Termination balances

This is the termination balance formula:

(((No of full months worked + (Portion of leaving month worked))
* (Full year's holiday entitlement / 12 months in a year))
- Holiday Taken to Termination Date The last day of an employee's employment and the day their contract is terminated.)
+ Holiday Brought Forward

This is just a guide and your company policies may calculate the balance differently. You can manually change this at any time in the employee's My Details > Personal.

If you make any changes to the Holiday fields or add/remove any Absences When an employee or worker is absent from work. This can be for a variety of reasons. the system recalculates this balance.

A working example of the termination balance:

Termination Date: 07/08/2023 (Personal tab)

Absence When an employee or worker is absent from work. This can be for a variety of reasons. Year: 01/01/2023 - 31/12/2023 (back-end via Support)

Full worked months: 7 (Based on Termination Date)

Portion of worked month: 0.23 (Based on Termination Date)

Holiday Entitlement: 25 (Contract Tab)

Months in an Absence Year: 12 (Absence Year)

Holiday Taken this Year to the Termination Date: 13 (Absence Tab)

Holiday Brought Forward: 3 (Contract Tab)

So this becomes:

(((7 + (7 / 31))

* (25 / 12))

- 13)

+ 3

Which broken down is:

7 / 31 = 0.23 (portion of worked month)

7 + 0.23 = 7.23 (total months worked)

25 / 12 = 2.08 (entitlement per month)

7.23 * 2.08 = 15.06 (entitlement accrued)

15.06 - 13 = 2.05 (entitlement left to take, thus owed)

2.05 + 3 = 5.06 (Termination Balance rounded to two decimal places)

After you have added and saved the Termination Date, the Termination Balance displays in My Details > Personal.

You can disable the Termination Balance in System Configuration. This enables you to enter your own value, if required.