leave liability

Larisa
Larisa Member Posts: 39 ✭✭
edited April 2020 in Accounts Hosted
Hi, its been a long time since I first set up employee records and I was wondering if someone can tell me what does the "leave liability" tick box do.  I have it ticked but I cannot remember why or whether it actually should be ticked.

The other question I have is in regards to accrual period, I have it set to every hour, but should staff be accruing annual leave for overtime hours? 

Thanks
Larisa

Comments

  • Kwikbooks (Professional Partner)
    Kwikbooks (Professional Partner) Member Posts: 824 ✭✭✭
    edited April 2020
    Hi Larisa

    Leave liability tick means you are tracking leave and it will show up when you process the payroll.

    Leave is only accrued on ordinary base hours, not overtime.  Usually a permanent 38hr or 40hr week will accrue leave per pay period, worked out if on a 7.6hr day or 8hr day.

    Perm Part time is often a good idea to leave as every hour work, this means if they do more than there regular set hours, they will still get leave for the extra ordinary hours they worked.


  • Larisa
    Larisa Member Posts: 39 ✭✭
    edited March 2018
    Thanks for the reply, good to know that the tick on leave liability should be there. I was worried it affected the staff's leave in a negative way. Much appreciated. Regards Larisa
  • Sonya Herbert
    Sonya Herbert Member Posts: 80 ✭✭

    hi, how do you set up for annual leave & personal leave only to accrue on those 38 normal base hours, and not on the overtime hours as well?

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,366 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert

    Hi @Sonya Herbert

    Make sure your overtime Payroll Items do NOT have this checkbox ticked on their last configuration window:


    Only tick this for the base-hour Payroll Items that you want leave to accrue on 😊

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Sonya Herbert
    Sonya Herbert Member Posts: 80 ✭✭

    thank you so much for that.

  • Sonya Herbert
    Sonya Herbert Member Posts: 80 ✭✭

    thank you so much for that. So that box to tick hasn't got anything to do with the super items selected in the box below? super will still apply to the overtime payroll item?

  • Sonya Herbert
    Sonya Herbert Member Posts: 80 ✭✭

    it's only for annual & personal leave? what do you do with a permanent part time person? that accrues al & pl?

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,366 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert

    It's best practice to set up all leave to accrue for Every Hour. This way, it will accrue proportionally to hours worked (eg FT v PT)

    The checkbox just tells the system whether to accrue leave on a particular Payroll Item or not. Super is not payable on overtime hours, only OTE (base hours) so additionally, you would not tick any of the Super Payroll Items for this one either (as also shown in my screenshot) 😊

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Sonya Herbert
    Sonya Herbert Member Posts: 80 ✭✭

    thank you for your help. I'm just joining the payroll side and trying to get my head around it all when setting up new employee and payroll items. Can i ask a silly question, do you accrue personal or annual leave on Public Holidays, Personal or Annual leave hours you use?

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,366 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert

    Hi Sonya

    Yes, Leave accrues on both public holidays & on leave taken 😁

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Sonya Herbert
    Sonya Herbert Member Posts: 80 ✭✭

    thank you, i'm also looking for a report to print out that'll show ANNUAL & PERSONAL LEAVE accrued for last Financial Year, and Annual & Personal Leave taken by each employee? Just wanting to make sure the correct amount of leave has been accrued, as the balances seem a bit out on a few; Also does Sick leave accrued BALANCE at the end of each Financial Year, meant to be transferred to the new financial year? or does it go back to 0 and start again.

  • Kris_Williams
    Kris_Williams Member Posts: 3,272 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert

    When I feel the need to check leave balances I do it manually

    i calculate amount that should have accrued

    number of years since start date x. 4 weeks leave (in hours). It will usually be a fraction . 4.25, 6.5, etc x 4 weeks leave based on their weekly hours

    then I use the leave taken report and deduct from above figure

    this I check with Reckon

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,366 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited October 2023

    You can drill down on the Leave Accrual Summary (under Reports dropdown menu > Employees & Payroll) to view a record of all leave accrued - per pay - for each employee.

    Years ago, Sick Leave would reset each year but it carries over each year now (just like Annual Leave) 😁

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Sonya Herbert
    Sonya Herbert Member Posts: 80 ✭✭

    where do i find the LEAVE TAKEN report?

  • Kris_Williams
    Kris_Williams Member Posts: 3,272 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert

    Actually without checking I think that report was removed, however if you go the payroll summary report and select all dates you can see the number of hours taken for leave

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,366 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited October 2023

    The Leave Accrual Summary shows all Leave Accrued, taken (Used) & Available:

    As per my previous post, if you drill down on any line for an employee, it will display ALL this detail for that employee each pay:

    (Note the above are screen snips from Reckon's default Sample file so the records are incomplete/inaccurate ☺️)

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Sonya Herbert
    Sonya Herbert Member Posts: 80 ✭✭

    So is that above report from the date the employee started working with us? I can't get a report to show last financial year?

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,366 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert

    Yes, you can select/specify the dates - or date range - at the top ☺️

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)