Hourly Accrual Time Off Policy

What is the Hourly Accrual Time Off policy?
  • Hourly accrual for Time Off policies is a setting that allows workers to accrue time off based on the number of hours they have recorded in Time & Attendance or Zenefits Payroll. 
How do I set up an Hourly Accrual Time Off policy?
In order to get your company on the hourly accrual time off policy, you'll have to use Zenefits Time & Attendance or Zenefits Payroll. If you don't use Time & Attendance, we'll accrue hours based off the regular and OT hours paid out in Zenefits Payroll.

When you are enrolled in Time & Attendance and create a new PTO policy, you’ll  be able to create custom rules. The setup will look like this:

Time Off Hourly Accrual

1. Accrual Method: Make sure you select Hours per hours worked
2. Vacation Accrual Rate: Enter accrual rate 
3. Accrue on PTO: Do you want people to accrue time while they are on PTO?

  • Yes: this means if someone is on PTO, their PTO hours will count towards their hourly accrual rate. For example, someone works 32 regular hours and takes 8 hours of sick leave. We will count that as 40 hours when calculating their accrual for the week. In other words, they accrue based on all hours they are PAID for.
  • No: this means if someone is on PTO, their PTO hours will not count towards their hourly accrual rate. For example, someone works 32 regular hours and takes 8 hours of sick leave. We will count that as 32 hours when calculating their accrual for the week. In other words, they accrue based on all hours they WORK.
Time & Attendance Integration:
Workers will clock in and out during the pay period. Once the approval window in Time & Attendance has ended and hours have been approved, these will push to Time Off. We’ll automatically calculate the correct accrual based on the settings the admin has selected. Anyone that does not record time in Time & Attendance will accrue at a full time rate, with the assumption that they work 40 hours per week.

Zenefits Payroll Integration:
Workers will clock in and out during the pay period. Once these hours move to Zenefits Payroll and are officially paid, these will push to the Time Off accrual. We'll automatically calculate the correct accrual based on the settings that the admin has selected. The hours are based off the Regular and Overtime earnings that are paid out.

Please note that if you have Zenefits Payroll and Time & Attendance, we will accrue the hours from Zenefits Payroll. If you only have Time & Attendance and use Pay Connect, we will accrue the hours from Time & Attendance.

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