Manage leave categories

Why do you manage leave categories? 

Managing leave categories ensures accurate tracking of employee leave entitlements and compliance with legal requirements. It also helps streamline payroll processes, making it easier to calculate leave accruals, payouts, and maintain clear records for both employees and employers. 

How to manage leave categories? 

1. Select Payroll Settings on your Wiise Payroll dashboard. Then in the Pay Run Settings section, select Leave Categories. The Leave Categories page displays. 
   
   Note: Use the leave allowance templates to change settings for multiple employees.
   Note: Changes to leave settings only apply to new employees.  
2. Select +Add to add a new leave category. Fill in the following details:  
   
   1. Name: This is a required field.  
   2. External ID: For use with external systems. 
   3. Leave Loading: This is a percentage. 
   4. Leave category type: Select an option from the drop-down menu. This can be standard, long service leave, personal/carer’s leave, paid family and domestic violence leave or leave without pay.  
      
   5. Leave Balance Tracking: Select an option to track or not to track. 
   6. Automatically accrues checkbox: Select this option if you want the leave to accrue automatically. You can then decide if it will accrue continuously or based on a specific leave year. The leave year can start from the employee's hire date or another set date, which you can update in the employee's "Leave Allowances" page. 
      
   7. Exclude from termination payout checkbox: Select this option if you don't want any unused leave in this category to be paid out when the employee leaves. 
   8. Standard allowance: Input the number of weeks, days per year, hours per hour worked, or hours per pay run the employee should accrue. You can also use the calculator icon to help ensure the correct amount is calculated. 
      
   9. Accruals for this leave category are: This is leave accrual capping. This setting lets you select whether to limit the number of accrued hours. If you want to set a cap, select limited to from the dropdown and enter the maximum hours allowed. 
   10. Payment Setup: This setting decides if the employee is paid for the leave taken and which pay category is used. The default is Basic, but now leave is reported under Annual Leave Taken. You can change this if needed. 
       1. Basic: If an employee doesn't use timesheets, their leave balance will decrease, but their earnings won't be affected. If they use timesheets, an earnings line will be added, and their leave balance will decrease. You can check or set this in the employee's Pay Run Defaults page, where the timesheet option is at the top. 
       2. Don’t pay for the leave taken: If the employee doesn't use timesheets, a negative earnings line will be added to reduce their pay. If they use timesheets, two earnings lines, one positive and one negative will cancel each other out. 
       3. Report leave earnings under a different pay category: Select this option if you want to track leave payments in a separate pay category for reporting. You can opt to use the pay rate from the employee's primary pay category. 
       4. Custom: For advanced users, this option allows transferring hours between different pay categories when leave is taken. 
3. Select Save.  
4. You now know how to manage leave categories in Wiise Payroll.  

What’s next? 

Find out how to create timesheets.  

If you have any questions, please reach out to support@wiise.com