Is QB Payroll capable of correctly calculating OT

Don't expect an entry level program like QuickBooks to be able to calculate FLSA overtime pay correctly. In Quickbook's defense most payroll programs on the market today can't do it.

From your post it is clear that even you don't know how to calculate the correct amount. Don't feel bad you are not alone.

Using your numbers above I will assume a normal work week has 40 hours. Below is the calcualtion:

50 hours @ 20 = 1,000 plus $100 spiff = $1,100 Pay per hour $1,100/50 = $22/hour (so far we are in agreement)

FLSA overtime pay:

10 hours @ $20 plus 10 hours @ $22/2 = $310 ( Note this amount represents a combined rate of $31/hour not $33)

Total Pay:

40 @ $20 Plus $100 plus $310 = $1,210

So we add 10 hrs x $11 = $110 to the $1100 we already paid them for a total of $1210.

I've been doing payroll using the half hour for almost 30 years. The calcs aren't that hard for me, QB should be able to figure it out. Add all the hours worked at straight time pay, add any bonuses, divide that by the total hours worked, divide the result by 3 (assuming you're paying 1.5 OT) and multiply that by the OT hours. Simple.

I should have realized that you then divide your $33/hour rate by 3. Not!.

In any event when entering the information in QB I would enter it as follows:

Hourly 40 x 20 = 1,000 OT 10 x 31 = 310 Spiff 100

In my

Just remember even with his abiliy to do millions of trillions calculations per second, Data still can't whisle.

I can't whisle either.

Apparently, though, 37,000 people who made entries in Google can "whisle."

I don't. Not!