Manage Leave Liabilities 

Why Manage Leave Liabilities? 

Managing leave liabilities helps your business track the value of leave owed to employees, avoid unexpected payout costs, and stay compliant with Fair Work regulations. It also protects employee entitlements and provides a clear view of your company’s financial position.

Before you begin 

You’ll need: 

• Access to your Wiise Payroll 

• Wiise Payroll enabled in your current Wiise company 

• Chart of accounts is configured for leave liability accounts as general ledger expenses 

• Review the Wiise Academy course: Payroll in Wiise for setup guidance 

How to Manage Leave Liabilities? 

You'll need to process payroll leave liabilities in the correct order: 

1. Finalise pay runs in this order:
   1. Weekly 
   2. Fortnightly 
   3. Monthly 
2. Import each pay run separately: 
   1. Finalise the pay run in Wiise Payroll.  
   2. In Wiise ERP, import the payroll journals.  
   3. Review the imported entries to ensure accuracy.
   4. Post the payroll journal before importing the next pay run.  
      
      Caution: When you finalise and import your monthly pay run before your weekly or fortnightly runs, the system may combine all liabilities into a single batch. This can lead to mismatched figures on the Wiise Payroll Leave Liabilities page in Wiise ERP.  
3. Review Wiise Payroll Leave Liabilities page.  
   1. Search for Wiise Payroll Leave Liabilities on the top right-hand corner of the page. Select the related link and the page displays.  
      
      Note: Use the Wiise Payroll Leave Liabilities page to confirm when liabilities were last updated and reconcile values against your general ledger.  
   2. Here’s how to understand the leave liabilities list: 
      1. Id: Unique record for each leave liability entry.  
      2. As At Date: The date the leave liability is calculated in Wiise Payroll. This is usually the end date of the pay run period.  
      3. Document No.: The journal or document number linked to the imported payroll transaction in Wiise ERP. You can track the liability back to the corresponding payroll journal entry. 
      4. Employee No: The employee’s unique ID as defined in Wiise Payroll. The leave record is tied to the correct employee both in Wiise ERP and Wiise Payroll. 
      5. Leave Category Name: These categories come directly from Wiise Payroll. 
      6. Leave Value: The total dollar amount of the employee’s acrrued leave liability on the specific date. This reflects what the business owes the employee for unused leave.  
      7. Leave Loading Dollar Value: The dollar amount of any leave loading associated with the accrued leave by the employee. If your employees aren’t entitled to leave loading, this field stays at zero value.  
      8. Posted Date/Time: The date and time when the leave liability entry was posted or synced from Wiise Payroll into Wiise ERP. This confirms when the data was last updated. 
      9. Adjustment Amount: Shows any adjustments made to the leave liability after the original import. This could be corrections following a re-finalised pay run. A zero value indicates no adjustments.  
         
         Note: When there are unexpected adjustments, check the corresponding pay run in Wiise Payroll to confirm if the pay run was re-finalised or corrected.  
         
         Note: Use the Wiise Payroll Leave Liabilities page to reconcile with the general ledger accounts. You can compare the total Leave Values with your Leave Liability GL Accounts in the chart of accounts.  
4. You now know how to manage leave liabilities.  

What’s next? 

Find out how to set up pay schedules. 

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