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Client Wants to Change Payroll schedule

I have a client that I took over payroll from another Proadvisor in March and the client is now realizing that the prior ProAdvisor had her pay periods incorrectly set. We realized this when my client had several employees where the hours in the period appeared to be OT. However,. the payperiod that the client thought was being used is off by several days.

Current QB Setup = 1st - 15th pay period and paycheck on 25th of month
Client wants = 6th - 20th pay period and paycheck on 25th

Current QB Setup = 16th - last day of month and paycheck on the 10th of next month
Client wants = 21st - 5th and paycheck on the 10th of the month.

I am trying to wrap my brain around how to fix the payroll schedule so that we don't miss any dates, duplicate any dates already paid (hours), and of course mess anything up without the current monthly payroll tax deposits that are made for period 1-end of month on the 15th of next month.

Please help...
    "where the hours in the period appeared to be OT"

    I don't know of any jurisdiction where OT is based on pay period. Daily or weekly (hours worked in a 24/7 week), but never pay period based. I would confirm how their jurisdiction calculates OT.

    "and of course mess anything up without the current monthly payroll tax deposits that are made for period 1-end of month on the 15th of next month"

    The payments are never based on Pay Period, either. They are based on Paycheck Dates. Changing pay periods never affects liability due dates.

    There are three "dates" for payroll processing:

    Pay Period = dates you are being paid for, the date you worked

    Paycheck = pay date, which starts the liability clock ticking

    Liability "period" = Paychecks were issued in this date range and liabilities are due on their specific cycle because Paychecks were issued on a specific date

    So, Pay Frequency will still be Semi-Monthly. It is always better to look at this in Date Sequence of the Paydates.

    First Check of the month = paid on the 10th; pays for time worked from the 21st of prior month to 5th of current month.

    Second Check of the month = paid on the 25th; pays for time worked from the 6th of the current month to the 20th of the current month.

    And monthly liabilities are based on those two paychecks, because they BOTH fall in the month they are dated. That won't change and there is no setting to change as you are still on a Monthly cycle and that cycle is ALWAYS based on paycheck dates.

    So, during your transition, pick when you want to change. Then, figure out if there is either overlap or a gap of Days Worked for the Pay Period you are including. You can either issue a gap paycheck, or adjust the Pay Period accordingly on the First screen of Payroll.

    It will be easy to due as long as you look at the dates on the first screen of payroll.
    • QBteach - OT is based on Oregon - anything over 40 hours in workweek is OT.

      Since I had already processed payroll with current payroll period, my client wants that changed now...not later. If I edit the paychecks pay period from 1st-15th to 6th-20th, what happens with the other 5 days? Those hours were truly paid last month, so employees have been paid all they are due. Is QB going to have an issue with those 5 days appearing to not have been paid if you look at the pay period schedule? The only thing that I can think to do is document this pay period change in the notes to each employee that is being affected.
    • OT is based on state of Oregon - anything over 40 hours per week is OT.

      After processing current payroll, my client is insistent that I correct this pay period now and not later. She is asking me to change the pay period on the checks already processed from 1st-15th to 6th - 20th. If I edit these paychecks to what she has specified is the correct pay period, what happens with the 5 day gap? Those 5 days of hours were actually paid last pay period on the check dated the 10th. So, all employees have been paid what they are due through the 20th. The only thing I can think to do is edit the paycheck pay period  to what my client wants and make notes on each of the employees that we changed the pay period, but all hours have been accounted for during that gap. What other complications will I be creating by going this route? I know it is best to pick a time to make the change, but my client is super insistent that this is corrected now. She doesn't care that her previous bookkeeper made the mistake in the setup...she wants me to fix it.
    • Apparently the forum site is not working because this will be my 3rd try commenting to your post, qbteachmt.
      So, just learned that husband and wife are not on same page about the pay period schedule. Wife thought we were on one schedule, but it was the husband who had first initiated payroll setup with previous bookkeeper. changes needed. Wife just needs to change her time card schedule to match.
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