|  |
Annual Leave Changes 2007 - Ace Payroll
Legislation
Legislation covering the change from 3 to 4 weeks a year annual holidays is contained in Schedule 1 of the Holidays Act 2003
Frequently Asked Questions
|
|
What is Ace Payroll doing about the changeover to 4 weeks? Is there anything I need to do now, or is it going to happen automatically?  |
What is Ace Payroll doing about the changeover to 4 weeks? Is there anything I need to do now, or is it going to happen automatically? |
- There is nothing you need to do now.
- All changes required are automatically handled after installation of our 2007 upgrade.
- Do not change any of your leave settings now, for example, changing your staff from 3 to 4 weeks.
- Doing so is counter productive and makes the transition more manual and difficult.
| |
I have heard that I should be showing the 8% accruing for the 4 weeks now. Is this true? |
- You do not need to start showing the accrual now, but it is a good idea to be aware that your leave liability increases on the 1st of April 2007 because of the changes.
- Until 1st April 2007 Ace Payroll does not show the accrual for the extra week because should an employee leave prior to 1 April 2007, they are not entitled to the part of the extra week accrued.
- From 1 April 2007, all current employees are entitled to 4 weeks annual leave from their first anniversary date after 1 April 2007.
- Ace Payroll handles this automatically.
| | I want to account for the accrual that is happening now towards the 4 weeks annual leave. Is there a report or formula I can use? |
- If an employee leaves before 1 April 2007 there is no accrual.
- Accordingly, any report that purported to show an accrual is wrong.
- In terms of a formula, from 1 April 2007 every employee receives an extra weeks pay every year for doing no work. Accordingly, budget an extra 2% for wage costs.
|
| If someone leaves prior to 1 April 2007, do they receive the amount that had accrued towards their 4 weeks? |
- No. The changes only take effect from 1st April 2007.
- If an employee leaves before then, holiday pay calculation is unchanged.
| | What happens to people already on 4 weeks? Will Ace Payroll automatically change them to 5 weeks, or do I get a say in the matter? |
- This question is well answered by the Employment Relations Service. They say
|
|
| If I change my payroll to start accruing the extra week from the employees next anniversary date will this cause a problem? |
- Yes, it will cause a problem.
- Make no changes in Ace Payroll - the 2007 upgrade makes all changes required.
| | Why does an employee who reaches an anniversary before the 1st April only get 3 weeks, but an employee who reaches their anniversary just after 1st April get 4 weeks? This isn't fair. |
|
| We have an annual closedown at Christmas and all employees are on the same anniversary date which is a requirement of the Act. I assume the 4 weeks is retrospective to Christmas 2006? |
- No, the law is not retrospective.
- For the Christmas 2006 closedown, they get 3 weeks a year.
- The 4 weeks a year applies from the Christmas 2007 closedown onwards.
More on public holidays
|
Public Holiday Entitlements Ace Payroll receives many calls immediately after every public holiday, asking whether a particular employee is entitled to be paid for the public holiday more.. |
Public Holiday Taken Use this method for an employee who did not work on the public holiday, but would have worked had the day not been a public holiday more.. |
Public Holiday Worked Use this method for an employee who works at any time on a public holiday more.. |
| Public Holiday Calendar A facility in Ace Payroll to check when public holidays fall in this and future years more.. | Christmas and New Year 2016/2017 Working out public holiday entitlements during the 2016/2017 Christmas and New Year holiday period more.. |
|
Waitangi Day Waitangi Day commemorates the signing of a treaty at Waitangi on 6 February 1840 more.. |
|
Queen's Birthday The Queen's Birthday is always observed in New Zealand on the first Monday in June more.. |
|
Default Provincial Anniversary Day Select the provincial anniversary day observed by the majority of your employees to make it the default more.. | Payment For Sick Leave If Taken On A Public Holiday You are not required to pay your staff time and a half if they call in sick on a public holiday they would have otherwise worked more.. |
|
Ace Payroll FAQ Contents All the most common Ace Payroll questions grouped by categories in a short table of key words more.. | Ace Payroll Frequently Asked Questions All the most common questions we are asked at Ace Payroll listed in a question format and grouped by category more.. |
More on holiday pays
|
Cashing Up Holiday Pay From 1st April 2011 it is legal for an employee to cash up to one weeks annual leave each year more.. |
Understanding Termination Accruals Handling of accrued holiday pay upon termination can be confusing. Ace Payroll explains the concept of accruals and demonstrates how termination pay is calculated more.. | Holiday 52 Week History It is not absolutely necessary to enter a full 52 week earnings history for correct holiday pay calculation more.. |
| Holiday Pay - Daily Rates An explanation of the calculation of a daily rate for an employee taking holidays after a full years service more.. |
Employee Leave Profile The employee leave profile records which are the normal days worked by an employee more.. |
| Casual Holiday Each Pay This tutorial shows how to have Ace Payroll automatically pay a casual employee 8% holiday pay every time they are paid more.. |
Taxation of Holiday Pay This article shows how easy it is to tax holiday pay according to IRD requirements more.. |
Annual Compulsory Closedowns An annual compulsory closedown is where a business traditionally closes down for a number of weeks each year, usually over Christmas more.. |
| Changing Holiday From 8% Each Pay The procedure for changing a casual employee over to being a permanent employee in Ace Payroll for holiday pay purposes more.. |
Termination Holiday 8% Part Year Payment How to pay the 8% of part year gross for an employee who has been employed for more than a year, receives four weeks holidays a year, and is terminating their employment more.. |
| Holiday Pay Miscellaneous The reason why only full days holiday pay owing is shown on payslips rather than fractional days more.. |
|
Ace Payroll FAQ Contents All the most common Ace Payroll questions grouped by categories in a short table of key words more.. |
Ace Payroll Frequently Asked Questions All the most common questions we are asked at Ace Payroll listed in a question format and grouped by category more.. |
Other leave sections
| Public Holiday Entitlements Ace Payroll receives many calls immediately after every public holiday, asking whether a particular employee is entitled to be paid for the public holiday more.. |
Public Holiday Taken Use this method for an employee who did not work on the public holiday, but would have worked had the day not been a public holiday more.. |
Public Holiday Worked Use this method for an employee who works at any time on a public holiday more.. |
| Alternative Holidays An Alternative Holiday is a day an employee is entitled to take off as paid leave, in return for having worked on a public holiday more.. |
Annual Holiday Entitlements This article looks at entitlements to holidays as provided for by the Holidays Act more.. |
Annual Holiday Payments This tutorial shows how to record holiday pay taken using the Annual Leave method more.. |
| Irregular Work Pattern In this article we look at the calculation of Relevant Daily Pay for an employee that works irregular hours more.. |
Leave Owing Report The Leave Owing report provides an estimate of holiday pay owing to all staff at a selected date more.. |
|
Ace Payroll FAQ Contents All the most common Ace Payroll questions grouped by categories in a short table of key words more.. | Ace Payroll Frequently Asked Questions All the most common questions we are asked at Ace Payroll listed in a question format and grouped by category more.. |