Delivered Absence Entitlements and Takes

PeopleSoft delivers the VAC ENT (vacation entitlement) entitlement and VAC TAKE (vacation take) for absences. You can use these elements as delivered, modify them, or create new elements.

Vacation

For the delivered VACATION entitlement, the calculation depends on the service seniority of the payee. This means the years of service from the hire date to the period end date. The entitlement is granted through a bracket and it represents the number of days per year:

This table lists the delivered VACATION entitlement values based on years of service.

Years of Service	Days Per Month	Days Per Year
1 to 4	1.67	20
5 to 9	1.83	22
10 +	2.08	25

Note:

When a payee has a mid-month hire date and that payee's years of service warrants a change in entitlement, the system uses the new monthly entitlement for the pay period in which the required years of service was achieved. For example, a payee hired on October 12, 2002 would receive 1.83 days for the October 2007 payroll run because the payee achieved five years of service in the middle of the pay period.

Note:

If the entitlement is 20 days per year and payroll is calculated on a monthly basis, the formula is 20÷12 = 1.67 days. At the end of the year the sum is equal to 20.04 (1.67*12 = 20.04). This means that a rounding rule issue exists.

To resolve the rounding rule issue, the calculation is accomplished using a bracket with 12 rows, where each row represents a period.

This table lists the 12 rows (or periods) that are in the bracket that is used to resolve rounding rule issues.

Period	Entitlement	Balance at the End of Each Period
1	1.67	1.67
2	1.67	3.34
3	1.66	5
4	1.67	6.67
5	1.67	8.34
6	1.66	10
7	1.67	11.67
8	1.67	13.34
9	1.66	15
10	1.67	16.67
11	1.67	18.34
12	1.66	20
Total	20

Because the entitlement is based on service seniority, the primary key is service seniority. A second key is used for the period number, which is based on the service date. The system also takes these items into consideration:

• The entitlement is prorated based on calendar days.

• Accumulators are generated for entitlement, balance, adjustment, and take (accumulator period is yearly based on hire day divided by hire month).

• At the end of the year the balance is forwarded to the next year.

• The payee is eligible to take vacation only a year after the payee is entitled.

When the balance is equal to zero, the system then uses the vacation entitlement. The system also uses a day formula to check whether the leave day is a working day (schedule hours) or a public holiday. It allows partial leave days and converts the partial hours that are entered to a fraction of a day (for example, 4 hours = .5 day).

Paid leave is associated with the VACATION PD earning code. Unpaid leave is associated with the VACATION UNP earning code. The rate associated with the vacation earnings is a formula that calculates the daily rate based on the system element MONTHLY RT ÷ 20.92 days per month. In the Global Payroll Rule, the vacation earning amount is a member of an accumulator that is then used to reduce the salary earning amount. For China, the same principal applies, except that the vacation earnings (VACATION PD) reduces the salary.