AU Payroll - Fixed amount leave requests for employs on an accrued leave balance
Currently, for monthly employees, Xero does not take into consideration the fact that they have been set up to be paid the same amount each month, therefore the days in the month are meaningless from a pay perspective. Unfortunately, this means that the basis leave accrues on to work out how many hours a public holiday/personal/annual leave day should be when leave is entered is also meaningless. Instead of defaulting to 7.6 (or 8) hours/day leave taken, it does a calculation based on the number of working days in a month. So if someone is being paid on the basis of a 7.6 hour day & leave is also accruing on that basis, but they then take leave in a month that has 22 days, the default for the day's leave will be 7.27 hours.
Obviously, this can be overridden, but when someone doesn't know that this needs to be done, the leave taken is nonsense.
There should be an option to set how many hours/day an employee works so that the calculation defaults to this each time.
Sue Keen
shared this idea
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Janine Dawes
commented
Yes agree, it's meaningless and causes extra work for payroll.
Employees don't know or understand this methodology. They just apply for leave based on the dates, and get confused why the hours are higher or lower than expected. -
Manoj S
commented
Yes, agree here. Suggesting to consider a standard month days to derive the per day leave hours as 7.6 hours, instead of taking monthly business days which will be varying month on month.
Overwriting facility is good but there are chances for the employees to miss it and maynot be practical every time. -
Hannah Fong
commented
Yes. This needs to be looked at improved to cause confusion to staff members who are concerned that their per-day leave hour is not correct. They expect to see 7.6 hour each time they apply for one day leave. They are concerned that higher than 7.6 hour per day is deducted, hence, adversely impacted on their final AL payout balance.
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Annette Croot
commented
I run a payroll in New Zealand on Xero and it just defaults to the set daily work hours, so I was surprised to see in the Aus Xero that it was breaking it down this way. It doesn't really make sense to divide it and change it each month its not in line which the accrual or how the daily hours are managed.
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Jenny Dinh
commented
Agreed, this is a time consuming process when there is a batch request during December Xmas period and any manual adjustments could be prone to human error.
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Justina Strimaityte
commented
Absolutely. As an admin, I need to always correct my employee's applications, and especially during the annual shutdown period it creates a lot of additional work, that is automated by other platforms.
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Sarah James
commented
I agree. Where employees are salaried and paid for the same number of hours each month, we should be able to set their leave rate to match their hours, i.e. employee is paid for 7.6 hours per day so one day of leave should be 7.6 hours. If an employee is part time 5 hours a day, we should be able to set their daily leave rate at 5 hours a day. Payroll admins have to waste time checking and updating leave to the correct amounts