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Setup Payroll for Salaried Employee

whatever1570

Hi,

I have setup an employee in payroll on a monthly pay cycle and being paid a salary. I have been using this for six months and it has worked ok. His holidays hours have been accruing correctly and appear on his payslip. Now I have come to paying him for holidays and I can find nowhere in his monthly pay to record holidays taken. There is obviously something I have missed in the setup.

Is there somewhere I can see how to setup and record holidays taken for a salaried employee. Thanks.

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Komal_S

Hi @whatever1570

Entitlements are accrued on hourly basis. To reduce the number of hours when a leave is paid out, the "Linked wages category" is used in the entitlement's information. Therefore, while paying out that entitlement, the relevant wage category needs to be set as "Hourly" to correctly reduce the number of hours from it.

This is regardless of the fact that the employee is on salary or hourly basis. While processing payroll, you just need to type the number of hours taken in the relevant wage category for both salaried or hourly employees and it would process it correctly without any conflict.

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whatever1570

Thanks for the prompt reply. When I selected the 'Annual Leave Pay' category I also selected 'Salary' as the type of wages. Then I linked the employee. However on selecting ok, nothing happens, the window stays open and selecting cancel is the only way to close the window. My selection is of course not saved.

After reading your linked article it says to check 'Hourly' as the type of wages even though the employee is on a salary. If you do this then you can save the linked employee. Of course this makes me wonder why you would have Salary as an option to select when it cause the program to 'hang'.

Hopefully my selecting the hourly option will not cause any conflicts with a salaried employee. Thanks again for responding.

Regards,

Peter

Komal_S

Hi @whatever1570

You would have to create a "wage" category for "holiday pay" to record the holiday taken and link that wage category to the employee. More information on how to setup leave properly can be found on Leave and Entitlemetns help article.

Please reach out if you have further questions.