Tech Note: Different Treatments for Unused Paid Leave

Companies that provide paid leave as a benefit may differ in the way they handle unused paid leave, especially for employees who are leaving the organization. Some companies may offer their employees the option to convert unused leave time to cash. Other companies require the employees to use their paid leave balances; otherwise, these will be forfeited. AccountMate’s Convert/Adjust Unused Paid Leave function allows you either to convert unused paid leave to cash or to make an adjustment to unused paid leave due to forfeiture of paid leave balances or under/over-accumulation of unused paid leaves.

Article #1247: Differences Between Converting Unused Paid Leave to Cash and Adjusting Unused Paid Leave Balance explains the differences. It also discusses the additional procedures to be performed after converting unused paid leave to cash.