Hi Adrian,
Thank you for your reply, though it does not help.
My question is why is the $11,245.29 balance there at all? The employee has been terminated, so shouldn't the Holiday pay due at any time after their termination date be zero?
Thank you.
Hi AliBright - yes, good question!
If the employee’s final pay was processed correctly and included their annual holidays owed and the 8% holiday-pay accrual, there should not be a further Holiday pay due amount outstanding after their termination date.
The $11,245.29 shown in the 31 August Leave Liability report is not an additional amount owed to the employee. It is the result of the report recalculating the Holiday pay due amount using the report’s 31 August “as at” date. The report’s calculation uses the relevant gross earnings and leave amounts for that calculation; it does not simply carry forward the $10,412.31 already paid in the final pay as a zero balance.
That is why the Annual holidays balance is now $0.00, while Holiday pay due still shows $11,245.29. The figure is a recalculated report value, not a remaining liability that should be paid again. The difference between the $10,412.31 paid in the final pay and the $11,245.29 shown in the report can’t be reconciled from the summary figures alone because it depends on the pay items and pay-period dates included in the calculation.
Regards,
Adrian
