This manual shows the basic settings to check in the ERP system to make sure vacation days and pay are calculated correctly.
To check the settings:
1.1 Accruals and Deductions settings-
...
Here, select the Work Time Type (MV for Annual Leave), set up the WPS file, and review the End of Service Benefits and Basic Accruals options.
1.2 Vacation Types settings-
(HR and Payroll section - See Also - Vacation Types), In this form, you need to check the following details:
...
If in Set Annual Vacation duration setting selected As Fixed Duration - it is necessary to fill Days per Year amount.
What should you verify if the system isn't automatically calculating the vacation amount?
For example, if the Accumulated Vacation Pay amount for an employee is missing in the Balances of Accumulated Vacation Pay report, as shown in the image below:
...
2. Check the reason for missing vacation values:
The vacation days available for all employees are
...
calculated by the Month Closing document (Calculation of Accumulated Vacation Pay documents). This document
...
determines the days earned in the current month (Currently Earned Days column), the total available days (Available Days column), and the Accumulated Vacation Pay each month
...
based on the vacation type
...
and the employee’s work period as
...
specified in the Employment Contract
...
.
Verify system settings and data entries if this vacation amount is not automatically calculated with month-end closing.
For example, if the Accumulated Vacation Pay amount for an employee is missing in the Balances of Accumulated Vacation Pay report, as shown in the image below:
- In the Calculation of Accumulated Vacation Pay documents,
...
- review the "Accumulate Vacation Pay
...
- " attribute for each employee. This attribute is automatically selected if it is marked in the Employment
...
- Contract document
...
- .
- The calculation of Vacation Pay is also linked to the employee's length of service.
In the Vacation Type settings, the Employment Length in months should be specified. This means that the system will not calculate any amounts for the employee during the first five months of their employment. The first calculation will be included in the Month-End Closing document for the 6th month of employment.
- Basis for Calculation:
...
Check this directly in the Vacation Document under the Basis Accruals tab. The accruals listed here should match those specified in the Employment Contract. Only with this alignment can the system accurately calculate the vacation pay amount.
- Additionally, keep in mind the following payroll logic: If an employee is terminated and then rehired, it’s crucial for accurate calculations—including correct accruals and vacation days—to handle their records properly.
...