How does Radar calculate monthly leave accrual?

Please read on to find out how Radar calculates your employees' leave balance (or leave accrual).

Radar follows the BCEA to accrue leave automatically to employees in the following way:

  • For every calendar month that an employee is employed by a company, beginning at their start date, they will accrue the monthly portion of their leave entitlement captured on their Job page.

Radar has two methods of accruing leave to comply with BCEA regulations.

Below is an example of how the two different methods work. The employee used in the example will have a start date that is not the 1st of a month as the different methods will have no effect on these employees. 

Method 1 - Accrual on anniversary of start date:

An employee starts their employment on 15 May 2021 and is entitled to 15 days of normal leave a year (the BCEA minimum for full-time employees). This employee will earn their first 1.25 days (15 days/ 12 months) of leave on 15 June 2021 as this will be the date on which the employee has been working for the company for 1 calendar month.

Therefore, if the above employee took no leave and the employer made no other adjustments to the employee's leave during a year, the employee will have 15 days leave on 15 May 2022. 

Method 2 - Accrual always on last day of the month: 

An employee starts their employment on 15 May 2021 and is entitled to 15 days of normal leave a year (the BCEA minimum for full-time employees). This employee will be entitled to their first 1.25 days (15 days/ 12 months) of leave on 15 June 2021 as this will be the date on which the employee has been working for the company for 1 calendar month. Radar will however accrue the pro-rata portion for May 2021 on 1 June 2021. This means 0.685 days (1.25 days/ 31 days x 17 days) will accrue on 1 June 2021. 1.25 days will accrue in full on each subsequent first day of the month. 

The employee will have earned 15 days leave on 15 May 2022 but the system will not pro-rata the portion for first and second part of the month it will continue to accrue the full monthly accrual on the last day of the month (the employee will not loose any leave). 

Leave is allocated indefinitely, and there is no automatic expiry of leave currently.

All new clients from 1 November will automatically be onboarded with Method 2. Any existing clients who would like to switch can contact support@radar.co.za to make the change.

If you would like to find out more about making adjustments to accrued leave, please go here

Not quite what you were looking for? Contact support@radar.co.za for assistance.