acrued leave

Marloes1306
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acrued leave

One of my employees is away and has used up her annual leave hours and is now using her acrued hours, however according to the system the hourly rate for her acrued hours is less then her annual leave. When i enter her anual leave it still comes up with the higher amount (since she worked more than her usual hours). Will i be paying her too much or will it come off her total entitlement anyway?

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Komal_S
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Re: acrued leave

Hi @Marloes1306 


So we can investigate this further, can you please confirm if you're using MYOB Essentials or MYOB Payroll Software-NZ? Also, could you attach a screenshot of where you have set up the hourly rate for accrued hours? Generally, if the leave is being paid in advance, the hours paid in advance would come off the annual entitlement as at their anniversary, however, determining if you have paid too much, the rate at which annual leave is paid is always based on their gross earnings and is the higher of the AWE/OWP.

 

That said, once we have further details from you, we would be able to advise accordingly. 

Kind regards,
Komal

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Marloes1306
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Re: acrued leave

Hi

 

I'm using the MYOB Payroll Software

 

See screenshots

 

 

 

 

MYOB Holiday acrued.png
MYOB Holiday acrued1.png
Steven_M
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Re: acrued leave

Hi @Marloes1306 

 

Annual leave in New Zealand is paid out based on the average weekly earnings or ordinary weekly pay of the employee and will be using the higher value of those. As such, if the employee has worked more hours than their normal hours or has been paid at a higher rate then the average weekly earnings will be used. For more information on what the leave should be paid out we do recommend contacting Employment NZ. Although, Calculating payments for holidays and leave on the Employment NZ website is a good place to start.

 

Should be pointed out if the employee has no Current Annual Leave due it will go into a negative situation, which will affect next year's annual leave entitlements that will roll through. For example, if the employee's Annual leave entitlement is 160 and they have a negative Current Annual Leave due of 40, the Current Annual leave due would be 120 (160 + - 40) once that annual leave entitlement anniversary is rolled.

Kind regards,
Steven

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