Payroll annual leave balance incorrect

[RUNCO]

Hi I have an employee who has an entitlement of 4 weeks annual leave a year ( 160 hours total). 

His 1 year anniversaire was on 4 Oct however he took 2 weeks annual leave (80 hours) before his 1year date plus received 3 days (64 hours)  Covid WFF support leave/ payment.  His annual leave balance should is showing as  72hours ( on his 1 year anniversaire date). My question is as he took 2 weeks annual leave during the year before his due date does this time count as accured annual leave? Does annual leave acrue annual leave? Shouldnt the AL balance be 56 hours? Am I correct in my calacualtion and if not how to correct the balance? Im in NZ, Thank you.

[SamaraM]

Hi @RUNCO 

Sorry to see that no one has replied to you yet. Any accrued leave an employee has is not available leave to be taken until the anniversary date. When annual leave is taken in advance it'll be taken off their available balance.

More details on how this works can be found here on the Employment New Zealand website: Taking annual holidays » Employment New Zealand.

If you are still unsure, I also recommend checking with an accountant or Employment New Zealand to ensure the leave is recorded and paid correctly.

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