In Sage HR, when you set up a time off policy, you can create several different types. Each type can help support different working arrangements or specific time‑off purposes.
Calendar Settings‑based policies
Calendar Settings‑based policies
Calendar settings‑based policies use standard working hours and fixed weekly schedules based on an employee's employment status. You set default working hours and define whether weekends or public holidays count as workdays.
These policies suit employees who follow consistent schedules.
Advantages
You set them up quickly and manage them easily
They calculate time off consistently for regular schedules
They provide predictable and transparent allocations
They work well with standard employment status and FTE rules
Disadvantages
They offer limited flexibility for varying schedules
They may not reflect real working patterns for part‑time or irregular staff
For details on how to create this type of policy, visit Create a calendar settings-based policy.
Working Pattern‑based policies
Working Pattern‑based policies
Working pattern‑based policies use each employee’s specific working pattern to calculate time off. The system applies an employee’s working pattern when calculating deductions.
These policies support staff who work different hours or days each week.
Advantages
They calculate time off accurately for varied hours
They adapt easily to flexible or changing schedules
They support diverse working arrangements effectively
They reduce errors caused by inconsistent schedules
Disadvantages
They require a correct working pattern setup for every employee
They involve a more complex configuration
For details on how to create this type of policy, visit Create a working pattern-based policy.
Labour‑based policies
Labour‑based policies
Labour‑based policies allocate time off based on hours worked or other labour metrics. Employees accrue time off from hours worked, FTE status, or working pattern values.
These policies support teams with fluctuating hours or shifts.
Advantages
They allocate time off fairly, using real work hours
They work well for variable‑hour staff
They integrate with timesheets when enabled
Disadvantages
They rely on precise time tracking
They increase the administrative workload
They may confuse employees because the calculations feel complex
For details on how to create this type of policy, visit Create a labour-based policy.
📎NOTE: In the UK, irregular hours workers accrue time off at 12.07% of the hours they work in each pay period. We have created Irregular hours policies for this.
Irregular hours policies
Irregular hours policies
Irregular hours policies support employees who work unpredictable hours or patterns. These policies allocate leave using approved timesheets or administrator‑reported hours.
Only employees marked as irregular-hour workers can use them.
Advantages
They support workers with unpredictable schedules
They calculate accruals using timesheets automatically
They meet regulatory requirements for irregular hours workers
Disadvantages
They apply only to employees marked as irregular-hour workers
Administrator reported hours until you're using the Timesheets module for automatic accrual
For details on how to create this type of policy, visit Create an irregular hours-based policy.