Skip to content

Tenure-based accrual

Award additional time off based on how long an employee has worked at the organization.

Overview

The tenure-based accrual plugin grants extra days once employees reach specific seniority thresholds. You define tiers — for example, 2 extra days after 5 years, 5 extra days after 10 years — and the system accrues the matching amount based on each employee’s total employment duration.

There are two variants:

VariantBehavior
Recurring tenure (Tenure-Based Accrual )Grants a yearly-equivalent amount that accrues on a schedule (yearly, monthly, etc.) as long as the employee qualifies
Milestone tenure (Milestone Tenure-Based Accrual )A one-time award when an employee reaches a specific month milestone

How tenure is calculated

The system calculates an employee’s tenure from their employment start dates. If an employee leaves and comes back, configurable gap tolerance determines whether previous service counts.

Recurring tenure

Configuration

  1. Go to Settings › Policies and open a time off policy
  2. In the Accrual section, add the Tenure-Based Accrual plugin
  3. Configure:
SettingDescription
Tenure TiersDefine seniority thresholds (From Year) and the Days per year awarded at each tier
Accrual methodHow often accruals are granted: yearly at start of year, yearly on employment anniversary, monthly, every 2 months, or every 3 months
Year start monthThe month that starts the accrual year (not used with yearly on employment anniversary)
Maximum employment gap (months)Number of months allowed between employments while still counting prior service. 0 means any break resets tenure
Maximum daysOptional upper limit on the total days that can be accrued per year. 0 means no maximum
Prorate by working hoursAdjust accruals for part-time employees based on their FTE
  1. Click Save

Example

TierThresholdDays per year
15 years2
210 years3
320 years5

An employee who has been employed for 12 years matches tier 2 and earns 3 extra days per year. When they reach 20 years, they automatically move to tier 3 and earn 5 days instead.

Milestone tenure

Milestone tenure awards a single, one-time credit when an employee reaches a specific number of months of employment.

Configuration

  1. Add the Milestone Tenure-Based Accrual plugin to a time off policy
  2. Under Tenure Milestones , define milestones: each has an At Months threshold and the Days awarded
  3. Choose the Accrual Method : On Employment Anniversary or At Start of Vacation Year (with a Vacation Year Start Month )
  4. Click Save

Example

MilestoneDays awarded
36 months (3 years)1
120 months (10 years)3
300 months (25 years)5

When an employee reaches 120 months of employment, they receive a one-time credit of 3 days.

Related