In this article we'll review all the settings including base accrual, new hire proration, maximum balance, and more!
Before we dive in, check out this article on how to start configuring your PTO policy 😀
To walk through the accrual settings specifically, get started by watching this video:
Here are the following settings you can adjust when setting up an accrual-based policy:
Base Accrual
- There are two different options for accrual rate:
- If you are NOT using GoCo time tracking your accrual rate will be set in hours per year. You will edit how many hours people accrue per policy year in the set-up.
- If you ARE using GoCo time tracking your accrual rate can be set in hours accrued per hours worked. You will edit how many hours people accrue for each hour they work in the set-up.
- You don't have to worry about tracking hours worked because GoCo already knows this information and will draw from the timecards.
- When should the hours be added to their account? Enter in FREQUENCY and the policy start date.
GoCo does not retroactively calculate accruals but starts calculating as soon as the policy is saved. So you will need to manually update the to-date balances once when you set up a policy!
Tenure Accrual Rate
- Do people get bonus hours depending on their tenure?
- In GoCo you have the ability to add additional hours to an employee's balance based on how long they have worked at the company. You will have the option to add them at their next scheduled accrual or immediately on their anniversary.
Maximum Balance
- Maximum balances allow you to stop your employees’ accrual once they reach a certain number of hours. If you also have tenure milestones, you can adjust the max balance per milestone as well.
Annual Carryovers
- This setting allows you to reset your employee's balance or allow them to carry over a certain amount of hours from one policy year to the next.
Minimum Increments
- This setting comes in handy if your employees must request in increments. For example, if you only count half & full days and your typical work day consists of 8 hours, it’s recommended you set their increments to 4 hours.
Waiting Period
- The waiting period allows your new hires to wait a certain amount of time before requesting time off. Additionally, you’ll be able to toggle whether or not they accrue hours during that waiting period.
New Hire Proration
- This comes into play when your accrual is NOT set on the hire date. If you start in the middle of the policy period – do you want the time pro-rated? Or do they have to wait until their next scheduled accrual?
PTO Liabilities
- Do you have to pay out unused/overused money when an employee leaves? If so, track liability here.
📌 Please note that in GoCo allowed to set up 10 separate accrual-based policies: & 3 custom time off type buckets. You will only want to turn on the different types of leave if you count all of those hours/accruals separately.
If you have additional questions, contact help@goco.io.
Happy Hiring! 💚