Hours worked leave accrues leave by multiplying the nominated hours included in transactions by the Accrual Rate, which is a percentage.
Contract Hours are not needed to calculate the accrual but are used to show the accrual in days.
This accrual method enables unpaid leave hours to be omitted from the accrual; however, you can't forecast leave as the hours worked are unspecified.
To calculate the Accrual Rate, divide the leave by the entitlement period and multiply by 100. For example, 4 weeks of Annual Leave per year:
(4 (weeks leave) / 52 (1 year entitlement)) * 100 = 7.6923%
To set up the Leave Class:
Go to Payroll, Maintenance, Leave, Annual Leave.
Click Add.
Enter a Code and Description.
Tick Calculate on Hours Worked.
Tick Apply Costing Split to split the liability of the accrual in your General Ledger Batch.
Select Hours Type, Other Leave Reasons, User Defined Leave, and Additions to be used to calculate the accrual. Other Leave Reasons and User Defined Leave are available when Other Leave Hours and User Defined Leave Hours, respectively, are selected in Hours Type.
Enter the Accrual Rate.
Entitlement: Maximum each Period is set as the maximum number of hours an employee can accrue in the entitlement period.
Complete any other required fields.
Click OK.