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How does annual leave affect payroll?

How paid and unpaid leave impacts your payroll reports

Sophie Wilson avatar
Written by Sophie Wilson
Updated over 3 weeks ago

If you use Time and Attendance in RotaCloud, as you add leave to the system, this will feed through into timesheets and, ultimately, payroll reports.

Setting up leave pay

If you'd would like to pay staff a custom amount for their different leave types, you can set this up in their profile. To do this, go to Company and then Employees, and select the employee you'd like to amend. In their profile, in the menu on the left, select 'Wage and Salary and scroll down near the bottom of the page. Here, you can add in any custom amounts of pay for each different leave type, and click 'Save'.

Paid leave on payroll

  • Hourly paid staff - if staff are paid hourly, any paid leave they have will be paid either at their default pay rate, or at the leave pay rate entered on their profile (see section above).

  • Salaried staff - if staff are salaried, they will be paid one standard amount and paid leave will not add additional pay onto their wages.

You will see how many paid leave hours each user has on your payroll reports.

Unpaid leave on payroll

  • Hourly paid staff - if staff are paid hourly, unpaid leave will simply not have any wages assigned to it.

  • Salaried staff - if staff are salaried, unpaid leave will be deducted from their regular wages. The amount deducted is calculated as follows:

(regular wage / days in period) X number of unpaid leave days

You will see how many paid leave hours each user has on your payroll reports.

For information on how to run your payroll reports, click here.

For information on how holiday accrual is calculated when finalising payroll, click here.

For information on assigning hours to leave, click here.

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