Quick summary
Setting up annual leave in Xero Payroll requires navigating to Payroll Settings and adding a paid leave type under Pay Items. This process ensures employees' annual leave entitlements are correctly tracked and applied in your payroll runs.
Steps
- On Xero's main dashboard, go to the top menu bar and click Payroll.
- Select Payroll Settings from the list of options.
- Tap the Pay Items tab to proceed.
- Choose Leave from the available options.
- Tap the Add button in the top-right corner.
- Click Paid Leave to select the leave category.
- Fill in all required annual leave details in their respective input fields.
- Review your input and click Add to save the leave type.
- Confirm the leave type has been successfully added to your Xero account.
.gif)



