Table of Contents
Introduction
Every December, employers and employees alike are faced with this question: what's going to happen to any unused vacation leave? 🤔 Luckily for employees, Maltese legislation allows up to 50% of one's annual leave entitlement to be carried over from one year to the next when it is unused.
Now, the final amount of unused leave you're allowed to carry into the new year varies from company to company, but the fact remains that many companies in Malta do let all their employees take some of their unused vacation leave balance into the next year.
Find out how Indigo lets you carry forward leave below 👇🏻or, if you're more of a visual learner, check out this video instead.
How to Carry Forward Leave in Indigo
When carrying leave over in Indigo, the carried-over balance is not added on to the new year's entitlement! Instead, it keeps the same code it was originally assigned and has a new expiry date set.
Using 2024 and 2025 as an example, this means that any VAC24 leave carried forward from 2024 to 2025 keeps the code VAC24 instead of being assigned to VAC25.
Go to Payroll & Leave > Leave > Leave Types.
In Leave Types, select the Leave Type to be carried forward and click Edit.
The selected Leave Type will open in form view and edit mode. In the Posting Dates section, update the dates for 'Allow post to' and 'Can Request to' with the applicable expiry date in the next year.
Click Save.
Finally, go to Payroll & Leave > Leave > Leave Type Priorities and double-check that the leave carried forward is a higher priority than the new year's leave.
Carrying Forward Leave with no Expiry
Carrying Forward Leave with no Expiry
If your organisation carries forward leave without any expiry date, then:
Go to Payroll & Leave > Leave > Leave Types.
In Leave Types, select the Leave Type to be carried forward and click Edit.
In the Posting Dates section, delete all the dates.
Click Save.
Finally, go to Payroll & Leave > Leave > Leave Type Priorities and double-check that the leave carried forward is a higher priority than the new year's leave.
🧠 Remember! You'll need to write or pay off any unused leave in excess of the amount that can be carried over (whether because employees have more than 50% unused leave by 31st December, or because your company only carries over a specific number of days/hours). Find out how here.