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Administrator Guide
Last Updated: 2024-11-01
Concept: Accrual Expiration

Concept: Accrual Expiration

Accrual Expiration allows individual absence accruals to expire relative to the date accrued. By offering the flexibility to define expiration on a more granular level, like an accrual, you can more accurately track expiration and can better adhere to statutory, union, federal, and company policies.
You can set up accrual expiration in the
Expiration Override
 section of the
Time Off Plan Overrides
 tab on these tasks:
  • Create Accrual
    .
  • Edit Accrual
    .
Prioritization
Expiring balances refer to expiring carryover and expiring accruals. The expiring balance with the earliest expiration is used first when requesting time off.
If balances are expiring on the same day, Workday applies this prioritization to determine which expiring accrual balance to use first:
  • Scenario 1: If different accruals are expiring on the same day, Workday uses the accrual with the higher priority first.
  • Scenario 2: If the same accruals are expiring on the same day, Workday first uses the accrual that was granted first.
  • Scenario 3: If an expiring accrual and carryover balance expire the same day, Workday uses the carryover first.
    • This rule doesn't apply to accruals in a time off plan, if you select the
      Use Time Off Accrual Before Carryover Balance
       check box in the
      Carryover
       section of the
      Balance
       tab when creating or editing the plan.
Limitations
You can't remove expiration from an accrual, or an expiring accrual from a time off plan, if the plan has:
  • Absence input.
  • Accrual expiration overrides.
  • Time off plan balance overrides.
  • Limit overrides.
  • Stored time off balances .
  • Time off requests (regardless of status).
To avoid this, it is critical to ensure existing accruals have expiration added using an accrual snapshot date that's in the current or a future period. When creating new accruals with expiration defined for an existing time off plan, add the expiring accrual to the plan using a time off plan snapshot date in the current period or a future period to avoid this issue.
Workday doesn't support these accrual settings when an accrual has an expiration configuration:
  • Buy Time Off.
  • Calculation set to a Time Off Absence Component Related Calculation (ACRC).
  • Options.
  • Scheduling.
Workday doesn't support accrual expiration in these time off plan configurations:
  • Absence tables
  • Transfer balance
  • Balance period set to current period
    • You can't transfer balances from or to time off plans that have accruals with expiration defined.
Considerations
Touchpoint
Considerations
Upper limits
Expiring accruals respect time off plan upper limits, accrual limit overrides, and the option to ignore limits.
In the case time off is being accrued on the same day that it expires, the expiration occurs before the upper limit is evaluated.
Accrual adjustments
You can modify reference dates when processing adjustments for expiring accruals in the UI. The reference date selected determines when that accrual adjustment is granted, regardless of the accrual frequency method defined.
You can make accrual adjustments for expiring accruals outside of the accruing period, however, Workday doesn't support negative accrual adjustments.
Time off plan balance overrides
Overriding a worker’s time off plan balance, doesn't impact expiring accruals.
Termination adjustments
Termination adjustments take expiring accruals into consideration when zeroing out a worker’s balance.
Recommendations
When updating existing configurations:
  • Don’t change the existing balance period.
  • Create a new accrual snapshot when adding expiration to existing accruals and a new future time off plan snapshot when adding a new expiring accrual to a plan.
    Using the initial snapshot or a snapshot that's more than 3 months in the past can impact system performance and cause complications with balance calculations. Failure to use the appropriate effective dating may prevent expiration settings from being removed from the accrual.
  • Consider carryover dates if replacing expiring carryover with expiring accruals. Example: A Time in Lieu plan is configured with a Month to Date (MTD) balance period and has a carryover expiration rule of 2 months. Company ABC wants to adopt accrual expiration effective October 1st, 2024. These are the steps this company should take:
    • Accrual: Create new snapshot effective Oct 1, 2024 and add an accrual expiration rule of 3 months.
    • Time Off Plan: Create a new time off plan snapshot effective January 1, 2025, and in the
      Carryover
       section change
      Amount of Time Before Expiration
       to 0 months.