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SimplyWonderful
March 7, 2021
Question

Payroll - Retro Pay - Use Hourly 2

  • March 7, 2021
  • 1 reply
  • 0 views

Hello, to pay employee 31hours X $2 pay increase per hour from previous pay missed.  To retro pay on next cheque, can I set up HOURLY 2 at $2 and enter 31 hours.  And then hourly 1 will be new rate with applicable hours?

1 reply

J
JamesM4
March 8, 2021

Hello SimplyWonderful,

 

I'm happy to learn you're taking advantage of the amazing payroll module offered in QuickBooks Online. I'd be happy to give you a hand so you can pay your staff and continue running your business with peace of mind. 

 

QuickBooks provides the flexibility that enables you to pay multiple hourly rates. Here's how to set them up on your end: 

  1. Click on Payroll > Employees from the left menu.
  2. Select the employee's name and click Edit employee.
  3. Under How much do you pay the employee, click the edit pencil ✏️.
  4. Click Add an hourly rate and fill in the info.

The program allows you to add up to eight hourly rates for each employee. The first pay rate will always be called Regular Pay on the employee's cheque. As you add more rates, you can create custom names for them so it's easier to keep track of them. One benefit to also consider is that you can pay all of the employees the same rate or different rates. I encourage you to check out this article here with more info on paying multiple hourly rates. 

 

Give this try and if you need further assistance, don't hesitate to get back to me in the comments below. I've got your back. 

S
Samgoose70
April 26, 2021

Hello,

 

I added similar and called it Retro pay; however, it would not allow to check off the insurable hours box therefore reporting insurable hours wrong.

 

L
LauraAB
April 26, 2021

Hello Samgoose70,

 

Making sure you have the correct setup for your books, including payroll items, is an essential part of making sure your business transactions are entered correctly in QuickBooks Online. It sounds like you've got a sharp eye for detail, which is also good for these situations, and I want to make sure you get on the right track with this.

 

It sounds to me like you may have set up your retro pay item using the Other earnings section of the pay types. When you choose that pay type, it uses the following parameters by default.

 

 

There isn't a way to change this, which is why you're not able to check off the insurable hours section to include with the rest of it. You can learn more about pay types in QuickBooks Online Payroll here: Supported pay types and deductions explained.

 

What you can do is try what my colleague has described above with creating a new hourly type for the retro pay and entering as the original poster suggests above to see if that works for you.

 

To learn even more about QuickBooks Online Payroll, check out this page: QuickBooks Online Payroll help article hub

 

If you'd like to go more in depth with these options and discuss what you need, I recommend connecting with a member of our support team to have a one-on-one conversation with us. That way, we can make sure we're on the same page with what you need and guide you toward getting back on track.

 

Schedule a Callback or start a Chat: click (?)Help in the upper right in QuickBooks Online > type and enter "Contact support" into the QB Assistant > click Contact Us > explain your situation > click Let's Talk > choose Get a callback or Start a Chat.

Social Media: Facebook, Twitter, and Instagram.
Support hours are from Monday to Friday between 9 a.m. and 8 p.m. ET.

 

We're here to help!

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