Unlock the Power of Online Signature Legitimateness for Sick Leave Policy in Canada

How to eSign a document: online signature legitimateness for Sick Leave Policy in Canada

hi folks in this video i'm going to talk about how to keep track of sick pay vacation pay and time off pay in quickbooks online payroll so the first thing i'm going to do is i'm going to go into the payroll section here and then i'm going to click on employees and i just want to look at the last pay stub for the employee so we can kind of see what this looks like or what this might look like from the employee's perspective which is probably the most important one so i click on one of these employees here i'll click on paycheck list and then we'll look at the only pay stub we have here for the year i'll go ahead and click on the net pay so i can look at the pay stub in itself and we're going to scroll down and see the part about vacation pace so notice that right here we got time off vacation time and pay time off hours accrued hours use hours available so what we're going to talk about is how to track that stuff those numbers that are there let me look at the other employee that we have here let's see if he's got any i'll open a hector here and we're going to go to paycheck list open up that particular paycheck and see what his pay stub looks like uh he doesn't have any so we'll start with him who's got absolutely no hours accrued or anything like that so i'm gonna click okay and the first thing i have to do is i have to set up this employee to accrue for that paid time off so i'm gonna click on employee details and then here where it says pay i'm going to click on the little pencil so we can go edit hector gonzalez's pay we'll click on that and then we're going to scroll down to where it says how much do you pay hector there should be somewhere here where it keeps track of uh overtime or uh hourly pay all this stuff we're gonna click here where it says add additional pay so i'm gonna click there add additional pay and then i'm gonna scroll down i'm gonna enable whichever time off i'm gonna do so if i'm gonna do pay time off on pay time off sick pay vacation pay holiday pay how whatever your policy looks like some companies what they usually do is they will have sick pay and vacation pay as two separate buckets other companies combine pay time off into a single bucket so for this example let's assume that we track both sick pay and vacation pay so we're going to enable sick pay and we're going to enable vacation paid then the next question is uh what does the policy look like how often do you accrue vacation pay or sick pay per employee so let's say that for sick pay you accrue let's say approximately eight hours or a day per month approximately let's just call it that so that means that every two paychecks in the every other week type of paycheck scenario or a half a month in the month paycheck scenario every time you have a paycheck for two weeks you're gonna accrue let's say four hours per paycheck so if there is if we pay every other paycheck we're going to have a total of approximately two or exactly 26 paychecks per month which means that if it's four per paycheck that would be 26 times 4. so we'll just crank up the calculator here and do uh 26 times four again 26 pay periods times four hours that gives me a total of 104 hours per year so we come in here and we always do it per year now maximum allowed is how many are you allowed to bucket or keep until you can no longer accrue or use your vacation uh or in this case your sick hours so let's say the maximum we're allowed to do it's a year's worth so we'll put 106 as a maximum you can accrue now let's say for example if you are forced to take that vacation pay or that sick pay through the year maybe you want to cut that in half or whatever that way the system doesn't accrue for that sick pay anymore it's pretty much how it works so this is based on your policy you're gonna create your own company policy you can make these things up in the spot it has to be agreed upon with all the employees but you're going to translate that information into quickbooks so let's say the location pay is a different scenario you don't accrue a per paycheck you accrue it per year so we're going to come in here and put at the beginning of the year and let's say that we give people two weeks uh worth of vacation per year and then they they accrue it at the beginning of the year so two weeks would be uh 80 hours and then let's say the maximum we're allowed to to bucket or save is two years worth so we'll put there 160 and the way basically that works is at the beginning of each year you'll accrue your 80 and then if you don't use any that year and the next year you are creating again but then you can't accrue anymore so you got maximum two years or four weeks worth you can you can bucket or save for later usage so that's the the usefulness of using the hours earned per year and also the maximum allowed so in this case look you're allowed to be sick more often than uh that your vacation time and that could happen depends really on the on the policy if you were to combine the two and you have one pay time off policy then what you would use the pay time off option that won't