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AccountRight Plus, Premier and Enterprise, Australia only

There are a few reasons you might need to change an employee's leave balance, including:

  • fixing an incorrect leave payment, e.g. an employee's leave balance is wrong because you've entered the wrong amount of leave in a pay.
  • entering opening leave balances, e.g. your employees have leave owing to them when you first start using payroll in AccountRight
  • transferring leave balances from one entitlement category to another, e.g. an employee has changed from an hourly pay rate to a fixed salary, which changes the entitlement category they have assigned to them.

Let's take you through each of these.

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Check your leave setup

If you need to change how a type of leave is calculated and paid, see Leave and entitlements.

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titleTo fix an incorrect leave payment

If the employee hasn't actually been paid yet (you've recorded the pay but gone no further), you can reverse the pay then record it again (correctly, this time). Reversing the pay provides a record and audit trail of what happened and how you fixed it.

If the reverse/redo solution doesn't suit your needs, you can fix it by recording a zero dollar (void) pay to adjust the employee's leave balance. The employee won't be paid anything, but their leave balances will be corrected and the resulting pay slip will clearly show the adjustment you've made. It also provides a record and audit trail of what happened and how you fixed it.

Take a look:

  1. Start the pay run like any other. Need a refresher?
  2. Select the option Process all employees paid and choose Bonus/Commission from the drop down.
  3. In the Payment Date field, enter the date you want to record the adjustment.
  4. Enter a pay date range in the Pay period start and Pay period end fields. This should be for the pay period you're adjusting.
  5. Click Next. The Select and Edit Employees Pay window appears.
  6. Select the employee that the adjustment is for.
  7. Click the arrow in the Edit column next to the employee's name. The Pay Employee window appears.
  8. Type a reference in the Cheque number field to show it is an adjustment, for example ADJ.
  9. Enter a description of the adjustment in the Memo field, for example 'Fixing 5 hrs overpaid leave'.
  10. Delete all hours and amounts shown in the window. You need to do this so you don't re-record any pay amounts for the period, other than the leave adjustment.
  11. In the relevant leave accrual field, enter the adjustment leave hours in the Hours column. For example, if you need to subtract 5 hours from the employee's holiday accrual, type -5 next to Holiday Leave Accrual as shown in our example below.
    Pay employee window with zero value and -5 entered against leave accrual category
  12. Click OK then click OK again to the message about voiding the paycheque.
  13. Finish the pay run as normal, including submitting to the ATO for Single Touch Payroll reporting.
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titleTo enter opening leave balances

If you start using payroll in AccountRight part way through the payroll year, your employees might have leave they've already accrued. You can enter these opening leave balances in their employee cards.

Here's how:

  1. Go to the Card File command centre and click Cards List. The Cards List window appears.
  2. Click the Employee tab and select the employee whose opening leave balance you want to enter.
  3. Click Edit. The Card Information window appears.
  4. Click the Payroll Details tab.
  5. Click Entitlements.
  6. Enter the employee's opening balance against each applicable leave type in the Balance Adjustment column. For example, here we're entering 10.4 hours of accrued annual leave.
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    Can't see the Balance Adjustment column? Make sure you're using the latest AccountRight version. This will also ensure you're staying compliant with the latest ATO changes.

  7. When you've entered all opening leave balances for the employee, click OK.
  8. Repeat from step 2 for additional employees.
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titleTo transfer accrued leave from one entitlement category to another
  1. Link the new entitlement category to the employee.
    1. Go to the Card File command centre and click Cards List. The Cards List window appears.
    2. Open the employee's card and click the Payroll Details tab.
    3. Click Entitlements and select the entitlement categories you want to link the employee to.
    4. Click OK.
  2. Record a leave adjustment paycheque (see To adjust year-to-date leave balances above). Note that you need to enter a negative number in the Hours column for the old entitlement and a positive number in the Hours column of the new entitlement.
  3. Unlink the employee from the old entitlement.
    1. Go to the Card File command centre and click Cards List. The Cards List window appears.
    2. Open the employee's card and click the Payroll Details tab.
    3. Click the Entitlements option and deselect the entitlement categories you want to unlink from the employee.
    4. Click OK.

Don't tamper with history

If you've made a mistake with leave in a pay, don't try to fix it by changing the Pay History in an employee's card. Instead, fix it by adjusting the employee's year-to-date leave balance as described above.

Changing the Pay History in an employee's card will cause a few headaches, including an out of balance between the employee's card and the Entitlement Balance reports.

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titleRelated topics
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Leave and entitlements

Payroll categories

Enter employee payroll information

Long service leave

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