Vacation/Sick Accrued Time

First, the appropriate Payroll Items must be set up: Vacation Salary and Sick Salary for salaried employees and Vacation Hourly and Sick Hourly for employees paid by the hour.

QB tracks only Vacation $ available for each employee. Vacation $ accrue on each paycheque based on Gross Pay.  When an employee takes Vacation, use the Vacation hourly or Vacation Salary item on the paycheque to pay the employee instead of the Salary or Hourly item. Doing so will reduce the Vacation $ available to the employee. A new employee will generally not be able to take a paid vacation until completing one full year of employment. Vacation 'time' must be tracked outside of QB. 

Only Sick Time can be tracked as 'time' in QB. Enter the number of hours of sick time available to each employee. Sick hours is calculated by the # of sick days allocated X the # of hours worked in a day. For instance, an employee is hired to work 30 hours/week (or 5 days/week, 6 hours/day). The employee is allowed 6 Sick Days (or 36 hours) in a calendar year. Using the Accrual tab in the employee profile, enter 36 hours in the Hours accrued at the beginning of the year, as well as in the maximum hours. Select 'Reset each new year'. When an employee takes sick time, use the Sick Hourly or Sick Salary Payroll item to pay the employee. Doing so will reduce the remaining # of hours available to each employee.