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Administrator Guide
Last Updated: 2025-05-30
Example: Create an Earning for a Single Time Off

Example: Create an Earning for a Single Time Off

This example illustrates 1 way to create an earning for a single time off for these payroll countries:
  • USA
  • Canada
  • UK
This example is relevant to organizations in Payroll for Canada and the U.S. with employees in the U.S. and Canada that share a vacation policy.
For Payroll for Canada and the U.S., Global Modern Services wants their vacation time off tracked as a separate earning from sick time off and paid as
Rate * Hours
. Payroll administrator Sheila, creates an earning to calculate paid time off for vacation.
For Payroll for the UK, Global Modern Services wants their holiday time off tracked as a separate earning from sick time off and paid as
Rate * Hours
. Payroll administrator Sheila, creates an earning to calculate paid time off for holiday.
  • Set up base pay earnings to subtract paid time off from regular wages or directly from Gross or Net pay accumulations.
  • Security:
    Set Up: Payroll (Calculations - Payroll Specific)
     domain in the Core Payroll functional area.
  1. Access the
    Create Earning
     task.
  2. Name
     the earning:
    • PTO - Vacation Paid
       (CAN, USA).
    • Holiday - Paid
       (UK).
  3. In the
    Criteria
     section of the
    Effective Dated
     tab, create an eligibility rule to prevent the earning from resolving when the employee has no paid time off:
    1. Add a row for
      Worker Eligibility
       and select
      Create
      Create Value Comparison Calculation
      .
    2. Select
      Payroll
       as the
      Category
      .
    3. Enter these settings:
      Field
      Description
      1st Operand
      PTO - Vacation Paid - Time Off Paid
      .
      This absence component related calculation pulls paid time off hours or days into the earning calculation.
      PTO - Vacation Paid
       is the name of the time off definition in Workday Absence Management.
      Operator
      not equal to
      2nd Operand
      Select
      By Category
      Common
      , and then select
      0
      .
  4. Select
    Hours (Unprorated) * Rate
     in the
    Calculation
     field on the
    Calculation Details
     section of the
    Effective Dated
     tab.
  5. Select the
    Override Frequency
    Hourly
    .
  6. Select
    Prorate Using Calendar Days
    .
  7. Insert a row in the
    Related Calculations
     grid and enter these settings:
    Field
    Description
    Related Calculation
    Hours (unprorated)
    Default Calculation
    Payroll Input
    Override Calculation
    Paid Vacation Hours - (by Position)
    .
  8. Insert a second row and enter these settings:
    Field
    Value
    Related Calculation
    Rate
    Override Calculation
    Compensation: Compensation Element Value (using PC Frequency Override)
  9. Select the
    Compensation Element
    .
  10. In the
    Groups
     field on the
    Non-Effective Dated
     tab, select pay components as desired.