Associating a Time-Off Type With a Payroll Item

Important:

This topic applies to you if you use SuitePeople U.S. Payroll in your NetSuite account.

You must associate time-off types with the payroll items that you created or updated. For more information, see Setting up Payroll Items to Work With Time-Off Management. Associating time-off types with payroll items ensures that:

NetSuite associates time entries with the correct payroll item. Time entries track time-off usage against each payroll item. Employees who track time can see their booked time off on their timesheet.
Accruals can be calculated based on hours worked. For more information about calculating accruals on an hourly basis, see Accruals Based on Fixed Amounts and Accruals Based on Hours Worked.

If you use Payroll for multiple subsidiaries in your NetSuite account, you must create separate time-off types for each subsidiary. You cannot use the same time-off type with multiple subsidiaries. Also, you must associate time-off types with payroll items that are associated with the same subsidiary.

For example, the subsidiaries Acme X and Acme Y both use Payroll. You set up a type called Vacation X for Acme X, and a type called Vacation Y for Acme Y. You also have a payroll item for Acme X called Vacation Pay X. You have another payroll item for Acme Y called Vacation Pay Y. To ensure that your time-off types work with payroll, you should associate the time-off type Vacation X with the payroll item Vacation Pay X. The time-off type Vacation Y should be associated with the payroll item Vacation Pay Y.

To create a time-off type that is associated with a payroll item:

Go to Setup > HR Information System > Time-Off Type > New.
In the Name field, enter a unique name for the type. The name specified here appears in time-off lists for time-off requests, time-off plans, and time-off changes.

As a best practice, if you use Payroll for multiple subsidiaries, you should include the subsidiary name in the time-off type name. For example, for a subsidiary called Acme X, you might want to name the time-off type Vacation X.
In the Display Name field, enter how you want the time-off type name to appear to employees. For example, you have different time-off types for different subsidiaries, departments, or locations. However, you want the type to appear the same to all employees.
To record usage without having an entitlement and accruing a positive balance, check the Track Only box.

Note:
When you change an existing time-off type to track-only, future accruals are not calculated. All balance entries prior to the change are saved and displayed in the time-off changes record. For more information, see Viewing an Employee’s Time-Off Balance.
Select a Payroll Item. This payroll item should be one that you created or updated in the step Setting up Payroll Items to Work With Time-Off Management.

If you use Payroll for multiple subsidiaries, make sure that you select a payroll item that applies to the subsidiary for this time-off type.

Important:
A time-off type can be associated with only one payroll item.
In the Minimum Increment and Increment Unit fields, specify the minimum increment of time-off required for this type. Time-off requests cannot be for less than this amount and must be multiples of this amount. Leave the field value at zero or blank to allow employees to enter any value.
From the color picker, select the color that you want to associate with this time-off type.
Click Save.

To create a time-off type that is associated with a payroll item:

Related Topics