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Kh200014's avatar
Kh200014
Contributing User
2 months ago
Solved

Annual Leave conversion from old payroll system

Our previous payroll system calculated Annual Leave in Hours, not Weeks. 

How do we enter previous Annual Leave Entitlement into MYOB (as MYOB calculates leave in Weeks, not Hours)?

Our staff choose what days and hours they want to work, so they dont have consistent working patterns, so "hours worked" every week is different. 

Thanks.

 

MYOB Business
  • jenniek's avatar
    jenniek
    31 days ago

    Hi Kh200014 

    Yes - that looks correct to me. The leglislation says 4 weeks leave, so looking at the example - that employee has worked an average of 6.36 hours per week- so based on 42.92 hours owed, then this equates to 6.75 weeks. Make sure you only calculate hours to the last entitlement/anniversary date and don't include accrued hours (not due yet) as the system will work out the 8% and estimate hours owed for this as well. You will need to put in an estimate of std hours per week (I would use the 6.36 hours per week st this point. You might need to amend this during the year if it increases or decreases significantly. I would suggest that Business payroll might not be the best system to use. There are other systems that will calculate based on 8% of hours worked rather than std hours per week.

     

  • jenniek's avatar
    jenniek
    Ultimate Partner
    2 months ago

    Hi Kh200014 

    What was your old payroll system? was a conversion done to MYOB Business Payroll? Because your staff don't have std contracted hours per week, you will need to keep a separate spreadsheet to be able to manually calculate hours per day owing when they do take leave. You will need to convert their hours owed based on an average of what they have worked per week over the last 12 months to get weeks owed. 

    • Kh200014's avatar
      Kh200014
      Contributing User
      31 days ago

      Hi, Thanks for the reply.

      Our old payroll system was Aurion, and their leave was calculated in Hours, not Weeks. 

       

      Would the following example calculation be correct:

      Annual Leave Hours from old payroll = 42.92 hours

      Previous 12 months total hours worked = 330.58 hours

      Previous 12 months average weekly hours = 6.36 hours (330.58 / 52)

      So, Annual Leave Weeks carried into MYOB = 6.75 weeks (42.92 / 6.36)

       

  • jenniek's avatar
    jenniek
    Ultimate Partner
    31 days ago

    Hi Kh200014 

    Yes - that looks correct to me. The leglislation says 4 weeks leave, so looking at the example - that employee has worked an average of 6.36 hours per week- so based on 42.92 hours owed, then this equates to 6.75 weeks. Make sure you only calculate hours to the last entitlement/anniversary date and don't include accrued hours (not due yet) as the system will work out the 8% and estimate hours owed for this as well. You will need to put in an estimate of std hours per week (I would use the 6.36 hours per week st this point. You might need to amend this during the year if it increases or decreases significantly. I would suggest that Business payroll might not be the best system to use. There are other systems that will calculate based on 8% of hours worked rather than std hours per week.

     

    • Kh200014's avatar
      Kh200014
      Contributing User
      29 days ago

      Hi, which system would you recommend for us that makes calculating Annual Leave easier?

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