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Author's profile photo Former Member

Step-wise Leave Encashment

Hi Friends,

I want to share the topic of Leave Encashment

1. Quota Compensation types

Table no. V_T556U


Create Sub-types for Quota compensation types (IT 0416)

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2. Create Wage Type Catalog

Table no. OH11

Create New WT, copy of std wt MLE0

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3. Check Wage Type Group ‘Time Quota Compensation’

Table no. VV_52D7_B_0416_AL0

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4. Check Wage Type Text

Table no. V_512W_T

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5. Check Permissibility of Entries for Each Infotype

Table no. V_T512Z


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6. Check Wage Type Characteristics

Table no. V_T511


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Table no. V_512W_D


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7. Assign Wage Types to the Quotas to be Compensated

Table no. V_T556W

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8. Valuation Bases

Table no. V_512W_B


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*If we are writing PCR no need to configure this table.

9. Add New Wage type in Remuneration Form PE51

T-code – PE51


Add New WT in the Form in Earnings side and in the Window 1 also


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10. PCR (PE02)


According to rule, leave encashment is calculated on Basic and DA only

Taken only Basic and DA

pcr.JPG



11. SCHEMA (PE01)


Copy std schema XT00 to ZT00

Insert PCR after Function P0416

pe01.JPG


pe01 1.JPG


12. IT 0416


PL Encashment for 1 day.

0416.JPG


SALARY SLIP:


payslip.JPG





Go though the below Document for Leave encashment through Off-cycle payroll run


Leave Encashment through Off-Cycle Payroll


Thanks and Best Regards,

Praneeth Kumar


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      28 Comments
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      Author's profile photo Former Member
      Former Member

      Thanks for the tutorial. I will definetly try this,,,,

      Author's profile photo Babu Kolkata
      Babu Kolkata

      Hi Praneeth,

      Thanks for the document.....

      It's a kind request to post the Leave Encashment Off-cycle part also.

      Author's profile photo Former Member
      Former Member

      Hi,

      You mean to say, for the separated employee you need to pay the leave encashment in off cycle?

      Author's profile photo Former Member
      Former Member
      Blog Post Author

      Hi Vijay,

      If Employee is separated Leave encashment is done at the time of F&F settlement.

      if F&F settlement process is not there in the company, you have to do through off-cycle only or check the below may be help full.

      Payments after Employee Resignation

      Author's profile photo Babu Kolkata
      Babu Kolkata

      Hi

      In my last two implementation client is asking for the payment of leave encashment in Off-cycle for the existing emp. In regular salary they are getting the amount automatically but in off-cycle its not working. I asked user to maintain it manually in it267.

      Is it possible to fetch the amount automatically in off-cycle.

      Santosh

      Author's profile photo Former Member
      Former Member
      Blog Post Author

      Hi Santosh,

      i got your requirement. in regular payroll it is clearly stated that Emp. is resigned and LE is updating for the payments. if you want it through Off-cycle automatically how system will know that employee is resigned ? as per my knowledge, they have to do manual entries in the IT 0267.

      Let see if any experienced consultants will give any suggestion regarding your req.

      And as per your requirement, i will post that document also LE through Off-cycle.

      Author's profile photo Sikindar T
      Sikindar T

      Good post as discussed please come with leave encashmment in offcyle on basic and DA

      Author's profile photo Former Member
      Former Member

      Great Document Praneeth.

      🙂 🙂 🙂

      Thanks for your document . I will post the leave encashment in the same thread through valuation basis which iam facing an error

      Thanks again for your document

      Author's profile photo Former Member
      Former Member

      It should calculate on Basic Pay Divided by number of working days For example Basic Pay is  10,000 If an employee encash 1 leave he will be receiving Rs 333 for one leave Similarly if he encash two leaves He will be receiving Rs 666

      Please go through attachment.  Once Iam done with that I will try another Scenario. This is Basic Scenario which I would like to try first.


