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Administrator Guide
Last Updated: 2026-06-12
Example: Set Up Pay Component Proration for Leave of Absence

Example: Set Up Pay Component Proration for Leave of Absence

This example illustrates how to set up pay component proration for a leave of absence for the following:
  • Payroll for the U.S.
  • Payroll for the UK
  • Payroll for Canada
  • Payroll for Australia
Jake goes on medical leave from 2017-01-10 to 2017-01-27. You want to enable pay component proration for Jake's base pay so that he receives a single paycheck for the pay period.
Create an earning for a worker's basic salary named
Base Pay (Position)
, based on a compensation element.
  1. Access the
    Maintain Payroll Proration Override
    report.
    You can drill into the
    Payroll Proration Event Category
    to edit the tenant settings.
    Security:
    Set Up: Payroll
    domain in the
    Core Payroll
    functional area.
  2. Select the
    Country / Territory
    .
    This page displays the proration settings in effect for the selected country or territory and proration event category.
    You can't enable pay component proration for leave of absence when there are in-progress pay results or in-progress retro pay results. To view in-progress results, run the
    All Pay Results Blocking Tenant Proration Option Changes
    report. You can't change the proration type after it's enabled and you've run and completed retro or completed payroll.
    Security:
    Set Up: Payroll
    domain in the Core Payroll functional area.
  3. Access the
    Edit Earning
    task for the
    Base Pay (Position)
    earning.
    Enter these values:
    Option
    Value
    Calculation Proration
    Select
    Prorate by Calendar Days
    to prorate Jake's pay by the number of calendar days in the period.
    Events Causing Pay Component Proration
    Worker-based Leave
    In the
    Related Calculations
    grid, verify that the relevant related calculations, such as salaried compensation or hours, have a
    Prorate by Calendar Days
    Proration Method
    .
    Security:
    Set Up: Payroll (Calculations - Payroll Specific)
    domain in the
    Core Payroll
    functional area.
  4. Select
    Time and Absence
    Manage Absence
    from Jake's related actions menu.
    Select a
    Leave Type
    of
    Medical Leave > Illness or Injury
    .
    Enter a
    First Day of Leave
    of 2017-01-10.
    Security: Configure the
    Request Leave of Absence
    business process and security policy in the Time Off and Leave functional area.
  5. Select
    Time and Absence
    Return Worker from Leave
    from Jake's related actions menu.
    Enter a
    First Day Back at Work
    of 2017-01-28.
    Security: Configure the
    Request Return from Leave of Absence
    business process and security policy in the Time Off and Leave functional area.
  6. Access the
    Run Pay Calculation
    task, and select Jake's pay group.
Jake's pay result displays 2 separate result lines for each subperiod. He’ll receive one combined paycheck for the pay period.
Pay Component
Subperiod
Base Pay
2017-01-01 to 2017-01-09
Base Pay
2017-01-28 to 2017-01-31