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Hi

I am having difficulty making a termination payment to an employee on an annual salary paid monthly, who is finishing part way through the month and who has accrued leave to be paid out.

The first issue is what is the correct way to calculate the salary owing.  I can think of a couple of ways.  One would be days worked in the month divided by total working days in the month times annual salary divided by 12.  An alternative would be days worked from start of year to finish date divided by 260 (= number of working days in the year) times annual salary less salary already paid year to date.

The other issue is the payment of accrued leave.  I only seem to be able to pay annual leave as it is taken with the salary paid reduced accordingly (even when I unlock net pay).

Regards
Julian

Hi there - did you find a solution to this as I am having a similar (annoying) problem?

Hi CyberMum

No, I haven't had a reply.

Cheers

Thanks for responding. I eventually got around it by changing the annual salary to the amount needed to finalise a complete payout of outstanding leave. I thought this would be better than making journal entries as I wasn't sure of the effect at end of year.

Not sure if that makes sense or helps your situation. Let me know if you want more information.

Kind regards
CyberMum