#TipTuesday - Automatically reduce ordinary time hours when taking leave 🤩

This week's #TipTuesday is for our awesome Reckon Payroll users!

Did you know you can automatically reduce an employee's ordinary hours by the leave hours paid in the same pay run?

This is a super handy feature that can save you time from having to manually adjust ordinary hours when leave is taken.

To switch this on, head over to Settings ➡️ General ➡️ then tick Automatically reduce OTE hours by the hours of leave

A few key things to know..

This feature only works with full time and part time employees

Ordinary time earning hours will be reduced in the pay run when any leave hours eg. annual leave, personal leave etc are entered.

If there are multiple ordinary time earnings (OTE) pay items entered in the employee's pay, the first pay item hours will be reduced.

If there are insufficient hours to reduce from the OTE pay item, then the hours will be set to 0.

The OTE hours will not be recalculated when an existing leave item on the employee's pay run has been modified. You will have to manually update the OTE hours.

The OTE hours will not be reduced when the Cash out option is selected, or if the pay run is a termination pay.

Check it out in action!

In the simple example below you'll see the Salary ordinary earnings automatically reducing when annual leave is added to the pay run.

Hopefully you find this helpful and saves you some time in your workflow!

If you have any questions around this feature, please let us know below 🙂

Comments

727019

Hi Rav,

I do use this feature and it is great but it doesn't reduce the OTE when a Public Holiday is taken, could PH be included also?

Thanks,

Rav

Hey there @727019

Awesome to hear you're making use of this feature 🎉

That's interesting to hear in regard to public holiday leave, I tested a little earlier using leave items setup as Annual, Personal and Other with the accrual period as per time worked.

Can you give me a bit more info on the setup of your Public Holiday leave item and I'll do a bit of testing on my end to see if I can replicate that.

Its not shown in my screenshot example on the left but include any preference selections you've made under Other Preferences.

Cheers!

727019

Hi Rav,

I have just attached a screen shot but I think it might be because it is set up as OTE not a leave item? This came over from PP so perhaps the setup was different. Having said that it is not an accrual item it is OTE?

Your thoughts.

Rav

Thanks for that @727019 and yes you're correct, that item is an earnings item rather than a leave item which is why the ordinary hours aren't reducing when its added.

Are you using that item to pay an employee earnings for working on a public holiday or are you using it for leave?

I'm not quite sure how that item would have worked in the old Payroll Premier software but if you were to create a leave item in Reckon Payroll and assign it to an employee, it will then reduce the employee's ordinary hours when its used in a pay run.

Ari Gold

Wasn't aware of this, thanks for sharing. Is this a recent addition?

Rav

Hey @Ari Gold (love the user name by the way! 😄)

Glad to hear you're liking the look of this feature 🙂 It came out a little earlier this year in one of our feature updates to Reckon Payroll.

I'd recommend clicking the Follow button on our dedicated announcements pages so that you're notified straight away when a new release or other important info is published for your specific software. Its really simple to do and there's more info HERE.

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