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Using Decimal Values in Years-of-Service Tiers
Using Decimal Values in Years-of-Service Tiers

Learn how automated accrual rate increases are calculated.

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Written by Brett
Updated over a week ago

For customers of our PTO module.


Automating Tenure-Based Accrual Rate Increases

Built has powerful accrual automation features, including the ability to automatically increase the amount of time off a person earns based on their tenure. The longer someone works for you, the more they can earn, and the system will Automatically Adjust PTO Amounts for Years of Service.

In most cases, companies increase accrual amounts on an annual basis. For example, an employee earns 80 hours per year until they reach their third anniversary, at which time they begin earning 120 hours per year.

Occasionally, though, we encounter a customer who increases accrual amounts on a frequency other than even yearly numbers. For example, an employee earns at a rate of 40 hours per year until they've worked for 18 months, at which time they begin earning at a rate of 80 hours per year.

Defining Years-of-Service Using Decimal Values

To support various accrual increase frequencies, Built allows decimal values when defining the "years" value of a years-of-service tier. Implementing the previous example would mean entering a value of 1.5 years (18 months) as the point at which an employee's accrual rate should increase.

To determine an employee's tenure most accurately, the system uses the current date to calculate what fraction the day is of the total year. A person who has worked 1.5 years will have reached the halfway point from their last anniversary to their next anniversary. Once the employee reaches that halfway point, they would then be eligible for the next years-of-service tier.

Note: Because months have varying numbers of days, the exact day at which an employee reaches 1.5 years in Built may not always correspond to 18 actual calendar months.

Please contact our customer success team for additional assistance.

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