Overview
Employees are entitled to annual vacation leave, which may be paid off if not fully utilised by the end of the period. This process ensures employees receive compensation for their remaining balance directly within the Payroll module.
Permissions
To manage leave payoffs, you require the following permissions:
- View/Manage All Employee Data: Required to view leave balances. This can be set on employee, unit or global level.
- Manage Payroll: Required to add adjustments to payslips. This can be set on employee, unit or global level.
Paying Off Remaining Leave Balances
When selecting the leave type, you will be adding any pending leave balance that is stored in the person's account to be paid off in the relevant payroll. The balance in hours will be multiplied by the hourly rate, and the value due will be shown in the Adjustments section in the middle calculation section.
Calculation
(Hours of Entitlement * Hourly Rate) = Leave Pay Off Amount
Leave balances can be paid off in bulk for groups of employees or per individual employee. The processes are outlined below:
- Navigate to the Payroll section.
- Open the Payslip of the chosen employee.
- Click the +Add Leave Payoff button at the bottom right-hand corner.
- Select the Leave Type from the dropdown menu.
- Verify the Hours and Rate (these populate automatically).
- Click Calculate and then Save.
Adding a leave pay off in bulk will add only Vacation leave pay off to the employee payslips.
- Go to the Payroll section and create or open a payroll.
- After clicking Add Employees, select Bulk Actions and click Add leave payoff.
- Click Save to apply the payoff to all payslips.
Once the payslip is locked, the employee's leave balance will update. If all leave is paid, the balance will show as 0.
You can add leave payoffs for multiple leave types by clicking 'Add Leave Payoff' and selecting a different type each time, but you cannot add the same leave type more than once in the same payroll. To pay off the same leave type at different rates, use separate payrolls.
If an employee is terminated, Talexio automatically adds any remaining vacation leave payoff to their final payslip.