Holiday allowance is not prorated at end of employment/contract end date

Profit does not take into account the future employment end date or contract end date. This is the reason why Profit does not calculate the holiday allowance pro rata for an employee who leaves employment halfway through the year and for whom the accrual of the holiday allowance runs from period 1 until period 12.

You can resolve this by going to the 100.002.014 'Vakantietoeslag' wage component at the employee level and adjusting the 'Opbouw t/m periode' parameter to the end of employment period so that Profit calculates the holiday allowance up to and including this period.

Example:

An employee leaves employment on 31 October. The CLA mandates that the holiday allowance should be calculated for periods 1 to 12.

When the holiday allowance is calculated in May, Profit does not take into account the future end of employment date of the employee. This means that Profit pays out the holiday allowance for 12 months instead of 10 months. If the employee leaves employment, Profit recalculates the holiday allowance paid out and applies a correction.

If you want to take the future end of employment date directly into account when you pay out the holiday allowance, you add the 100.002.014 'Vakantietoeslag' wage component to the employee. Change the 'Opbouw t/m periode' parameter to:

• Start date: 1 January
• End date: 31 October
• Value: 10

  When the holiday allowance is paid out, Profit calculates the holiday allowance over 10 months.

To adjust the entry level parameter:

1. Go to:HR / Organisation / CLA.
2. Open the CLA properties.
3. Go to the tab:Wage component.
4. Open the properties of the 'Vakantietoeslag' wage component.
5. Go to the tab:Parameter.
6. Open the properties of the 'Opbouw t/m periode' parameter.
7. Select the Allow entries for employee check box.
8. Click on: OK.

To change the accrual period:

1. Go to:HR / Employee / Employee.
2. Open the properties of the employee.
3. Go to the tab:Wage component.
4. Click on: New.
5. Select the 'Vakantietoeslag' wage component.
6. Click on: Finish.
7. Open the properties of the 'Opbouw t/m periode' parameter.
8. Click on: New.
9. Complete the fields.
10. Click on: Finish.

See also

• Accrual from period and Accrual until period parameter
• The holiday allowance is not recalculated when employment ends or at year end
• Suppress the pay out of holiday allowance when employment ends
• No holiday allowance when leaving employment