Annual Leave Cashed out exceding one week

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Contributing Cover User PJS
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Contributing Cover User
New Zealand
PJS
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Annual Leave Cashed out exceding one week

Hi

We are using MYOB Accountants Office Payroll for one of our clients.

Someone has taken their second week of cashed out annual leave for the year (which they are entitled to do).

The Payroll system wont let me enter this under the Annual Leave Payed Out code because the employee has already been paid out for 1 week (the normal maximum).  Is there a way to override the one week maximum?

I have been searching your help topics but havent been able to work it out.

Thank you

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MYOB Moderator Steven_M
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Steven_M
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Re: Annual Leave Cashed out exceding one week

Hi @PJS

 

New Zealand Payroll is designed to cash up to one-week annual leave per year.

 

In rare cases, you can have a situation where an employee can cash out more than one week's annual leave per year. I would strongly recommend speaking with Employment New Zealand to ensure that you meet those requirements. With this cases, you can update the normal hour per week for the employee (generally 7 days a week/ 11.45 hours per day) to be 80.01. This will allow you to process up to 2 weeks (1 normal week, 1 rare circumstance week) through the Annual Leave Cash out pay code. Do ensure that you change back the values after processing that pay.

 

Note: Cashing up more than one weeks leave is very rare and as mentioned I would seek the advice of the Employment New Zealand to ensure that you meet those requirements.

Kind regards,
Steven

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Contributing Cover User PJS
6 Posts
Contributing Cover User
New Zealand
PJS
Contributing Cover User

6Posts

1Kudos

0Solutions

Re: Annual Leave Cashed out exceding one week

Thank you

 

As per Employment NZ:

If their employment agreement provides annual holidays in addition to the minimum four weeks, it may also provide for the additional holidays to be cashed up, for example, if the employment agreement provides five weeks’ annual holidays per year and two weeks could be cashed up, this would be allowed. If the employment agreement provides five weeks per year and that all five weeks could be cashed up, then this would go against the Holidays Act 2003 and the employee would not be able to cash up more than two weeks’ annual holidays even with their employer’s agreement.

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