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COVID-19 how do you record annual leave LOADING at half the rate?

Contributing User
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Contributing User
Contributing User




COVID-19 how do you record annual leave LOADING at half the rate?

An employee has requested to take annual leave at half pay during COVID-19
I have set up a new wage category labeled "Annual Leave at Half Pay" and assigned half of their normal rate.
Do I have to do something similar for the Annual Leave Loading? As I see it can't be;

  • Regular rate multiplied by 0.175 As this category will link to their 'regular rate' and its linked to other employees.

So I have set up another category 'A/L Loading at half pay' and calculated the hourly rate as follows


a (normal rate) / 2 = b (new rate at half pay)
0.175% x b = c (additional loading amount)
b + c = new annual leave loading hourly rate

Can someone confirm this is correct?

Valued Cover User
82 Posts
Valued Cover User
Valued Cover User




Re: COVID-19 how do you record annual leave LOADING at half the rate?

Hi jacinta


I would be tempted to keep things simple and approach it in this way.


eg weekly hours are 35 hours.  Half pay = half hours


therefore I would pay 17.5 hours at the usual rate


the reason I suggest this is that there is a clear calculation of leave taken against the one payroll catergory.

it also ensures that no errors are made re super as it is not calculated on loading.


My understanding of al at half pay would mean you would have to reallocate annual leave accrued to another catergory so that you could reduce hours accrued by hours taken.. then reinstate the hours not taken back to full pay rate


Also how are you accruing hours for this period? At the full hourly or at the half?


food for thought





MYOB Moderator
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MYOB Moderator
MYOB Moderator




Re: COVID-19 how do you record annual leave LOADING at half the rate?

Hi @Jacinta1 


I just wanted to add to @LRBooks61 great advice on this and let you know that according to Fairwork annual leave at half pay means the employee gets 1 week of leave pay for 2 weeks taken, not 2 weeks pay at half the normal rate. You should also check your award to make sure that taking leave at half pay is allowed: Fairwork


The other thing I wanted to mention is super on leave loading. According to the ATO leave loading is included in Ordinary Time Earnings (OTE) unless it is clearly linked to lost overtime. As such, super generally does accrue on leave loading: ATO Superannuation on leave loading


Please let us know if you need further help.

Previously @bungy15

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