Annual Leave - Proportional Accrual

If it is deemed that an employee cannot be set up on Standard Accrual (generally because their hours are too unpredictable) then they may need to be set up on Proportional Accrual. This method should generally only be used when Standard Accrual is not viable, as it is not the preferred choice.

Note: A Pay Packet needs to be created in every Main Pay Run (regardless of whether the employee is being paid in this period) to ensure the correct accrual is calculated and the entitlement anniversary occurs correctly and on time.

For Proportional Accrual employees the accrual is calculated each Pay Run based on the hours worked. When a leave anniversary occurs, and hours in the 'Accrual' line in the Leave Summary Screen are moved up into the 'Current' line and the accrual starts from zero again.

Each Pay Period, the hours of accrual are calculated as below:

                             Hours Worked / 52 Weeks * 'weeks of entitlement'

For Example:

               32.5 / 52 * 4 = 2.5 hours

Note: 'Hours Worked' can apply to any period of time you calculate the accrual for – not just for a single Pay Packet. If you wish to calculate the accrual for the previous 6 months, then you would simply use the total number of Hours Worked over that period.