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susanwarren1
Level 3

Taking leave accrues more leave as it comes up as a work type

Bit of a confusing headline, sorry - not sure how else to describe it!

 

I have set up a leave category called "Bank holiday uplift" as we pay our staff a percentage (0.0352%) of their hours worked to cover bank holiday pay (so that we pay a fixed % per month rather than calculating the bank holidays each time manually). The leave type is set up to automatically accrue leave, and the Payment Setup is set as Basic.

BH Leave category.JPG

 

However - on a pay run, when I select to Take Leave for that leave type (the amount accrued that month is paid in full), I end up with the leave entry on their pay run being listed as their primary work type, and their leave balance increasing.

 

My other issue - and why I've set the Payment Setup for the Leave Type as Basic, is that some people earn more than one hourly rate, and their bank holiday pay needs to be split so that some is paid at each rate depending on the hours they've worked. I had set up a Pay Category for Bank Holiday uplift, but was then unable to change the hourly rate in the pay run.

 

BH Pay category.JPG

 

For example: Sam works 15 hours at rate 1, and 30 hours at rate 2. He therefore accrues 0.0352% of 15 hours (0.528 hours) and 0.0352% of 30 hours (1.056 hours). 0.528 is paid at rate 1, 1.056 is paid at rate 2.

 

I cannot set up the accrual to work this out for each rate, so I have it set up to accrue the total of 0.0352% of all hours worked, and then select Take Leave and put in the two separate lines so that I can set the pay rate. However, these come through as worked hours, and change the accrued leave - resulting in an excess leave balance. Over the year this is going to work out badly, with Sam's leave balance being off every month and risks us overpaying him for the leave type.

 

Can anyone please help me figure this out? I would prefer to set the Leave Category to use the Pay Category which matches, but for those on multiple rates this does not allow me to change the rate they are being paid at. Is there a way around this, which does not accrue excess leave and does allow me to process the leave being taken at different rates of pay?

2 REPLIES 2
susanwarren1
Level 3

Taking leave accrues more leave as it comes up as a work type

Further pictures to help clarify what I see on the pay run. The hours taken were calculated correctly, but as you can see they are showing as a work type instead of leave type, and as a result the total balance for accrued leave is wrong.

BH taken.JPG BH taken2.JPG

 

Leave taken.JPG

Rea_M
QuickBooks Team

Taking leave accrues more leave as it comes up as a work type

I appreciate you for providing detailed information and screenshots above, @susanwarren1. This way, I can get you to the right support to check your account's leave category and fix its calculation.

 

Based on your screenshots above, it seems that you're using the QuickBooks Online Advanced Payroll platform. The accrual will increase as your employee's pay increases. However, the system is correcting itself to become the primary. 

 

In line with this, I'd recommend contacting our Customer Care team. They can securely verify your account and escalate your accrual calculation concern to the appropriate department. Here's how:

  1. Go to the Help menu.
  2. Select Contact Us.
  3. Type in your concern in the What can we help you with? field,
  4. Click the Let's talk button.
  5. In the Choose a way to connect with us section, select to Get a callback.
  6. Enter your information to successfully get a call from us.

To make sure we address your concern on time, contact us within Monday to Friday every 6:00 AM to 6:00 PM PST. Then, 6:00 AM to 3:00 PM every Saturday. For the Advanced version of QuickBooks, you can contact them any time and any day.

 

You can effectively manage your payroll and employees using QuickBooks Online Advanced Payroll by referring to this article: QuickBooks Online Advanced Payroll Hub. It provides resource links about getting started with payroll, managing settings and employees, processing pay runs, payslips, leave, and statutory payments to name a few.

 

Furthermore, you can also enter leave taken either during the pay run or via the leave requests in the system. To learn more about it, kindly check out this article: Entering leave taken in QuickBooks Online Advanced Payroll.

 

Please let me know if you have other concerns. I'm just around to help.

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