How do I set up Leave Loading in my Cashbook payroll?
Full-time and part-time permanent workers are entitled to a minimum of 4 weeks of paid annual leave for every 12 months of continuous service, based on their ordinary hours of work. Shift workers are entitled to 5 weeks of paid annual leave.
To set up Annual Leave Loading
Step 1 - Add a New Pay Rate item:
Step 2 - Entering a pay for leave in advance with annual leave loading:
Example: Employee, John Brown, who is paid fortnightly, earns $1,000 a week ($2,000 a fortnight - 80 hours @ $25/hour) and is taking 4 weeks annual leave. He will receive a leave payment of $4000 for four weeks leave. The annual leave attracts leave loading at the rate of 17.5% per pay, which increases the total leave payment by $700 to $4,700.
Add the pay: