With our Prorated Leave-Monthly basis feature, you have the ability to prorate your employees' leave entitlements on a monthly basis, and accurately calculate the percentage of entitlement based on your company policies.
This feature is particularly useful for determining the entitlements of new joiners and employees who are resigning. It ensures that they receive the correct amount of leave according to the length of their service.
But that's not all! This update is especially beneficial for businesses based in Singapore, as it allows you to easily prorate your employees' childcare leave entitlements.
Kindly refer below for a step-by-step guide:
1) At HR Lounge, click on Leave > Leave Policies > View Leave Details.
Watch Video > How to access the Monthly Basis - Prorated Leave settings?
After successfully enabling the monthly proration feature, let's explore how it works in different scenarios. To help you better understand this feature, we have provided some examples below. By referring to these examples, you can get a clear idea of how monthly proration can benefit you in various situations.
Number of months served by employee = Percentage of entitlement the employee receives
The employee is entitled to the full percentage, ONLY if the employee serves the full month.
i.e Joins on the first of the month or resigns on the last day of the month
Below are 3 scenarios to help you understand how this could work for you :
Scenario 1 - New Joiner
Example 1 - Date Joined:
1st January (full month) - Employee will serve the next 12 months = Entitlement 100%
20th January (incomplete month) - Employee will serve the next 11 months = Entitlement 100%
Example 2 - Date Joined:
1st June (full month) - Employee will serve the next 7 months = Entitlement 66%
20th June (incomplete month) - Employee will serve the next 6 months = Entitlement 50%
Scenario 2 - Resignee
Example 1 - Resignation Date:
16th February (incomplete month) - Employee has served 1 month = Entitlement 0%
28th February (full month) - Employee has served 2 months = Entitlement 0%
Example 2 - Resignation Date:
16th May (incomplete month) - Employee has served 4 months = Entitlement 33%
31st May (full month) - Employee has served 5 months = Entitlement 50%
Scenario 3 - New joiner who resigns in the same year
Example 1 - Joined and Resignation Date:
Joined Date: 16th March (incomplete month) - Entitlement is calculated from April onwards
Resignation Date: 31st August (full month) - Employee has served 5 months = Entitlement 50%
Example 2 - Joined and Resignation Date:
Joined Date:1st February (full month) - Entitlement is calculated from February onwards
Resignation Date: 16th December (incomplete month) - Employee has served 10 months = Entitlement 83%
How is the Percentage of entitlement calculated if the "Rounding" option is enabled?
Example 1:
Entitlement amount: 20 days
Percentage of entitlement: 33%
Calculation = 33% (0.33) x 20 days = 6.6 days
If None is selected = 6.6 days entitlement
If Round up 0.5 days is selected = 7 days entitlement
If Round down 0.5 days is selected = 6.5 days entitlement
If < 0.5 days, round down; If >= 0.5 days, round up is selected = 7 days entitlement
Example 2:
Entitlement amount: 20 days
Percentage of entitlement: 83%
Calculation = 83% (0.83) x 20 days = 16.6 days
If None is selected = 16.6 days entitlement
If Round up 0.5 days is selected = 17 days entitlement
If Round down 0.5 days is selected = 16.5 days entitlement
If < 0.5 days, round down; If >= 0.5 days, round up is selected = 17 days entitlement
Have questions? Reach out to our friendly Support team via chat or email (support@briohr.com) for assistance!