Please note:
Configuring leave salary policy is available only to Super Admins, Payroll table managers, Transaction processing
admins.
Before configuring a leave salary policy, the respective leave type has to be enabled for the policy.
Step 1: You can enable it by navigating to Settings > Leave > Leave policies > Edit the leave policy > Enable the toggle for "Leave salary settings"
Watch the demo:
Step 2: Once a leave policy has been activated with leave salary enabled, you can configure the associated leave salary policy from Payroll Settings in a new section titled Leave Salary Policy.
Settings → Payroll → Leave Salary Policy (New) → Create Leave Salary Policy.
Fill in the required details to define the policy so that the employees can request paid leave salary.
- Name of the policy- Pick the policy name to differentiate between your multiple leave policies.
- Add a description- Describe the policy details in short for a quick overview that will help employees understand the policy.
- For what type of leaves is this policy applicable?- All Paid Leave types will be shown here for which Leave Salary toggle is enabled. You can select the leave types you would like to include in this policy.
- Leave Salary- Define the formula on how you would like to calculate the selected leave types to be considered for leave salary. The components can be Basic salary or Basic salary + Allowance divided by Working days/calendar days or custom days. (insert image)
- Allowance- You can select the different types of allowances you want to include in the calculation for leave salary or encashment. Please note: This will be disabled if Leave salary is calculated only on Basic salary.
- Policy restrictions: Restrict during probation: If this toggle is on, this means that employees who are still on probation cannot apply for leave salary.
Note: Only the relevant user roles that have access to the payroll configuration
can access the leave salary policy configuration under payroll settings.
Step 3: Adding employees to a leave salary policy
You can select next to proceed with adding the eligible employees to this policy.
Please note: Even if a particular leave type is enabled for Leave salary all the employees within that policy
DO NOT automatically get included in the leave salary policy and will have to be manually added.
Same employees from one leave policy cannot be added in multiple leave salary policy.
For example, if Michael is added in Leave Policy A, they can be added in Leave Salary Policy A
but cannot be added again to Leave Salary Policy B which also consists of Leave Policy A
Watch the demo:
Step 4: You can review the details and save the policy.
Please note: The policy becomes active for the eligible employees from the date is it activated and
no past requests will be affected by the policy.
Done!
Great job, now you know how to configure leave salary policies.
Proceed to the next section to learn more 🤓