Set up parameters

1. Select PR, Utilities, Maintain Payroll Parameters.
2. Enter the number of Hours in a work week.
3. Enter Maximum sick pay hours, Maximum vacation hours.
   
   • Sick and vacation time stop accumulating once the maximum limit is reached
   • Accrual resumes after the balance drops below the maximum
   • Set the Max Accrual per Year to limit how much time an employee can earn annually
4. Check OK to override to get a prompt when an employee is at the limit.
    NOTE: If you enter a maximum, vacation and sick will stop accruing based on hours in the Start field in PR, Employees, Maintain Employees, Vacation.  
5. To limit the maximum accrual hours an employee earns for the year, select Max accrual per year and enter maximum hours. Check the Restrict accrual field before you can enter the max accrual per year hours.
6. Select if you wish to accrue vacation and sick hours on overtime, on vacation hours taken, and on sick hours taken.
    NOTE: Vacation and sick hours accrue on holiday hours taken automatically. There’s no parameter to disable this feature.  

Assign vacation and sick rates to employees

1. Go to PR, Employees, Maintain Employees and click the Vacation.
2. In the Rate field, enter the number of hours an employee earns per year. For example, enter 80 for 80 hours of vacation earned per year.
3. In the Start field, enter the number of hours accumulated at the beginning of the current year. This is the carry-over hours from the prior year.
4. If applicable, enter the number of hours earned so far this year in the Earned amount field.
    NOTE: If set up is done mid-year, you'll need to enter the accrued year-to-date hours for vacation and sick. For example, If setting up in July and the employee has 20 hours vacation time accrued previously, enter 20 hours in the Earned field.
5. The Taken field holds vacation or sick hours used. This field automatically updates based on vacation and sick hours used during the payroll process.
   • The Balance field is calculated by adding the Start hours plus Earned hours and minus Taken hours (Start+Earned-Taken=Balance)
   • You can manually track vacation if the system calculation method doesn't work for you