Flex time (TOIL) and annual leave accrual

Question

I am trying to set up Flex Time wages categories for use by our employees, using timesheets. I have set up Flex Time - Earned and Flex Time - Taken as Wages categories to capture the hours. I have set up a corresponding Flex - Accrual entitlement category (equal to Flex Time - Earned). When I test the set up and process an employee earning flex time, all is okay (super is calculated correctly and annual leave/personal leave accrual is correct). However when I test an employee TAKING flex time, the annual leave entitlement is calculated incorrectly (based only on ordinary hours and excluding Flex Time - Taken). Screenshots in file attached. Any advice on what I have missed please?

doreen_p · Answer

Hi, TAGCRU
&nbsp;
Thanks for your post, and welcome to the MYOB Community Forum.
&nbsp;
If the leave accrual is calculated more or less, you may need to check whether it is exempt from flex time. To check it, go to Payroll &gt; Payroll Categories &gt; Entitlements tab, and then select the accrual name. Open it by clicking the blue zoom arrow and then click on Exempt. If the flex time is ticked, it will be excluded from the calculation of leave. If not, then it is included when calculating leave.
&nbsp;
Please let us know if you require any further assistance with this.
&nbsp;
Best regards,
Doreen

tagcru · Answer

Thanks Doreen.&nbsp;I have excluded Flex Time - Earned from Annual Leave accrual (and this accrual is correct when an employee is earning flex time) but Flex Time - Taken is NOT EXEMPT which I take to mean that when an Employee has this wage category in their timesheet, the annual leave accrual should INCLUDE these hours.&nbsp; However this is where the error is occurring and the annual leave accrual is too low for the time period.&nbsp;Any other ideas please?&nbsp;Trudy

doreen_p · Answer

Hi, TAGCRU
&nbsp;
Thanks for your prompt response.
&nbsp;
Leave taken will be calculated on a base-hourly basis only. However, if you wish to calculate it differently, you will then need to change the setup of the flex time wage category (fixed hourly rate of) and then enter the amount per hour that you want to include in the calculation. You could also send a screenshot of how you set up the flextime wage category. Please make sure to remove sensitive information before posting in the Forum.
&nbsp;
Best regards,
Doreen

tagcru · Answer

Hi Doreen,&nbsp;Here's what I've set up - am just using the Clearwater company sample file while I test this issue thoroughly so no sensitive information:)&nbsp;If I understand your response correctly, you're saying I should use a fixed accrual rate for holiday pay so that the flex time earned or taken does not impact it?&nbsp; I would prefer to avoid this if possible as we have a lot of part time employees on varying standard hours, and these hours can and do change relatively frequently.&nbsp;Thanks again for your continuing help - am determined to get to the bottom of it!&nbsp;

doreen_p · Answer

Hi, TAGCRU
&nbsp;
Thanks for sending the requested screenshots.
&nbsp;
As per checking the screenshots, the only reason why leave accrual is accruing less than what it is supposed to be is because a wage-pay item is exempted from accruing leave. Kindly send us a screenshot of the exempt window of the leave accrual.
&nbsp;
We're looking forward to your response.
&nbsp;
Best regards,
Doreen

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Flex time (TOIL) and annual leave accrual

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