Intuit has begun testing a new 'Beta' feature for QuickBooks Online Payroll which provides explanation of proper overtime hours for users in 18 states that are Fair Labor Standards Act (FLSA) regulation compliant. The new feature recommends the appropriate overtime hours for an employee when the total hours are entered for an employee who is paid on a weekly basis.
In a recent presentation of the feature, Leif Linden, Senior Product Manager for the Payroll Knowledge Team that is charged with the feature's development said, "the feature increases the confidence and accuracy regarding how much overtime small businesses need to pay their employees."
As you can see in the example below, the calculation, along with the overtime rules, are explained to the individual processing the Payroll to help them make the appropriate decision and remain in compliance with FLSA regulations.
Source: Intuit
QBO_Payroll_FLSA_Beta_Enhancement
As you can see, the new feature not only provides the mechanism to fix the entry (by changing the regular hours to 40, and posting a 5 hour overtime entry), but also offers the detailed 'Explain why' option so that the Payroll processor can learn as part of the process.
While the 'Beta' is not presently accepting additional participants at this time, the project may be expanded 'in Beta' to include additional FLSA compliant states, and in those cases the 'Beta' offering will likely be re-opened for those payroll state customers. Intuit has not provided any estimate as to when this 'Beta' feature might be rolled out into full production for payroll subscribers.