Setting up an Accrual Based on a Fixed Amount per Period
Accruals based on a fixed amount are always set up in time-off rules.
When time-off types accrue by a fixed amount per period:
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Time off accrues after a fixed amount of time: weekly, biweekly, semi-monthly, monthly, or annually.
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You set an annual entitlement for the time-off type. For example, employees might be entitled to two personal days in a year.
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Accruals are calculated based on the annual entitlement divided by the number of accrual periods in a year.
For example, time off accrues semi-monthly (or 24 times a year). The annual entitlement is 15 days. Therefore, the accrual amount per period =15 ÷24.
For more information about how accruals are calculated, see Understanding How Accruals are Generated when Multiple Time Rules are in One Time-Off Plan
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Time off can accrue proactively (for the period employees are about to work) or retroactively (for the period they've already worked).
To set up an accrual based on a fixed amount:
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In the time-off rule, under Accrual Method, check the Automatically Accrue box.
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From the Accrues Based On list, select Fixed Amount Per Period.
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From the Accrual Type list, select whether time off accrues proactively or retroactively:
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If employees accrue time off for the period they're about to work, select Proactive. Then set the Minimum Tenure. If it's zero, in the Opening Balance for New Employees field, choose one of the following:
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Full Amount for Accrual Period -Employees get the full accrual amount on their start date or the first day they're eligible, based on the plan rules.
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Prorated Amount for Accrual Period -Employees get a prorated amount based on working days left in the period, applied on their start date or the first day they're eligible, based on the plan rules.
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Zero - Employees’ first accrual happens on the next regularly scheduled accrual date.
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If employees accrue time off for the period they've already worked, select Retroactive.
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In the Accrual Frequency field, choose when time off accrues.
If you select Biweekly or Weekly as the accrual frequency, set the day for the next accrual. This sets the calendar day when the accrual is applied.
Note:Annual and monthly accruals happen on the first day of the year or month for proactive, and the last day for retroactive. Semi-monthly accruals are on the 1st and 15th for proactive, and the 15th and last day for retroactive.
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In the Entitlement field, enter the number of days or hours that employees earn each year.
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In the Entitlement Unit field, choose whether the entitlement is in days or hours.
The Accrual Amount and Accrual Amount Unit fields show the accrual rate based on your selections.
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To enable an accrual limit, check the Set Accrual Limit box, and do the following:
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In the Accrual Limit field, enter the maximum number of days that employees can accrue. For example, if you enter 15 days, your employees stop accruing time when they reach this limit. Employees start accruing time again when they use some of their accrued time.
The Accrual Limit Unit field displays the accrual limit rate based on your selections.
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Click Save.
Continue to Setting up Balance and Carryover Limits in a Time-off Rule.