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The fact that this very basic report is not available in AU and automated journalling when you have the payroll module is mind blowing. Agreed this isn't a nice to have this is a need to have. If I had been away of this prior to selecting Xero as our GL and Payroll system it could have quite easily changed my decision. This needs to be implemented ASAP.

https://www.change.org/p/petition-for-xero-to-stop-making-changes

Please sign and share this petition.

This is a must in basic payroll management! I find it outrageous that this report is available to other countries but not Australia and more so that the support provides an article yet nowhere does it say "not for Xero AU". https://central.xero.com/s/article/Employee-Leave-Liability-report

Cannot believe that this feature doesn’t exist in Xero. In our industry, it is a regulatory requirement for us to provide a blance sheet inclusive of leave liabilities. This needs to be addressed ASAP

Being a liability, unsure why it is not accounted for in the Balance Sheet every time payroll is completed? Like Superannuation.

It is essential to be able to forecast leave for staff without having to revert to an excel spreadsheet, and for future balance sheet forecasting.

This is an essential requirement for any business with permanent employees. The liability and corresponding expenses should be processed with the payroll journals every payroll processing period.

I am concerned about how these accrued leaves are reflected in the company's financial statements as a liability. When we calculate payroll in Xero, it does not automatically record this liability, even though these are expenses related to holiday that have not yet been pay. From a financial perspective, omitting this amount from the balance sheet seems incorrect. Can you explain why Xero does not update the liability records for leave accrual each time payroll is processed, given its significance in accurately representing the company's financial obligations? how should work:

1. The annual leave should be calculate as superannuation Xero process > the Leave expense account should an expenses "Annul leave accrual" and Annual leave liability account CXP should be Annual leave payable. in Payroll Settings. the calculation should be continue base on units, normal Entitlements 150, however when you include annual leave taken during the period when you make the payment the calculation should create a debit to the Annual leave payable account and credit to the 804 account: Wages Payable - Payroll

The small business owner I started working with had no idea of the extent of the leave liability the business had. It showed "false" annual profit for years as leave liability wasn't adjusted when earned.

How this isn't a feature in a piece of accounting software is absolutely insane.

I would like to see a function that enables Xero to automatically create a leave provision/leave liability

I would like to have a column added to the 'Employee Summary' or 'Timesheet Details' Report to assist with Long Service Leave calculations. A column showing days worked (rather than hours) as that's how LSL is calculated.

Or better yet a Report that is specifically for Long Service Leave. Something that can be set up in the company settings so the settings don't need to be done every return. For example a is day counted if worked for 4 or more hours. Gross earnings, including Sick Leave and Annual Leave (except not annual leave loading) and basic allowances.

I'm staggered that the report is available for NZ but not Aus. This is a fundamental report for managing leave costs. C'mon Xero. So many reports needed and you're stuffing around trying to make the product "pretty".
I think you've forgotten your foundation customers.

Long service leave - coded as Long service leave expense instead of Ordinary Earnings