This guide provides clear explanations of all leave settings in HReasily. Use it as a reference when configuring your company’s leave policies.

• Basic Settings 
• Entitlement Settings 
• Rollover Settings
• Application Settings

1. Leave Basic Settings

These settings define how leave is counted and whether unpaid leave is integrated into payroll.

How to Count Days

• Working Days – Excludes weekends and company holidays.
• Calendar Days – Counts every day, including weekends and holidays.

Unpaid Leave

When enabled, unpaid leave is automatically deducted in payroll. The deduction can be calculated using either working days or calendar days, depending on company policy.

2. Leave Entitlement Settings

These settings determine how leave entitlement is granted, based on service length, join date, or company leave year.

Leave Entitlement Mode

• Full Upfront – Employees receive their full annual entitlement at the start of the leave year.
• Prorated – Entitlement is calculated based on the join date and the Common Leave Year Period. If entitlement increases after a set period (e.g., Year 0 → Year 1), the higher entitlement is only given after completing a full year of service.
• Earned Monthly – Entitlement accrues gradually each month using the formula: (Months Completed ÷ 12) × Annual Entitlement. 
  If an employee joins mid-year, entitlement is prorated. From the following year onwards, the calculation follows the common leave year setting.

⚠️ Note: Apply rounding rules (nearest 1.00, no rounding, etc.) to avoid decimals in entitlements.

Example (Prorated + Accrual):

Accrual Days: Year 0 = 12 days, Year 1 = 14 days

Leave Year Period: 1 January

Employee Join Date: 1 June 2021

Year 0 (Jun–Dec 2021): 7 completed months → 7 prorated days

Year 1 (Jan–Dec 2022): On 1 June 2022, entitlement increases to 14 days. System calculates:

• Remaining Year 0 (5 months) = 5 days
  

• Year 1 (7 months at 14 days) = ≈ 8.17 days
  

• Total entitlement = 13.17 days

Leave entitlement increases after a set period (Accrual Leave)

Assign different entitlements based on years of service.

Example:

The setup will be as follows:

Common Leave Year Period

This setting defines when leave entitlements reset for all employees.

• Enabled – Leave resets on the common leave year date (e.g., 1 January).
• Disabled – Leave will not refresh automatically.

⚠️ Note: This only needs to be set once; there’s no need to update it every year.

Best Practice:

• Set the common leave year to 1 January so all employees' leave entitlements reset together. This simplifies reporting and planning compared to tracking by individual join dates. 
• It does not need to follow the company's financial year; using the calendar year makes holiday planning easier for employees.

3. Leave Rollover Settings

These settings manage how unused leave is carried forward into the next year.

Allow rollover days to next year 

Allow employees to carry unused leave to the following year.

Set rollover expiry date (Optional)

Optionally set a deadline (e.g., 31 March) for using carried-forward leave. 

⚠️ Note: If an employee applies for future-dated leave beyond the rollover expiry date, the system will not permit it. Carried-forward leave must be applied within the defined expiry period.

Best practice:

• Allow rollover if leave is prorated, so employees have enough leave for major festivities early in the year.

• Set the expiry within the first quarter to avoid large accumulations of unused leave that may disrupt operations later.

Example:
Company A allows employees to roll over up to 5 days, which must be used before 31 March of the following year.

 The setup will be as follows:

4. Leave Application Settings

These settings control when employees can apply for leave and the required notice period.

This Leave can be Applied for

• Immediately – Employees can apply as soon as leave is assigned.
• Upon Confirmation – Only confirmed employees can apply.
• After a fixed period – Employees must complete a defined period (days or months) before applying.
• After a fixed period or upon confirmation, whichever is earlier – Employees can apply once they are confirmed or after a fixed period, whichever occurs earlier.

Minimum Leave Taken

Set the minimum number of days per application.

Minimum Days Notice

Define how many days in advance leave must be applied.