Qtac uses the company pay period configuration in relation to an employees furlough start and end date to establish the number of furlough days within the period. An employees pay and claim values are pro-rated based on the number of days that they have been furloughed within a pay period.
Checking Pay Period Dates
To understand how many days an employee has been furloughed in a pay period, you must first check the pay period dates that are configured within Qtac.
- Navigate to Company > Company Maintenance
- Select the Calendar tab
- For the relevant period, a pay period end date is configured. The period runs from the day after the previous pay period end date, until the current period’s end date
As an example, tax month 2 has a pay period end date of 16/05/2020. The pay period for month 2 runs between 17/04/2020 (month 1 pay period end) and 16/05/2020.
Calculating Furlough Days in the Period
Once you’ve established your pay period date range, you can then take an employees furlough start date and calculate the number of days that the employee has been furloughed in the pay period.
An employee who was placed on furlough before the start of the pay period would have a full furlough period. However, if an employee was placed on furlough part way through a period their furlough days are calculated by taking the number of days between the furlough start date and the pay period end date (including non-working days).
Using the pay period example from above, the company has a pay period range of 17/04/2020 to the 16/05/2020 for month 2.
If an employee was furloughed on the 20/04/2020 their number of furlough days would be 27.
How does this affect the calculation?
When paying or claiming for an employee who has a part furlough period, the furlough pay should be pro-rated by the number of days that the employee has been furloughed in that pay period.
Qtac will carry out a pro-rated calculation automatically during the claim export and where enabled, whilst paying an employee. For more information on how to enable automatic calculation of furlough pay during the calculation of an employees pay view the Automatic calculation of furlough pay article.
A little bit about us...
Qtac, a recognised payroll solutions provider in the UK, has been serving businesses for 30 years. Specializing in both payroll software and outsourced payroll services, Qtac caters to small businesses, large corporations, and payroll bureaux. Our software, recognised by HMRC, streamlines the payroll process, featuring RTI submissions, workplace pensions management, and a cloud-based portal for payslips and employee self-service. This software is supported by top-tier customer assistance, ensuring a smooth payroll experience.
Additionally, Qtac offers tailored ‘white-labelled’ outsourcing services. These services are particularly attractive to accountancy firms, as they save time, reduce stress, and mitigate payroll-related risks. By outsourcing to Qtac, companies can be confident in the knowledge that their payroll needs are being expertly managed.
Qtac's solutions are not just about functionality; they are about building long-lasting relationships with clients, offering them a combination of technology and expertise. Their commitment to adapting to client needs and providing reliable, efficient services has established Qtac as a trusted name in the payroll solutions sector in the UK. In essence, Qtac simplifies and enhances the payroll process for a diverse range of clients, ensuring compliance, efficiency, and customer satisfaction.
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