Hi Robin,
You should find when processing a pay a drop down option where you select salary or hourly pay that you can select holiday/personal as an option.
If they aren't there, have a look in lists drop down menu > payroll item list to see if they are there and active.
If you need any further help or perhaps training, feel free to email me directly.
Kind regards,
Sally McIntosh (sally@samsolutions.com.au)