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holiday accrual

Gailsnowdon1Gailsnowdon1 Member Posts: 6

Hi

setting up payroll for holiday accrual how many hours per pay do i give them

Thanks

Comments

  • Kris_WilliamsKris_Williams Member Posts: 1,553 ✭✭✭

    Depends on their weekly hours

    formula is 38 X 4 = 152

    if accruing by week 152 divided by 52 = 2.923 per week. If weekly hours are 20, substitute 20 for 38

  • CharleyCharley Member Posts: 559 ✭✭
    edited June 3

    It works better if you accrue per hour 0.07694 for holiday and 0.03833 for sick leave and I use a spreadsheet to reconcile it with Reckon because when somebody mucks it up in Reckon then it's a nightmare to try and fix it. If you need the Accrual spreadsheet email me on [email protected]

  • Kris_WilliamsKris_Williams Member Posts: 1,553 ✭✭✭

    I have done both over the years, people who always work. the same hours per pay is fine. Flexible hours definitely better per hour. Up to the individual

  • ZappyZappy Accredited Partner Posts: 4,636 ✭✭✭

    Kris yes but your approach is still less than half an answer. A fixed rate is almost inevitably going to cause problems somewhere down the track. The correct approach is to use the percentage of ordinary hours in line with the FTE laid out in the NES. Ive never had a problem either. Not in 23 years. And Reckon can implement this very easily. Why would you compromise?

  • Kris_WilliamsKris_Williams Member Posts: 1,553 ✭✭✭

    I don’t compromise I simply answered the question- how much to accrue per pay

  • ZappyZappy Accredited Partner Posts: 4,636 ✭✭✭

    Yeah, but did you? Really. It fits a lot of situations. Not all of em. What if people work odd hours?

  • Kris_WilliamsKris_Williams Member Posts: 1,553 ✭✭✭

    I also said I use both methods depending on employment

  • Gailsnowdon1Gailsnowdon1 Member Posts: 6

    Now i'm very confused people

  • Kris_WilliamsKris_Williams Member Posts: 1,553 ✭✭✭

    Accruing by hour is a good idea and does have advantages if people do not always work the same hours. Take Charley’s advice and if unsure avail yourself of his offer and email him. It’s simply a case of setting up leave to accrue by hour as opposed to by pay

  • ZappyZappy Accredited Partner Posts: 4,636 ✭✭✭
    edited June 4

    Gail just use the accrual by ordinart hour. Its the simplest method. You need 7.6923% of ordinary hours. Call me if you get stuck 0407744914

  • Acctd4Acctd4 Accredited Partner Posts: 1,062 ✭✭✭

    Both Zappy & Kris are are referring to the same thing but are just using different terminology!

    I totally agree - I ALWAYS set all leave to accrue per hour. That way, it always calculates correctly regardless of what hours are worked 😊

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    Reckon Accredited Partner (AP) Bookkeeper * Regd BAS Agent (No: 92314 015) *

    ICB-Certified Bookkeeper * Seasonal Tax Consultant since 2003

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    0422 886 003

    [email protected]

    https://www.accounted4bs.com/

  • Gailsnowdon1Gailsnowdon1 Member Posts: 6

    Also in the payroll item set up is PAYG and state pay roll both ticked ?

  • Acctd4Acctd4 Accredited Partner Posts: 1,062 ✭✭✭

    Yes, leave payments are generally part of gross wages & taxable.

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    Reckon Accredited Partner (AP) Bookkeeper * Regd BAS Agent (No: 92314 015) *

    ICB-Certified Bookkeeper * Seasonal Tax Consultant since 2003

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    0422 886 003

    [email protected]

    https://www.accounted4bs.com/

  • ZappyZappy Accredited Partner Posts: 4,636 ✭✭✭

    Acctd4 i agree with me too

  • ZappyZappy Accredited Partner Posts: 4,636 ✭✭✭

    Gail Hi. You shouldn't be. Call me I can fix this. It really isn't complicated if you understand the concept.

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