TERS ANNUAL LEAVE REIMBURSEMENT

Question

Good Day Everyone, 
 Our company has received our TERS payouts. Our staff had to take annual leave. I need to reimburse the annual leave with the TERS payouts. Does anyone know how to calculate it? Or do I simply divide the TERS amount received with the employee's rate per day? 
 Also, how are you guys processing this on the system? Are you simply adding it as extra leave for future use or are you actually cancelling the annual leave days booked on the system? 
 
 Your advice will be highly appreciated. 
 
 Kind Regards, 
 Yolandi

ShaniCloete · Accepted Answer

Good day Yolandi. In our document Covid-19 Relief Measures affecting Payroll, we do discuss the following: 
 An employer, who has required an employee to take annual leave during the period of the lockdown in terms of the BCEA may set off any amount received from the UIF in respect of that employee&rsquo;s Covid-19 benefit against the amount paid to the employee in respect of annual leave provided that the employee is credited with the proportionate entitlement to paid annual leave in the future. 
 TERS divide by 'annual leave remuneration per day' = amount of days to be refunded. 
 If the employee took 5 days leave and they were paid R5000 for these 5 days, and the TERS payment was R2500, your calculation will be: R2500/R1000 = 2.5 leave days to give back for future. 
 Then the line on which the R5000 was paid out on has to be reduced by the TERS payment and the TERS payment has to then be processed on the TERS line (IRP5 code 3602 for now). 
 Please let us know if you require any additional information.

Sage Payroll Professional

TERS ANNUAL LEAVE REIMBURSEMENT

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