Leave Allocation
Leave Allocation credits leave balance to an employee for a specific Leave Type and Leave Period. While Leave Policy Assignment can generate allocations automatically, manual Leave Allocation remains essential for corrections, pro-rata joiners, compensatory leave credits, and one-off grants.
Help URL: smoothhiring.com/help/hrms/leaves/leave-allocation
Table of Contents
- Overview
- Where to find it
- Allocation vs. assignment
- Creating a leave allocation
- Key fields
- Bulk allocation
- Pro-rata for new joiners
- Adjustments and corrections
- Submitting and balance impact
- Tips
- Troubleshooting
- Related guides
Overview
| Aspect | Detail |
|---|---|
| DocType | Leave Allocation |
| Desk path | /app/leave-allocation |
| Sidebar | Leaves → Setup area / Allocation card |
| Status | Draft → Submitted (→ Cancelled) |
| Effect | Increases available leave for applications |
Without submitted allocation (or policy-generated equivalent), employees see zero balance and cannot apply for paid leave types.
Where to find it
| Access | Path |
|---|---|
| Leaves sidebar | /app/leave-allocation |
| Leaves workspace → Allocation card | Leave Allocation |
| Leave Control Panel | /app/leave-control-panel |
| Leave Policy Assignment | May auto-create linked allocation |
Reports to verify:
| Report | Path |
|---|---|
| Employee Leave Balance | Report: Employee Leave Balance |
| Employee Leave Balance Summary | Report: Employee Leave Balance Summary |
Allocation vs. assignment
| Document | What it does |
|---|---|
| Leave Policy | Defines entitlement template |
| Leave Policy Assignment | Links employee to policy for a period |
| Leave Allocation | Actually credits X days to employee balance |
Assignment is the instruction; allocation is the ledger entry. Smooth HR may create allocations when you submit assignment or run Leave Control Panel — but HR can always create standalone allocations.
Creating a leave allocation
Step 1: New allocation
- Leave Allocation → Add Leave Allocation.
- Employee — select recipient.
- Leave Type — e.g., Casual Leave, Earned Leave.
- Company — from employee.
- Leave Period — must match open period (e.g., "2026").
Step 2: Amounts
- New Leaves Allocated — days to credit (e.g., 12).
- Carry Forward (if shown) — days rolled from previous period.
- Total Leaves Allocated — computed sum.
- Unused leaves (read-only after period) — for reference.
Step 3: Dates
- From Date — allocation effective start (usually period start).
- To Date — allocation expiry (usually period end).
Step 4: Submit
- Save draft for review.
- Submit — balance immediately available for Leave Applications.
Key fields
| Field | Description | Required |
|---|---|---|
| Employee | Who receives balance | Yes |
| Leave Type | Category being credited | Yes |
| Leave Period | Fiscal leave window | Yes |
| Company | Employer | Yes |
| From Date | Effective start | Yes |
| To Date | Expiry | Yes |
| New Leaves Allocated | Fresh entitlement days | Yes |
| Carry Forwarded Leaves | From previous period | No |
| Total Leaves Allocated | New + carry forward | Auto |
| Leave Policy Assignment | Link if from policy | Auto |
| Description | Notes (e.g., "Pro-rata Q2 join") | No |
Bulk allocation
Use Leave Control Panel at /app/leave-control-panel:
| Action | Purpose |
|---|---|
| Allocate Leaves | Mass create allocations from policy |
| Grant Leave | Quick grant to filtered employees |
| Apply Leave Policy | Assign policy + allocate in one flow |
Steps:
- Select Leave Period and Leave Policy (or Leave Type + days).
- Filter employees by department, branch, or company.
- Preview employee list and days.
- Execute — review created allocations in Leave Allocation list.
- Bulk submit if drafts created.
Ideal for January 1 annual credit across entire workforce.
Pro-rata for new joiners
When an employee joins mid-period:
| Method | Steps |
|---|---|
| Manual pro-rata | (Annual entitlement / 12) × remaining months → New Leaves Allocated |
| Control Panel | Some configs auto pro-rata on policy assignment |
| Separate allocation | One allocation per joiner with calculated days |
Example: 12 annual casual leaves, joins October 1 in calendar-year period → Q4 pro-rata ≈ 3 days (policy dependent).
Document calculation in Description for audit.
Adjustments and corrections
| Scenario | Action |
|---|---|
| Over-allocated | Cancel incorrect allocation; create corrected one |
| Under-allocated | Additional allocation for difference (do not edit submitted) |
| Comp-off credit | Approve Compensatory Leave Request → allocate comp leave type |
| Year-end lapse | Negative adjustment via new allocation with 0 new + note; or encashment |
Never delete submitted allocations — Cancel preserves audit trail.
Submitting and balance impact
| Event | Balance effect |
|---|---|
| Submit allocation | +New Leaves Allocated (and carry forward) |
| Approved Leave Application | −Total Leave Days |
| Leave Encashment | −Encashed days |
| Cancel allocation | Reverses credit (if no applications consumed) |
Leave Balance Before Application on Leave Application reads live balance from submitted allocations minus approved usage.
Run Employee Leave Balance report after bulk allocation to verify totals match policy intent.
Tips
- Allocate before announcing self-service leave — employees frustrated by zero balance.
- Match To Date to Leave Period end — prevents applications beyond expiry.
- Use Description field — "Annual 2026", "Pro-rata", "Comp-off 15-Aug".
- Reconcile after Control Panel — spot-check 5 random employees.
- Coordinate with payroll — LWP types don't need allocation but must exist as Leave Type.
- Schedule year-start job — calendar reminder for HR to run bulk allocation.
Troubleshooting
| Issue | What to do |
|---|---|
| Cannot submit — duplicate | Allocation already exists for employee/type/period — cancel or amend |
| Balance still zero after submit | Hard refresh; check correct leave period on application |
| Wrong total | Verify New vs Carry Forward fields |
| Employee cannot see balance | Permission or wrong company on allocation |
| Policy assignment didn't allocate | Re-run from Control Panel; check assignment submitted |
| Cancel blocked | Dependent approved leave exists — cancel applications first |
Reconciliation with finance and payroll
Leave allocations rarely touch payroll directly, but Leave Without Pay balances do:
| Data point | Owner | Frequency |
|---|---|---|
| Leave balances | HR | Monthly |
| Approved LWP days | HR | Before payroll |
| Payment days on slip | Payroll / Finance | Each run |
Export Employee Leave Balance Summary alongside Monthly Attendance Sheet at payroll cutoff. Discrepancies between "on leave" attendance and approved leave applications should be resolved before Payroll Entry submit.
Audit trail best practices
| Practice | Benefit |
|---|---|
| Never delete submitted allocations | Cancel preserves history |
| Use Description on every manual allocation | Explains pro-rata or correction |
| Keep Leave Control Panel export | Evidence of bulk year-start run |
| Match allocation To Date to Leave Period | Prevents out-of-period applications |
Auditors commonly request January allocation evidence — prepare export in advance.
Related guides
Last updated: May 2026