How do I calculate leave time? (2025.02)
This is part of the payroll process for each pay period.
Leave time, also known as leave hours, includes sick pay and vacation pay for employees that are eligible for leave hours. Use Calculate Leave Time to process leave hours for employees. You can also use the leave time report to review the calculated leave hours, and then if needed, use Enter Leave Time Adjustments to enter corrections to leave time entries.
Here's why it's important to calculate leave time:
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Accurate employee compensation for paid time off (PTO), vacation, sick leave, and other types of leave to ensure the employee receives the correct pay.
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Compliance with labor laws. Including legal requirements for tracking and compensating leave, such as Family and Medical Leave Act (FMLA) or paid sick leave mandates.
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Payroll deductions for unpaid leave or leave beyond an employee's entitlement may require payroll adjustments, reducing the employee's wage accordingly.
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Benefits and accrual tracking. Many organizations provide leave based on accrual rates, and payroll ensures employees are credited the correct amount of leave time.
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Financial and budgeting purposes. Tracking leave balances helps employers manage workforce costs, project staffing needs, and maintain financial accuracy.
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Recordkeeping and audits. Proper documentation of leave calculations is essential for internal audits, employee disputes, and compliance with company policies.
This view is updated in the 2025.02 release.
Calculating leave time
1. Open Connect Payroll > Employees > Calculate Leave Time.
2. Set up the selection criteria.
Leave the selection criteria set to All to include all employees who have the selected pay codes and leave rates. If you need to calculate leave time for an employee, replace ALL with the employee number.
3. Select the leave pay codes.
If you're not sure, select all of the pay codes. Only the pay codes with leave rates with a carryover hour adjustment in the current period will be adjusted when you run this routine.
4. Select the leave rates.
The list shows the leave rates for the pay code that was selected in the previous step.
5. To calculate leave time, change the Print option to Report or No Report.
Choosing Report or No Report will calculate leave time and save the leave time transactions. Choosing Report Only will print a report showing the leave time that will be calculated, but the leave time transactions are not saved.
6. Click GO (CTRL+G).
Copyright © 2025 Caselle, Incorporated. All rights reserved.
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