Tracking Manual Vacation / Setting up a Vacation Bank

Setting up a manual vacation bank

If you provide your staff a fixed amount of vacation per year (i.e. you do not use percentages to calculate vacation), you can setup a manual vacation bank and have the service drawdown the amounts as your staff uses vacation. For example, you can setup a fixed vacation amount ($2000) per employee and have your employee use a portion of this banked amount when they take vacation.

Here's how to setup the manual vacation bank:

  1. Login to your account and go to settings settings-icon-gear.PNG  -> Pay Rules. Click on the Vacation Rule tab.
  2. Add a new rule by clicking the 'Add' button. Give the new rule a unique name (something like 'Vacation Bank' will be memorable). Set the Vacation percentage to zero (0) and make sure the 'Accrue, Taxable on Release' option is enabled.
    manual-vacation-1.png
  3. Now, go to EMPLOYEES and edit the employee you wish to provide the manual vacation to. On the Payroll Details and Rules tab, set the automatic vacation option to the new rule you just created.
    manual-vacation-2.png
  4. Enter the amount of vacation you wish to provide the employee (dollar amount) in the 'Vacation Pay Owing' section
    manual-vacation-3.png
  5. Save the profile. Now when you perform a payrun, you can pay out vacation for the employee by using the 'add other' option:
    manual-vacation-4.png

 

Notes:

- you will have to manually adjust the vacation balance each year for each employee using this method to match your own internal company policy.

  • please check the local employment standards of your province / territory to ensure you are providing at least the minimum vacation amounts required by law

  • The vacation bank can be 'overdrawn' and a negative balance will be shown. This can be useful if you have an employee take more vacation than you've allotted.

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