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November 12, 2010

Yearly Accruals in Online Time Clock MTS

One of the more common vacation accrual policies (and sick time for that matter) is to give employees a set amount of vacation time upon the first anniversary of their hire date and then credit them with an amount each year after that. Typically these are known as 'yearly accruals' and it's an important requirement that an online time clock system to be able to account for these yearly accruals. Setting up this sort of policy in Online Time Clock MTS is a pretty simple task and this blog entry will take you through the process of doing so.

Here's what to do:

1. Log into Online Time Clock MTS as the account administrator or a location administrator and go to the Managing Employment Types screen.
2. Add a new employment type (this is described fully in the Setting Up Vacation Accruals blog entry) and go to the Vacation Accruals tab of the Add Employment Type Screen.
3. Go ahead and enter the vacation accrual settings as shown in the image below.
4. Save your new employment type and then assign all of your employees to this new type on the Manage Employees screen.

Yearly Accrual Example - Click to Enlarge

It's worth a minute to look at the settings of the yearly accrual policy we've defined above so that we understand each of the settings.

1. Of course you need to make sure to check the Accrues Vacation Time checkbox.
2. If you want to credit your employees with their accrual allocation in advance then enter a number in the Starts With box. If not, leave this set to zero.
3. The value in the Accrue should be set to the yearly accrual amount. In this case we've set it to 40 hours.
4. Set the For Every setting to 12 months.
5. Ensure that you've checked the Use Hire Date not Fiscal Year checkbox so that your employees are credited with their vacation time on the anniversary of their hire date.

That's all there is too it. Yearly accruals are easy to setup in Online Time Clock MTS and they allow you a good deal of flexibility with your accrual policies.

Posted by markn at November 12, 2010 11:18 AM