Help Desk - FAQ

1. If the employee will work through the notice period, leave must accrue as normal to the last day of work. Leave does NOT accrue on the leave hours paid out on the final pay
2. If an employee gives notice, and it is decided to pay them out, (In Lieu Of Notice – ILON), leave accrual stops on the last day of actual work.
3. If an employee is put on “gardening leave”, instead on ILON, leave does not accrue.
4. It is not legal in Australia to force an employee to use their Annual Leave to reduce the ILON. Both ILON and Annual Leave must be paid if an employee is not allowed to work out their notice period.

If you have employees who are salary sacrificing laptops, vehicles, or other non-super items, you may want to track this through payroll.  However, If the Salary Sacrifice has no FBT implications, it might be easier to leave it out of payroll altogether, and simply reduce his hourly rate for ‘standard’ hours to reflect the amount they are sacrificing.

If you need to track and report on FBT, this how Visipay can manage it:

• Create a new Earning Pay Item called “Vehicle Salary Sacrifice” or similar
• Create a new Fringe Benefit called “Vehicle FBT” or similar

Edit the employee’s pay profile, and add the Earning item with a negative Qty, for the amount they are sacrificing, and add the FBT line for their contribution.  If ther is no FBT implication, but you prefer to manage Sal Sac through payroll for reporting reasons, simply ignore the FBT steps above.

Sybiz Visipay handles this very easily.  You will need at least one new pay item, called somthing like “Termination Leave Payout”, or similar.  It would be setup just like your current Annual Leave pay item, except that where the Calculation Method is normally “Per Hour”, in this case we make it “Per Item”, and of course Superannuation does not apply.

When this pay items is used, no leave accrual will occur.