Paid parental leave allows eligible employees who are the primary carer of a newborn or newly adopted child a period of leave from work paid at the National Minimum Wage, at the time if writing this period was up to 18 weeks.

For more information on the rules and eligibility for this payment, please refer to the FairWork Ombudsman documentation.


To pay the employees correctly through ClockOn you will need to do the following;

  1. Update the Employee card file
  2. Calculating the Hourly Rate
  3. Create Timesheet Entries

Update the Employee card file


Important: Before making any changes please make sure that you have the the Centrelink letter with the daily rate.

With the above information, you can now update the employee’s card file.

As good a practice step we recommend recording some detail against the employee's card file related to the payments and changes that are needed for the payments. You can recorded this in the General Notes section on the Employee Details Termination / Notes tab.


To access and update the details for this please follow the steps below.

  1. Open the Employee Details screen and select the Termination / Notes tab

  2. Select the General Notes section and record the following;
    1. The start date for the Paid Parental Leave
    2. Hourly Rate / Yearly Salary.


Switch to the Pay tab and update the following
  1. Hourly Rate: You need to adjust the Hourly Rate that is calculated from the Centrelink Day rate if the employee is on an Hourly based ruleset.

  2. Yearly Salary You need to adjust the Yearly Salary that is calculated from the Centrelink Day rate if the employee is on an Salary based ruleset. 



Calculating the Hourly Rate

(Centrelink Day Rate X 5 (days in the week)) / Number of hours per week (38 hrs)= Employee’s Hourly Rate

Example: ($139.00 X 5) / 38 = $18.2894

Centerlink values used in the example are a guide only


Calculating the Yearly Salary

(Centrelink Day Rate X 5 (days in the week)) * Number of weeks in a year (52)= Employee’s Yearly Salary

Example: ($139.00 X 5) * 52 = $36,140


Centerlink values used in the example are a guide only


Create Timesheet Entries

You will need to add timesheet entries for the employee for each payroll period (5 entries for weekly or 10 entries for fortnightly) each day needs to be 7.6 hrs of leave. This can be added for the whole Paid Parental Period. Then you can just process payroll as per normal.


Timesheets assigned to this leave type will process with the following conditions.
  1. They WILL accrue Long Service Leave if the accrual is set to process in Weeks,
  2. They WILL NOT accrue Long Service Leave if the accrual is set to process in Hours,
  3. They WILL NOT receive Super,
  4. They WILL NOT accrue Annual leave, 
  5. They WILL NOT accrue Personal leave,
  6. They WILL NOT receive Overtime rates,
  7. They WILL NOT receive Penalty rates.


To create the timesheets you will need to Timesheets screen select the employee and click on Add button.


On the Timesheet Details you will add the following:
  1. Select the Date Range you want add Leave entries for. In this example, I will be adding 5 days – Monday to Friday. If you wanted to add a fortnight be careful that you removed Saturday’s and Sunday’s after to create the leave entries
  2. Change the Type to be Leave
  3. Change the Category to be Paid Parental Leave
  4. Add 7.6 to the Time entry length
  5. Add a General Note
  6. Click on NOTE: you will need to Save and add General Notes for each record.

 

Once the details have been added use the Apply All button to create the set of shifts.