Before trying to configure acrrual rules, make sure you have the module included in your package. Once you have launched the software, visit Help - About and look to confirm that our Benefit Accruals module is enabled. 


Adding and configuring benefit accrual rule

 Benefit Accrual Rules Image 1

For adding and configuring a benefit accrual rule follow these steps:

 

  1. Click on the Add button. As a result, the Add Benefit Accrual Rule window will be opened.
  2. Enter code and name of the rule into the Code and Name text boxes, respectively.
  3. From the Carry Cycle Start Date combo box select from which date the cycle should start - it can be from employee's Hire date, Fiscal date or any other Custom date.
  4. If Custom start date is selected, then in the Custom field enter the custom start date of the cycle.
  5. Select the carry cycle from the Carry Cycle combo box.
    (This is the period during which accrued benefit hours can be used. If hours of one cycle are not being used entirely, the remaining benefit hours can be transferred to the next cycle.)
  6. In the Accrual area add as many accruals as needed for the accrual rule. Note that all added accruals will have the same carry cycle.
    Configuration of accruals will be described below.
  7. In the Categories to summarize list check all the categories which should be considered in the calculation if you want the benefit hours to be accrued based on employees worked hours. In this case, under the Categories list check those pay rate types (Regular, Overtime 1, Overtime 2 and Overtime 3) which should be considered in the calculation.
    Note: If you are going to use only fixed amount of benefit hours for accrual (not based on worked hours), then there is no need to check any category or pay rate type.
  8. Click on the OK button.
 

Adding and configuring accrual in benefit accrual rule

 Benefit Accrual Rules Image 2

For adding and configuring accrual in benefit accrual rule follow these steps:

 

  1. In the Benefit Accrual Rules window, in the Accruals area click on the Add button. As a result, the Add Accrual window will be opened.
  2. Select from the Category combo box which category the accrual rules will apply to. (In Categories combo box all benefit categories will be available)
  3. From the Posting Period Start Date combo box select from which date the posting period should start - it can be from employee's Hire date, Fiscal date or any other Custom date.
    Note: "Posting" means "providing benefit hours", so Posting Period Start Date defines from which date employee will start accruing benefit hours if already eligible for accruing.
  4. If Custom is selected, then enter custom posting period start date into the Custom field.
  5. Select the posting period frequency from the Posting Period combo box. (This shows how often you want to post the results of the accrual rules to the employees.)
  6. From the Accrual Start Date combo box select from which date the accrual will be calculated off - it can be from employee's Hire date, Fiscal date or any other Custom date.
  7. If Custom is selected, then enter custom reference date into the Custom field.
  8. Select Give hours only if Employee's status is active check box, if you want this rule to apply only to those employees whose status is active.
  9. Into Give 'X' hours after 'Y' months from hire date fields enter the number of hours you want to give to employee (as an "X" value) and the number of months (as an "Y" value) after which (starting from hire date) the amount of benefit hours entered into the previous field will be given to the employees.
  10. In the Accrual Details area add as many rules as needed.
    Configuration of accrual details will be described below.
  11. Click on the OK button.

 

Adding and configuring accrual details

 Benefit Accrual Rules Image 3

For adding and configuring accrual details follow these steps:

 

  1. In the Add/Edit accrual window in the Accrual Details area click on the Add button. As a result, the Add Accrual Detail window will be opened.
  2. In the After Year and After Month fields enter the number of years and months after which the accrual rule will start to be applied. Years and months are calculated off the reference date.
  3. In the One time given hours field enter the amount of benefit hours which will be given to the employee only once, just right after the above mentioned years and months.
  4. In the Straight given hours (at post period end) field enter the amount of benefit hours which will be given to the employees at the end of each posting period (namely on the first day of next posting period).
  5. If you want those benefit hours to be calculated on the basis of employee’s worked hours, then in the Category hours multiplier field enter the coefficient by which the hours of categories checked in the Add/Edit Benefit Accrual Rule window will be multiplied.
  6. If Category hours multiplier is entered, then in the "Minimum hours needed" field enter the minimum amount of hours that an employee should work in the posting period in order to be eligible for getting benefit hours. If you don't want to set a minimum amount, then leave the value of the field '0'.
  7. If Category hours multiplier is entered, then in the "Maximum hours allowed" field enter the maximum amount of category hours which is allowed to be posted to the employee for 1 posting period. If you don't want to set a maximum amount, then leave the value of the field '9999.99'.
  8. In the Maximum cycle carry over field enter the maximum amount of unused benefit hours which is allowed to be transferred from one cycle to the next one. If you don't want to set a maximum amount, then leave the value of the field '9999.99'.
  9. In the Maximum total benefit hours field enter the maximum amount of benefit hours that an employee can accrue within the current benefit rule. If you don't want to set a maximum amount, then leave the value of the field '9999.99'.
  10. Click on the OK button.
 
 

Example of Benefit Accrual Rule configuration

 

For example let’s suppose the following configuration:

 

Accrual

  • Reference Date is set to Hire Date which is 01 June 2019
  • Posting period is Monthly
  • Posting Start Date is set to Custom date which is 15 January 2019

 

Accrual details

  • Years is set to 0, Months is set to 3
  • One time given hours is set to 5
  • Straight given hours (at post period end) is set to 8

 

Results in the above mentioned case

  • after 3 months from reference date (01 June 2019) which will be 01 September 2019 employee will accrue 5 hours (One time given hours)
  • after 3 months from reference date (01 June 2019) which will be 01 September 2019 system will check when does the posting period should start. As far as posting period start date is 15 January 2019, then the first posting period start will be 15 September 2019. Also, as far as posting period, monthly and straight given hours are being provided in the end of posting period, then the first 8 hours (straight given hours) will be provided to employee on 15 October 2019. Straight given hours are being provided at the end of each posting period, so according to the rule on each subsequent month’s 15th day the employee will continue receiving 8 hours.