How do I Pay out Annual Leave in MYOB Payroll?
When employees take Annual Leave you should always pay it out using the Annual Holiday (ANHL) pay code.
This should be done even if an employee has not become entitled to Annual Leave as yet.
The payroll will record the Annual Leave taken as Annual Leave taken in advance.
Note: Any ‘Annual Leave taken in advance’ will be deducted when the employee’s anniversary is rolled or a final pay is prepared. It is important an employees leave remains in positive territory. If they resign then you cannot force them to repay leave in advance unless they have signed to agree or it is in their employment contract.
The Holiday Pay (HP) code is only used to record the accruing balance of Holiday Pay.
Holiday Pay should only be paid out in the following situations:
1. To a ‘Casual’ employee.
(This may be paid out ‘as they go’, however this would need to be clearly stated in the employee’s Individual Employment Agreement.)
2. When a ‘Final Pay’ is prepared.
(MYOB Payroll will calculate any Holiday Pay and Annual Leave owing to an employee when a ‘Final Pay’ is prepared).