How to Configure Company Leave Policies

Leave Policy Overview

Company leave policies must be configured before they can be added to employee records. Leave policy configuration ultimately controls how leave is calculated, added to and deducted from an employee’s individual payroll record. Here, leave policies can be configured for minimum hours required, employment status, accrual rules and years of service (if applicable).

Add Leave Policy Info

The configuration for leave policies is found by going to Configure→List Configuration→Payroll→Company Leave Policies.

1. Click on the Add Policy button

2. Enter a Description (required). Helpful Hint: The description entered should be one that identifies the key points of the policy being setup. You may also want to include the associated employee status. For example, “PTO-Hourly” or “PTO-Salary”.

3. Select the Type from the drop-down (required). Note: choices include Vacation, Personal, Sick and FMLA.

4. Enter the Eligibility Delay (days). Note: This is a required global setting where you can specify any delay (in days) for the leave policy to take effect for employees. The start date for a particular policy is further determined by the hire date or by an effective date entered at the individual employee record. Helpful Hint: If the policy should have no delay for eligibility, enter “0”.

Configure Company Leave Policies

Add Leave Policy Info

Leave Policy Options

This section of the course details additional leave policy options available under the Company Leave Policy Info section of the configuration dialogue.

Apply Hours Taken to Minimum: If checked, any hours of leave taken for a given accrual period will apply to minimum hours to qualify.

Apply Overtime Hours to Accrual: If checked, any overtime hours logged for a given accrual period will apply to the total accrual.

Apply Hours Taken to Accrual: If checked, any hours taken during the specified accrual period will apply the total accrual

Minimum Hours to Qualify:

This section of the leave configuration allows you to specify the minimum hours to qualify for time accrual. You can setup policy parameters for Weekly, Bi-Weekly, Semi-Monthly or Monthly.

Applies to employees w/status: The leave policy will be applicable for any of the selected employment statuses.

Leave Policy Options

Accrual Setup

This section of the course details accrual setup. These settings affect the way in which the system calculates leave accrual.

Carry Over: If checked, the system will allow for the carry over of unused hours. This function works in conjunction with some of the other accrual setup parameters discussed below.

Use Calendar Year: If checked, the system will use the calendar year for calculations versus date of hire.

Based on Years of Service: If checked, the Years of Service Scale will be made available in order to enter accrual based on years of service. If not checked, a flat Accrual Rate field is available.

Accrual Rate: Note: This field is only available if the “Based on Years of Service” box is unchecked. Enter hours here for a leave policy based on a flat accrual rate.

Accrual Rate Type: This defines the accrual rate type. The choices include “Fixed Amount” or “Hourly Rate”.

Accrual Period: This defines the accrual period and is a required setting. Accrual will be calculated based on the period selected. The choices include “Each Pay Period”, “First Pay of Month”, “First Pay of Quarter” or “First Pay of Calendar Year”.

Max Hours per Year: Note: This field is only available if the “Based on Years of Service” box is unchecked. This is an optional field where you can specify a hard limit on the hours accrued per year.

Max Lifetime Balance: Note: This field is only available if the “Based on Years of Service” box is unchecked. This is an optional field where you can specify a hard limit on lifetime balance for the hours accrued.

Max Carry Over: This is where you can specify a maximum for carry over of any unused hours. This parameter works in conjunction with the “Carry Over” checkbox.

Accrual Setup

Years of Service Scale

The Years of Service Scale is only made available when the “Based on Years of Service” accrual option is selected. This scale will set the accrual rate based on the employee’s years of service. Yearly maximums and max balances can also be set.

1. Click on the Add button

Helpful Hint: You can add additional years of service lines by clicking on +Add after each save.

Enter the Years of Service. Note: The accrual entered against this line will begin with the number of years that you enter here. For example if you enter a “2”, the accrual entered will begin at the start of the 2nd year.
Enter the Accrue Rate. Note: This is the accrual rate in hours for the specified number of years of service. The accrual rate is also a product of the accrual period entered.
Enter the Max Hours/year (if applicable).
Click Update
Click the Save button

Add a Leave Policy to an Employee Record

This section of the course will walk you through the process of adding a leave policy to the employee record. First, ensure that all roles that need access to the employee Leave tab have it.

Click on Configure→ Security→Configure Roles→Select the role that needs access→Desktop

Security→Expand Employees→Leave checkbox and Save.

1. With the employee record open, click on the Leave tab

Click on the Add button
Select the Description from the drop-down.

Note: This is the description for the leave policy you have configured under Company Leave Policies.

Enter an effective date (optional). Note: If an effective date is not entered, the employee’s date of hire will be used for leave calculations.
Enter any Delay Days for the leave to take effect.

Note: If you have entered a global number of delay days for the leave policy, it will auto-populate. The Type, Amount and “Rolls Over” portions will auto-populate based on the policy setup.

Helpful Hint: You can change the delay days even if a default number populates.

6. Click Update to save the leave policy

Note: Min Hrs, Max Hrs/Yr, Max Bal will auto-populate based on the leave policy selected.

Note: Earned, Taken, Balance and Max Carry Over will update as time is accrued and/or taken.

Add a Leave Policy to an Employee Record

View/Modify Earned Units

This section of the course will walk you through the process viewing and modifying earned units.

1. Click on the +/- icon

Note: Once the dialogue window opens, you will see at least one line item for an “Opening Balance” once associated with a check date.

2. Click on the Add button to modify the earned units

Select a corresponding check date for the modification.
Enter a Description.
Enter the modified Units total (hours) against the check date.
Click Update