Long Service Leave & Base Salary Query

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Jazz79
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Long Service Leave & Base Salary Query

Hello,

 

Can someone please assist me in the correct way to process a mixed monthly pay run for a Salary based employee.

 

Pay Period: 01.09.20 to 30.09.20

Long Service Leave: 15 days @ 7.5hrs

Base Salary: 7 days worked @ 7.5hrs

 

If I was to process a pay run for the true days worked in that month & true long service leave days taken, the gross salary will be more than the employees usual monthly Base Salary.  Processing it this way then makes the employee receive more than their agreed annual salary.

 

Or am I to process the exact long service leave days taken only, and leave the Base Salary to the automatic adjustment MYOB has calculated?  The Base Salary is set up correctly to adjust if annual or personal leave is payable as well as long service leave. (The Long Service Leave Category is also set up with correct leave accruals and deducts correctly). 

 

I hope this makes sense..  Any assistance is greatly appreciated.

 

I have somewhat confused myself as I can see the logic in both ways.

 

Kind regards

 

Jazz

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Tracey_H
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Re: Long Service Leave & Base Salary Query

Hi @Jazz79 

 

Thanks for your post. If you have ticked the Automatically Adjust Base Hourly or Base Salary option for the Long Service Leave payroll category the base pay amounts will be adjusted for the amount of the leave paid. This means that the net pay will be the same as the usual monthly salary amount. 

 

When processing that pay you would simply need to enter the hours of Long Service Leave taken against that wage category. AccountRight will do the adjustment of the base wage amount.

 

Please let me know if you need further help.

 

If my response has answered your enquiry please click "Accept as Solution" to assist other users find this information.

Cheers,
Tracey
Previously @bungy15

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Jazz79
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Re: Long Service Leave & Base Salary Query

Hi Tracey,

 

Thanks for confirming the process, I will continue to process it this way going forward.

 

How I became confused was, if our employee was to take the entire month of July as LSL (for example), this would result in the LSL payable being higher than their normal monthly Base Salary (as this particular month has 23 business days in 2020).  So would you say, subject to when the LSL is being taken in the year, there may be times that the LSL amount payable for the month might actually be more than their normal Base Salary?  Then the higher amount will need to be paid.  

 

I really appeciate you responding to my first post, thank you.   

Tracey_H
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Re: Long Service Leave & Base Salary Query

Hi @Jazz79 

 

I would recommend checking with the Long Service Leave governing body in your state for specific information on paying employees LSL.

 

If you need further help processing this in your software please do let me know.

 

If my response has answered your enquiry please click "Accept as Solution" to assist other users find this information.

Cheers,
Tracey
Previously @bungy15

MYOB Community Support

Online Help| Forum Search| my.MYOB| Download Page

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Jazz79
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Re: Long Service Leave & Base Salary Query

Hi Tracey,

 

Ok, thanks.. I will check it out.

 

Kind regards

 

Jazz

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