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January 4, 2021
Question

Stat pay for salaried employees (QC)

  • January 4, 2021
  • 1 reply
  • 0 views

Hi,

 

As the title mentions, when i click run payroll, i tried to add in the calculated stat pay that salaried employees are elgible for. however, when I click on preview payroll, the total amount still shows the normal salaried amount (e.g. if they get paid $52,000 a year, then it's $1,000 per week, my understanding is that stat pay would increase their compensation that day by the gross pay for the previous four weeks divided by 20, so it would be $1000 x 4 weeks /20 = $200 stat pay, then this gets calculated into hours and entered into stat pay).

 

However, only the $1,000 is processed when i click preview payroll. Would someone be able to provide more insight on what the issue might be?

 

Thanks,  

1 reply

January 4, 2021

Hi again smch,

 

Thanks for the details about your situation. With what you describe, it sounds like when you run payroll, you're still seeing the usual salary amount rather than that amount plus stat holiday pay. I'm glad you've noticed this before completing the pay run, and I can absolutely shed light on how QuickBooks Online Payroll handles stat pay so you can complete your pay run.

 

As you know, stat holiday is manually calculated and entered in QuickBooks Online Payroll. From what you've described, you've already taken the step to work out the hours to enter into the Stat Holiday Pay field, which is a good start. In this case, you're not seeing an increase in the salary amount because the stat holiday field reduces the amount of regular salary pay to accommodate it. If you select the pencil icon beside the Total pay amount, you'll see a breakdown and how the stat field affects the regular salary amount.

 

If you'd like to pay the employees on top of their regular salary amount, you can create a new pay item to do so. You could add an Other earnings item, which gives you the opportunity to add a dollar figure amount to the pay run. To do that, select the employee from the Payroll page, choose Edit employee, then the pencil icon for the question How much do you pay employee? On that next page, you can choose the Other Earnings item, name it, and set a dollar amount there or leave it blank to fill out during the pay run.

 

Before going ahead with this, I strongly suggest you confirm with Revenu Québec or an accountant to learn how to handle salary employee payroll when it comes to stat holidays. QuickBooks Online Payroll is designed based on government mandates, meaning that since the stat holiday feature doesn't increase the salary amount, that's likely how it's supposed to work.

 

If you have an accountant already, they can even work with you directly in QuickBooks Online. Feel free to add your accountant as a user to your books by using the email invite field in the My Accountant tab. If you don't already have an accountant, you can use the Find a pro to help button to research QuickBooks-certified accountants near you.

 

I hope this has helped! Take care.