Sick pay is payment in lieu for absence from work taken by the employee due to illness. It is paid to the employees so that they can stay at home and see to their health without the risk of losing the pay.
Through the below write-up we are trying to cover every aspect of setting up the sick pay in QuickBooks, which will surely help and guide you.
Steps for Setting up Sick Pay in QuickBooks
Now after having a little insight over the definition of sick pay, let us move ahead towards the stepwise process to guide you through. You need to follow the below steps in a similar order for setting up the sick pay in QuickBooks.
Step 1. First of all, you will have to click on Employees on the top menu bar and then click on the employee center.
Step 2. In this step, you need to double click on the name of the employee to edit the related information.
Step 3. After step 2, select the payroll info tab and choose the sick/vacation tab. In the hours available as of mm/dd/yyyy box, you need to enter the number of paid sick hours which are available to the employee for usage purposes. Once the payment is started to the employee, the hours available as of date will be updated to the end date of the pay period of the employee’s most recent paycheck.
Step 4. Now under the accrual period drop-down menu, and choose one of the accrual periods for sick time (Beginning of the year- this option grant a certain number of hours which employee can accrue over a year), ( every paycheck – this option accrues a certain number of hours per paycheck) or (every hour on a paycheck- this option accrue a certain number of hours per paycheck), now if you click on every hour on paycheck, then enter 0.025 for decimal set up or 1:30 for minute set up on hours accrued at the beginning of the year.
Step 5. Now enter the maximum number of hours that the employee can have for sick leave and enter the date in “begin accruing sick time on box”.
Step 6. Enter all the other information as needed and click on ok to save changes and finish.
Steps for Every Hour Setting up Sick Pay in QuickBooks
As you have selected every hour on the paycheck option, you will have to set up the format to minutes. You need to follow the below steps for doing the same:
Step 1. First of all, you need to click on the Edit menu and now click on preferences.
Step 2.In the next step, you need to click on General > select company preferences in Quickbooks.
Step 3. In this step, click on Minutes under the time format section and finally click on OK.
Hopefully, the above steps will serve and guide you in setting up sick pay in QuickBooks, but if you still face any issues or queries at your end and you want to have any further information on any point, you can dial a QuickBooks toll-free number and our QB experts team will guide you.