In this article, we'll help you to understand how to determine the earning method for your employees.
| Leave Earning Method | How It Works |
| None | Full leave entitlement is given at the start of the entitlement period. |
| By Month | Leave will be prorated for each month. |
| By Year | Leave is only granted after employee completed a full year of service. |
Important: Entitlement Calculation and Leave Earning Method always work together.
To illustrate how this earning method works, we will use the Employee Anniversary Year entitlement calculation with the entitlement policy below.
John Doe joined in 4 Apr 2022. Today is 22 July 2025.
Entitlement Policy | ||
From Year | To Year (before) | Entitled Day(s) |
0 | 1 | 14 |
1 | 2 | 16 |
2 | 3 | 20 |
3 | 5 | 25 |
1. Earn by None
This means you will receive your full entitlement immediately, without earning it progressively.
| Earning Method | Entitlement Period | Calculation |
|---|---|---|
| None | 01 Jan 2025 - 03 Apr 2025 (93 days) Year of Services: 2 Years | 93 / 365 x 20.00 = 5.10 D |
04 Apr 2025 - 31 Dec 2025 (272 days) Year of Services : 3 Years | 272 / 365 x 25.00 = 18.63 D | |
| Total Entitled Days | 23.73 D | |
2. Earn by Month
Leave is prorated based on the number of months up to the selected generated month (in this example: July).
| Earning Method | Entitlement | Calculation |
|---|---|---|
| By Month | 01 Jan 2025 - 03 Apr 2025 (93 days) Year of Services: 2 Years | 93 / 365 x 20.00 = 5.10 D |
04 Apr 2025 - 31 Jul 2025 (119 days) Year of Services : 3 Years | 119 / 365 x 25.00 = 8.15 D | |
| Total Entitled Days | 13.25 D | |
3. Earn by Year
Entitlement based on the anniversary date is always prorated according to years of service up to 31 December of the current year.
| Earning Method | Entitlement | Calculation |
|---|---|---|
| By Year | 01 Jan 2025 - 03 Apr 2025 (93 days) Year of Services: 1 Year | 93 / 365 x 16.00 = 4.08 D |
04 Apr 2025 - 31 Dec 2025 (272 days) Year of Services : 2 Years | 272 / 365 x 20.00 = 14.90 D | |
| Total Entitled Days | 18.98 D | |
For "Earn by Year", you will only receive your entitlement after completing your first year of service.
To understand more on entitlement calculation, please refer to: Leave Entitlement Calculation Method
We hope this explanation clarifies the matter. If you require additional assistance, do not hesitate to contact our support team.
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