How do I accrue vacation pay when a salaried employee is taking a paid vacation?
A salaried employee accrues 6% (3 weeks) vacation per year. If their salary is $75,000 that should be $4,500 accrued vacation pay after the first year. In the second year when the employee takes the 3 weeks vacation they only accrue between $4,218.75 to 4,240.38 vacation. Since they should be accruing 3 weeks vacation per year every year the solution would be to accrue vacation pay when the employee is taking their paid vacation. Quickbooks doesn't accrue vacation pay on VacPay-Accrual Paid Out and that item doesn't appear under the earnings that accrue vacation. How can I ensure that employees accrue their full three weeks of vacation?