appear and you will create your pay time off your combined pay time off for that now some people track holiday pay you can track holiday pay you can put a checkbox on holiday pay but you usually don't track it because everybody gets the holiday off basically that's what it means so you can track that but you don't get the hours and the accrual and you have unpaid time off which you can accrue and the purpose for that is to make sure that people are maybe not off for more than a certain period of time based on uh company policy so that's really what that what that unpaid time off could be for i usually don't don't use it so we got these two then the next one that we want to put let me hit okay here and okay here is the current balance so let's say as of now what do i want to see in that pay stub let's say for the vacation pay we want to see 80 that's the starting point and let's say for sick pay this person has accrued four for the year so you probably have a control of this in a spreadsheet somewhere or something like that because you haven't been using it with quickbooks yet so by coming in here setting it up and entering the current that's what you're going to see in the pay stop so i'm going to click on done and then i'm going to go back click on done and i'm going to go back and look at a hector's last paycheck i'm going to open up the uh his pay stop open up the last pay stub that we have and then we're going to scroll down and we're going to see that now this has been activated but because on the last paycheck that was created you didn't have that yet so it's going to show up on the next upcoming paycheck so let's do the next paycheck here let's run payroll i'm going to go to payroll i just click on payroll there and then i'm going to click on run payroll and let's just run a payroll for the next period for both of these people let me just push the next pay period forward here and the paycheck date and then we're going to click on preview payroll just so we can kind of see what that looks like and then we're gonna click on submit payroll so i just submit a payroll like normal uh and i just want you i want you to see how we accrue that time so click on finish payroll and we're gonna open up now the pay stops so let's go to employees let's go to hector here let's go to paycheck list and let's click on his uh other paycheck that i just created and let's see what that looks like now so notice he now has some four hours sick pay accrued and 80 hours of vacation pay for the whole year so i'm going to create another paycheck now i'm going to consume some of it so you can kind of see what that looks like so i'm going to go to payroll employees let's go to run payroll now what i'll do i'm just going to click on create another check for hector in this case because i'm rubbing up against the same uh period i'm going to create another check and then in here instead of paying him 40 hours a regular i'm going to pay him let's say 20 hours of regular and i'm gonna pay him let's say 12 hours of sick and eight hours of vacation so that's i kind of want you to see kind of what happens um when we consume 12 hours of sick pay and eight hours on vacation click on preview payroll submit payroll and now i'm gonna finish the payroll i'm going to go to see his pay stop so let me go into hector here paycheck list and then i'm going to look at the latest pay stub to see what that looks like and we get to see the new calculation so look in this case i only had four hours of sick pay accrued and i consumed 12. obviously that went to negative there's no control mechanism to have quickbooks to stop you from doing that so you kind of want to check the balance of the employees accrued sick and vacation prior to generating the the payroll to make sure that you don't do this where you run into negative hours and actually the best way to do that is to run a report so let's go into uh reports let me get out of all these screens and we're going to go into our reports here on the left hand side click on reports and then we're going to search uh sick vacation and sick leave that's the name of the report vacation and sick leave you click on that and you're going to get a list of all your employees and all of their accrued vacation and sick leave i can select across uh all employees and active employees active employees a specific employee if i want to give the employee list or whatever and then i can click on run report so once we do that i'm going to just collapse the left navigation bar here so we can see more and you can get to see clearly so we get to see what each of their vacation policy is what their pto or pay time off sick time policy is and what the current available versus in this case um used use it would be policy accrued main minus use would be the current available if i click on any of those dollar amounts there if i click on that it will take me to the specific report that shows me all of the base paychecks or the pay stops rather that will basically let me know when is each event that has cost that those hours to either accrue or to be used so that's it that's how you track vacation paid time off and sick pay in quickbooks online payroll i hope you like this video and i'll see you on the next one