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Pay Out Entitlements

Before running year-end, Entitlements can be paid to employees in part or in full as part of finalizing the current year's payments. This should only be done according to your company policy, as this process can be run at any time during the year.

Generate entitlement pay will generate a batch with the amount of the entitlement pay. Once that batch is paid, the entitlement dollars will be taken from the employees' entitlements. If you want to remove units from the entitlements, this can be done in Initialize Entitlements.

  • You can pay entitlements at any time throughout the year, but they should be paid according to your company policy.

  • You can pay entitlements to different employees simultaneously or according to the anniversary date throughout the year.

Do you want to carry forward a certain amount of an entitlement, up to a predetermined cap? We’re here to help. Please contact Client Care for assistance.

When the Entitlement is Paid & Applicable Pay Groups

Generate Entitlement Pay will determine when the entitlement will be paid, and which employees will be paid, based on their employee pay group.

Step 1: Open Generate Entitlement Pay in the Avanti Desktop Application.
By default, this can be found in Canadian Payroll >> Entitlement Administration.

Step 2: Select the same pay Pay Ending Date for the Entitlement Pay.

Step 3: Select one of the Pay Groups that should have entitlements paid.

Additional Information
If the Pay Ending Date is not valid for the pay group, the ending date will automatically adjust to the next pay ending date after the selected date. 

Only Pay Groups with the Pay Ending Date will be available for selection.

How to Determine Which Employees Will Be Paid

You can exclude employees from having their entitlements paid out by selecting any combination of options on the Selections tab of Generate Entitlement Pay.

The default is to include all employees in the selected pay groups with no exclusions. All selections are based on the Employee Profile information at the time the entitlement pay is generated. Want to include all employees from the selected pay group(s)? Skip to the Select the Entitlements to Pay section below.

Employees can be excluded from receiving entitlement pay based on:

  • Employee - Select to pay the entitlement to a single employee.

  • Union - Select to pay the entitlement to employees in the same union.

  • Grid Codes - Select to pay the entitlement to employees with a specific grid code.

  • Positions - Select to pay the entitlement to employees with a specific position.

  • Vacation Groups - Select to pay the entitlement to employees in a specific vacation group.

  • Locations - Select to pay the entitlement to employees in a specific location.

  • Default Group - Select to pay the entitlement to employees in a specific employment default group.

  • Salaried/Hourly - Select to pay the entitlement to Salaried or Hourly Employees.

Additional Information
If you are excluding employees based on multiple criteria, employees must have the following to have entitlement pay generated:

  • match all of the selected criteria

  • be part of the Pay Group selected on Entitlement Definition. 

For example, if Vancouver is selected for Location and Hourly is selected, salaried Vancouver employees will not have entitlement pay generated.

Step 1: Select the Selections tab.

Step 2: Choose Selected for the option you would like to restrict employee on.

Step 3: Beside Selected, select the option that the employee must match to have entitlement pay generated.

Step 4: Repeat Steps 2 and 3 for each option you would like to restrict employees.

Select the Entitlements to Pay

Select which entitlement codes you wish to pay out when generating the entitlement pay. Only entitlements with accrual amounts can be paid. When the entitlement pay is generated, the system will indicate any selected entitlements without accrual amounts.

Step 1: Select the Entitlement Codes tab.

Step 2: Select the box beside an Entitlement Code you are paying.

Step 3: Repeat Step 2 for each Entitlement Code that you are paying.

Determine How the Entitlements Will Be Paid

For each entitlement code selected, you can choose an earning code to pay the entitlement and how much pay will be generated. The amount paid can be a flat amount or a percentage of the amount accrued.

Step 1: Select the Entitlement Calculation Method tab.

Step 2: Select the entitlement code, then select Modify.

Additional Information
An entitlement code will only display here if it is selected on the Entitlement Codes tab. Please see Select the Entitlements to Pay.

Step 3: Select an earning code to pay the entitlement to the employee(s).

Step 4: Select what will be paid from the following options:

  • Percent - Pay a percentage of the amount accrued for the entitlement.

  • Amount - Select an amount to pay from the entitlement.

Step 5: Enter the percentage of total accrual to payout or a fixed dollar amount in Value.

Step 6: Select Apply as Default to all Entitlement Codes if the following selections should apply to the other entitlement codes being paid:

  • Earning Code

  • Pay Basis

  • Value

Step 7: Select Generate Vacation Payout Override to pay out the entered percent of all the vacation type entitlements. If more than one Vacation type entitlement is used for employees, then all vacation entitlements will be paid out when this Override is processed.

Additional Information
This option is only available for selection if the entitlement is a Vacation Type, and Percent is selected for the Pay Basis.

Step 8: Select OK to save your changes.

Additional Information
If the earning code selected to pay the entitlement is not exempt from EI, a warning message will appear. Please review the earning code to confirm that exemptions are correct.

Step 9: Repeat Steps 2 to 8 for each entitlement you are paying out.

Review and Generate the Entitlement Pay

You’re now ready to review and generate the entitlement pay.

Step 1: Select Generate.

Additional Information
The entitlement pay will not be generated immediately. Before generating, all your selections and the employees' entitlement pay will display for you to review.

Step 2: Review the results to ensure the employees and pay are correct.

Additional Information
If you wish to save a copy of this listing for your records, select Print
 and then select where you would like to save this information.

Step 3: Once you are ready to generate the pay, select Continue.

Step 4: Confirm whether you’re ready to generate the batch with the entitlement pay.

  • Select Yes to generate the entitlement pay.

  • Select No to return to Generate Entitlement Form.

Step 5: Once Yes is selected and a batch with the entitlement pay is generated, a message will display with the batch number. Select OK to close the message.

Congratulations, a batch with the entitlement pay has been generated! Once that batch is paid, the entitlement dollars will be gone from the employees' entitlements. If you’d like to remove units from the entitlements, this can be done in Initialize Entitlements and Vacation.  

The next step in the year-end process is Ensure All Payroll Batches are Processed. 

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