Add and assign a custom holiday group

Create a holiday group and add to it alternate or regional public holidays so your employee's leave calculates correctly on these days.

How it works

If you want to:

  • Add a holiday to an employee's profile so that their leave totals are adjusted to include specific holidays - Create a holiday group and assign it to the employees who take that holiday.

    For example, if you have an employee based in Western Australia (WA), you can add a group with WA public holiday dates and assign this group to them instead of the standard Australian holidays. When they apply for leave that includes a WA holiday date, Xero will not subtract the public holiday from their leave total.

  • Pay an employee a different rate for working on a public holiday, or simply include it on payslips - Use custom pay items or leave types to adjust their pay.

Add a public holiday to an employee's profile

  1. In the Settings menu, select Payroll Settings.
  2. Click the Holidays tab.
  3. Click Add Group.
  4. Name the holiday group.
  5. Choose whether to add existing holidays from another holiday group or to add a new holiday, click Add.
  6. Click Add Holiday.
    1. Name the holiday, such as Western Australia Day.
    2. Select a date for the holiday.
    3. Select the holiday group it is attached to.
    4. Click Add.
  7. Assign the holiday group to the relevant employees.

Pay an employee a different rate for working on a public holiday

There are two ways to manage this:

  • Create a custom pay item with the payment as 'Ordinary Time Earnings' and the Rate Type as 'Multiple of employee's ordinary earnings' so it can be set up to accrue leave.
  • Create a custom leave type for the public holiday as a 'Paid Leave' type and then add a leave request for the employees paid to work on these days.
This shows paid public holidays on your employee payslips, either at their normal rate or a penalty rate.

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