Setting up pays to accrue hours

unavailable in ajeraCore unless you have the Payroll add-on

As employees enter time and you run payroll, Ajera can accrue and reduce hours for certain types of time (such as vacation) that have no effect on gross pay, net pay, or taxes.

For example, Ajera can accrue vacation time by a specific amount every pay period and reduce it every time an employee enters vacation hours on a timesheet. Ajera then lists the hours accrued and the year-to-date total on the employee’s paycheck stub.

You can accrue as many different types of time, as needed.

Tracking sick and vacation hours together

Ajera automatically sets up these two pays:

• Vacation and Sick Accrual
• Vacation and Sick

Use these pays if you want to accrue and deduct vacation and sick time together. You can finish setting them up by beginning with Step 3 the following instructions.

Tracking sick and vacation hours separately

If you want to track sick and vacation time separately, use the following instructions to set up these pays:

• Vacation Accrual
• Vacation
• Sick Accrual
• Sick

Set up pays to accrue and reduce hours

For each type of time you want to accrue and reduce hours for, perform the following tasks:

Step 1: Set up a pay for accruing hours

Set up a pay doing the following:

• Enter a description for the pay.
• For the type, select Accrual.
• Enter a rate if you want to use one rate for all employees.

When you add this pay to an employee's setup information as described in Step 3 of these instructions, Ajera automatically enters the rate you set up for this pay; however, you can change it for an individual employee, as needed. You may prefer to set up separate accrual pays based on the hours accrued for the years of service. For example, if an employee has more than 5 years of service with the company, that employee accrues 5 hours of vacation time each pay period instead of newer employees who accrue 3.75 hours. 

Otherwise, leave the rate blank.

Step 2: Set up a pay for reducing hours

Set up a pay doing the following:

• Enter a description for the pay.
• For the type, select the appropriate type.
• For example, for vacation hours, select Vacation. For sick hours, select Sick. For all other accruals, select Other.
• Select the expense account to use for the pay.
• In the Reduces Accrual field, select the pay that you set up in Step 1 of these instructions.

Step 3: Link each employee to the pay for accruing hours

You must add the accrual pay to an employee so Ajera can accrue the correct number of hours for that specific employee.

• From the Setup menu, click Employees.
• Double-click the employee for whom you want to add a pay.
• Click the Pay Information tab.
• On the first blank row in the Additional Pays table at the bottom of the window, click the Pay field and select the pay that you set up in Step 1 of these instructions.
• In the Amount field, leave the rate that appears or enter the rate at which you want to accrue hours for this employee. For example, if an employee has over 5 years of service with the company, that employee accrues 5 hours of vacation time each pay period instead of newer employees who accrue 3.75 hours. 
• Click Save.
• Repeat these instructions for each employee you want to accrue hours.

Step 4: Link a timesheet item to the pay for reducing hours

You set up an overhead group item, which is linked to the pay you set up for reducing hours. This overhead group item appears on timesheets, where employees can enter hours for it. For example, if an employee enters 8 hours to Sick Time (the overhead group item you set up) on a timesheet, those hours then reduce the available hours for the Sick Time Accrual pay that you set up.

• From the Setup menu, click Overhead Groups.
• Double-click an overhead group where you want to add this item.
• On the first blank row, complete the fields to set up an overhead group item. In the Pay column, select the pay you set up in Step 2 of these instructions.  
• Click Save.
• Repeat these instructions for each overhead group where you need to add this item.