Leave Accrual Configuration
When an employee changes work patterns or is moved to a new work pattern, their leave entitlements for annual, personal and long service should be reviewed. The steps are as follows:
- Select Employees < Payroll Setup < Setup Pay
- Scroll to the leave section and ensure the following is configured
- If an employee is timesheet, set the Calculation method to Based on Timesheet Hour and enter the rate
- If an employee is salaried, set the Calculation method to Fixed Amount Each Period and enter the pro-rata’d entitlement hours
- Update the Annual Hours field for all leave types which needs to be recalculated
- Enter the Additional Hours Rate (this is the rate leave will be accrued for all additional hours worked)
- Select Save and ensure that the Start/Effective Date in the change management pop up box is set to the date of the new work pattern assignment
Additional Hours Worked
All employees, not only part time employees, can accrue leave on specific wage types which are independent to their work pattern. This requires a specific leave accrual flag to be selected against the wage type. Steps to action this are as follows:
- Select FlarePay < FlarePay Setup < Wage Types
- Create a new wage type within the Time Based Category
- Select the wage type which has the appropriate attributes (i.e. taxable, superable, pro-rated)
- Rename the wage type (e.g. Additional Hours Worked)
- Click Update (once updated the Description of the wage type will be updated)
Accrual Calculation Methods
There are only two methods of leave accrual that can be assigned to an employee
- Fixed Amount Each Period: This is the calculation method assigned to salaried employees who have a work pattern. Leave will be accrued based on their standard hours per pay period (i.e. leave accrued per pay period is consistent except for monthly employees.
- The Annual Hours field is to contain the number of leave hours an employee is entitled to in a year. For salaried employees, LSL Annual Hours are not needing to be set as this is calculated based on Pay State and work pattern.
- Based on Timesheet Hours: This is the calculation method assigned to timesheet employees who have a variable work pattern (i.e. 24hrs). Leave will be accrued based on hours worked each pay period.
- The Rate Per Hour field is to contain the rate at which leave is accrued (i.e. employee who is entitled to 4 weeks annual leave will have a rate of 0.07692). For timesheet employees, their LSL Rate Per Hours also needs to be set based on their Pay State
To review the accrual per pay period for an employee, either the Leave Balance & Accrual Report or Daily Quota Balance & Accrual Report can be run from FlarePay.
Once created, the new wage type will be active in FlarePay and can be added to employees either directly into their payslip via the Edit Pay tab in FlarePay, or alternatively it can be added to the Flare timesheet for employees to submit their additional hours for approval.