroll. I'm always here to help. Have a safe day ahead!

Terms & ConditionsAccessibility statement