How to cap leave accrual

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Kevin Rutland
Kevin Rutland Member Posts: 2 ✭
edited January 2020 in Accounts Hosted
How do you set up the Reckon payroll to accrue leave only up to a maximum ie only accrue on the first 38 or 40 hours (for the week)? Employees are currently accruing leave on an hourly basis ie Accrual Period = Every Hour, but I want to cap the accrual each pay period (week). This is to ensure we don't over accrue leave since as an Australian employer annual leave only has to be paid on ordinary/standard hours which is 38/40.

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  • Charley
    Charley Member Posts: 542 ✭✭✭
    edited January 2020
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    Anything over 38/40 hours would have another payroll item probably called overtime which will be set as not accruing leave. That way it only accrues on the normal time
  • Kevin Rutland
    Kevin Rutland Member Posts: 2 ✭
    edited February 2017
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    Yes, but as we pay a flat rate during the week we only use the one payroll item.  So I guess there's no choice but to setup another one.
  • Charley
    Charley Member Posts: 542 ✭✭✭
    edited February 2017
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    AAAH Kevin, what does the Award say. You may need to be careful that you are not underpaying even if your normal rate is above the award. Strongly advise you check with Fair Work.

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