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      Author's profile photo Former Member
      Former Member

      Hello Praneeth Kumar,

      Nice information shared & congrats for Gold Level.

      Regards,

      Santosh Shivane

      Author's profile photo Former Member
      Former Member

      Hi Praneeth,

      In the first step you created two quota types that is 0416 and and PSPL

      In 0416 I can see a rule 211 but in my system its not allowing nor i dont see any rule 211

      Please let me know how do i create a rule for that  

      Author's profile photo Former Member
      Former Member
      Blog Post Author

      Hi,

      You have to assign Leave Deduction rule or Leave quota type either one you have to assign for the compensation type.

      Author's profile photo Former Member
      Former Member

      which leave deduction rule I have to assign or which quota type i have to assign I dont see any here

      Author's profile photo @ Dey Sankarsan
      @ Dey Sankarsan

      This deduction rule is nothing but the deduction rule which you have assigned in the counting rule for you PL quota.

      Regards,

      Sankarsan

      Author's profile photo Former Member
      Former Member

      Hi,

      So I need to configure PL first to try out leave encashment scenario

      Author's profile photo Former Member
      Former Member
      Blog Post Author

      Hi priya,

      i think you didn't understand the leave encashment concept.

      If Employee want to En-cash the leaves what he is having, he has a facility of en-cash  those leaves. it is based on the company policy also. as per the government rules leave en-cashment is for PL & CL only.

      Author's profile photo Former Member
      Former Member

      I understood the concept I just want to verify whether it is required to configure PL Configuration for above scenario

      Author's profile photo Former Member
      Former Member

      Hi Praneeth,

      Nice document At clients place  We dont have time management module we have Negative time Management without absences ( Without Leave Configuration) we just have till planned working time configuration in Time Management and Complete Payroll. So in that case there is no PL Configuration.

      In case if  No of leaves to be compensated For example If we have 2 leaves to be paid It should calculate on basic pay + personal allowance   These leaves to entered in custom  info type that should calculate and show on payslip Since we dont have time management complete configuration Do you think this is the right approach How can we go ahead and do the configurations?

      Author's profile photo Former Member
      Former Member
      Blog Post Author

      Hi Priya,

      look at PCR once again, i consider Basic + DA (standard is leave encashment on basic & DA only) and calculated on calender days TKSOLL.

      12000/31 = 387.09

      Author's profile photo Sikindar T
      Sikindar T

      than why u used MULTI ANA ?

      Author's profile photo Former Member
      Former Member
      Blog Post Author

      It states that multiply the amount by the number and store as amount in the wage type.

      is this line no need to maintain ?

      Author's profile photo Sikindar T
      Sikindar T

      If you are getting amont 387 by dividing with TKSOLL we will get amount Per
      day

      say 3100 /31 100 will be amount after AMT/TKSOLL then if you want to Multiply
      you have to use MULTI NAA

      Kindly check

      Author's profile photo Former Member
      Former Member
      Blog Post Author

      ok Thank you

      i will check.

      Author's profile photo Former Member
      Former Member

      Hi Praneeth - Thanks for sharing such kind documents in forum.

      Literally its cent percentage worth!!!. Keep Posting and thank you once again for your documents.

      Author's profile photo Niladri Bihari Nayak
      Niladri Bihari Nayak

      Wonderful Doc Praneeth. I'll give a try definitely.

      Regards,

      Niladri

      Author's profile photo Sriram Tamil
      Sriram Tamil

      Hi Praneeth,

      Thank you so so much.. started to learn payroll.. learning a lot by seeing documents like your's

      thanks for sharing.. this would be great..

      Please give us more documents for the beginners for payroll which would be helpful for us to go through.

      Thanks

      Sriram

      Author's profile photo Vijay Singh Siwach
      Vijay Singh Siwach

      Great work Praneeth 🙂

      Author's profile photo Vikrant Durke
      Vikrant Durke

      how the posting for leave encashment is done in the system? Leave encashment needs a liability to be created.