Set Up Vacation Allowances

Sparkrock 365 provides the capability to set up employee vacation allowances with rates that increase automatically based on the employee's years of service. For example, when an employee is hired, their vacation pay rate is 4%. After the employee reaches 5 years of service, their vacation pay rate increases automatically to 6%.

Note

Note:
This functionality only applies to HR requests that have access to the Assignment Allowances FastTab.

The set up process includes the following steps:

1. Set up allowance codes.

2. Set up HR position allowances.

3. Set up HR request assignment allowances.

Earnings paid in lieu of vacation

Based on the local regulations where your organization operates, you may be required to pay casual hourly workers that don't get paid for time off an additional amount in lieu of not getting paid time off. Also, the amount that you are required to pay may differ depending on the employee's years of service. For example, when the employee starts, the employee is paid an additional 4% of earnings. If the employee's years of service is greater than 5 years, the employee is paid an additional 6% of earnings.

To support these organizations, Sparkrock 365 provides the capability to choose whether the Default Calculation Type is a Flat Amount or a Percent of Earnings. Also, you can specify a value for Default Priority that determines the order the allowance is added to the compensation journal. Sparkrock 365 processes records based on the order, for example, 0, 1, 2, and so on. This feature is useful when percent based allowances are present and you want to control whether a flat amount based allowance is subject to a percent allowance. The Default Priority can be set to have a value of 99 to force the percent of allowance to be computed last. This setup, provides the capability to control which allowances are in or out of scope for the percent of earnings calculation.

Note

Note:
When loading lines to the compensation journal, Sparkrock 365 processes allowances last so that all earnings are loaded before the allowances are processed.

Set up allowance codes

Set up allowance codes to represent the different vacation allowances.

The following table includes a sample of an allowance code setup.

Code	Description	Default Calculation Type	Default Percent	Vacation	Vacation Start Date Calculation
VACEP4	Vacation Each Pay 4%	Percent of Earnings	4.00	Selected
VACEP6	Vacation Each Pay 6%	Percent of Earnings	6.00	Selected	5Y

To set up an allowance code

1. Choose , enter allowances, and then choose the related link.

   The Allowances page opens.

2. On the action bar, choose New.

   A new row appears.

3. In Code, specify a code to represent the vacation allowance.

4. In Description, specify a description of the vacation allowance.

5. In Default Calculation Type, specify a value.

6. In Default Percent, specify the vacation pay rate.

7. Select the Vacation checkbox.

8. In Vacation Start Date Calculation, specify the calculation formula that represents the start date for vacation allowances on HR requests.

9. As required, specify values for other fields.

Set up HR position allowances

After you set up allowance codes for the different vacation allowances, the codes must be assigned to the HR positions. Allowance codes can be assigned to HR positions manually or with the Assign to HR Positions action.

The following table includes a sample of an HR position allowances setup.

Allowance Code	Allowance Description	Default on HR Requests
VACEP4	Vacation Each Pay 4%	Selected
VACEP6	Vacation Each Pay 6%	Selected

To assign an HR position allowance manually

1. Choose , enter hr positions, and then choose the related link.

   The HR Positions page opens.

2. Select the HR position for which you want to set up an HR position allowance, and then on the action bar, choose Related > Payroll > Allowances.

   The HR Position Allowances page opens.

3. On the action bar, choose New.

   A new row appears.

4. In Allowance Code, specify the code that represents the vacation allowance that you want to set up.

5. Select the Default on HR Requests checkbox.

6. As required, specify values for other fields.

To assign an HR position allowance with the Assign to HR Positions action

1. Choose , enter allowances, and then choose the related link.

   The Allowances page opens.

2. Select the allowance that you want to assign to an HR position, and then on the action bar, choose Assign to HR Positions.

   The Assign Allowance to HR Positions page opens.

3. Specify values for fields as required.

4. Choose OK.

Set up HR request assignment allowances

After you set up hr position allowances, set up HR request assignment allowances.

The following table includes a sample of an HR request assignment allowances setup.

Allowance Code	Start Date	Description	End Date	Pay Frequency	Calculation Type	Percent
VACEP4	06/30/2020	Vacation Each pay 4%	06/29/2025	Each Pay	Percent of Earnings	4
VACEP6	06/30/2025	Vacation Each pay 6%		Each Pay	Percent of Earnings	6

To set up an HR request assignment allowance

1. Choose , enter hr requests, and then choose the related link.

   The HR Requests page opens.

2. Select the HR request for which you want to set up an assignment allowance, and then on the action bar, choose Home > Details.

3. On the Assignment Allowances FastTab, in Allowance Code, specify the code that represents the vacation allowance that you want to set up.

See also

Set Up HR Management

Feedback

To send feedback about this page, select the following link:

feedback-product-docs@sparkrock.com