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Time Off: What is an Accrual Cycle?
Time Off: What is an Accrual Cycle?
Shoshana Fleischmann avatar
Written by Shoshana Fleischmann
Updated over a week ago

The Time Off feature helps you manage everything related to employee leave in a way that is accessible and transparent to employees and managers. When creating Limited Time Off policies that are Fixed the accrual cycle needs to be set. For Limited Fixed Policies the employees receive a certain number of days of time off and the accrual cycle determines when they accrue that time off. The options are the employee anniversary date, all at once (beginning of the year), or throughout the year in payroll periods. Let's go over the options below:

The Employee Anniversary Date

When selecting this option the start date of each employee is when they will accrue their time off. For example, if the employee accrues 20 days a year and their start date is March 5th each year on March 5th the employee will accrue the 20 days.

All at Once (Beginning of the Year)

When selecting this option, all employees will accure their time off all at once at the beginning of the year. For example, if the employees receive 150 hours, they will accrue this all together on the first day of the year.

Throughout the Year in Payroll Periods

When selecting this option, the employee's time off will be accrued each time there is a payroll period. When using this option option you will need to set the accrual cycle and select the next accrual date. For example, if my payroll cycle is once a month, on the 15th of each month. I will select monthly and the 15th as the next accrual date. In this case, if my employees accrue 12 days a year they will accrue one day each month.

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