Leave Loading is normally paid to the employee using an Allowance. To set up Leave loading, follow the steps below.
Go to Setups, Payroll, Allowance, Maintain.
Enter an Allowance Code for Leave Loading e.g. LL
Enter a Description e.g. Leave Loading.
From the Type field, two allowance types for leave loading are available to calculate leave loading:
L = Leave Loading (Hours): To calculate loading on annual and long service leave only. The Loading Percent from the Employee Masterfile, Leave tab will be used if no percentage is specified in the Allowance Maintenance Percent field.
B = Leave Loading (%): To calculate loading on specified income types e.g. overtime. Select the Calculation Basis tab in the Allowance Maintenance screen to identify which income types to include in the calculation. This Allowance type is typically used for employees who are governed under multiple awards.
Set the Tax status to the required value i.e. Before Tax if the allowance is to be taxed.
Set the Tax Certificate Code to 1=Include in Tax Certificate Total.
Tick Include in OTE.
Tick Include in SG Threshold.
Enter all other required information in the Calculation Basis, Expense Account and Multiple GL Dissections tabs, and click Accept (F9) to save the new code. For more details on these tabs, see: Attaché Payroll: Payroll Setups help and user guide.
See the ATO page List of payments that are Ordinary Time Earnings for more information.
📌 Note: If leave loading was missed for an employee, then the Leave loading (Hours) code can be used to manually enter the hours of leave that didn't have the loading calculated on in a past pay. This code can be added to the timesheet and the hours entered on the line. It will calculate the leave loading at the percentage stipulated on the code or Masterfile, for the hours entered, based on the employee's normal pay rate.