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October 17, 2019
Question

Can 4% vacation pay for part time employee be accrued ?

  • October 17, 2019
  • 1 reply
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1 reply

AddieC
October 17, 2019

Hello,

 

Thanks for reaching out here in the Community. I'll help shed some light on the vacation pay options available to you in QuickBooks Online.

 

When you add a new employee, you'll set up their vacation policy by clicking the small pencil icon next to Question 4 - What is this employees vacation policy?

 

The two options for setting up vacation pay are as follows:

 

1. The employee accrues vacation pay: Employees typically earn a minimum of 2 weeks of vacation (in Ontario for example). This is the method recommended for full-time employees.

2. The employee receives vacation pay on each pay period: Employees earn a minimum vacation pay out rate. This is recommended for part-time employees.

 

You're able to select whichever method you'd like, however keep in mind that the recommended vacation policy for part-time employees is to pay the amount owed on each pay period. I'd also recommend reaching out to your accountant for their advice on which vacation policy would work best for your part-time employee. If you're not already connected to an accountant, find one in your area here: Find a ProAdvisor.

 

If you have any other questions for me regarding vacation pay, just let me know.

 

Cheers!