Can I adjust the hours that payroll calculates for salaried employees?

Currently, editing paycheque hours for salaried employees is unavailable. I'm here to provide a few information on how this is calculated in QuickBooks, Finance218.

QuickBooks calculates the hours for salaried employees in a way that accommodates the number of days across different months. For most salaried employees, their annual salary is evenly divided into consistent bi-monthly or monthly pay periods. 

This means that regardless of the specific number of working days or hours within each pay cycle, employees receive a fixed amount, ensuring equitable compensation throughout the year.

As an example, If your employee is working 8 hours a day and 5 days a week, the calculation of 86.67 hours by QB for the pay period from May 16 to May 31 likely reflects the QuickBooks method of standardizing pay across periods.

Since there are generally about 2080 working hours in a year (52 weeks x 40 hours), the monthly hours would be roughly 173.33 hours (2080 hours / 12 months). Under the assumption that hours need to be tracked, QuickBooks will divide the monthly hours by 2 to distribute hours evenly to each paycheque:

Bi-Monthly Hours = 173.33 / 2 = 86.67 hours

Also, the salaries for each pay period remain fixed regardless of the hours worked. The employee's pay is not tied directly to hours worked but rather to their salaried agreement or setup.

For more details, learn the different types of payroll items used for employees' paycheques: Understand Supported Pay Types and Deductions in QuickBooks Online Payroll.

Furthermore, check out this article to know more on how to file your sales tax return and record sales tax payments: File Your Sales Tax Return and Record Sales Tax Payments in QuickBooks Online.

Post your comment below if you have any other questions or concerns when adjusting employees' hours. I'm always right here to help.