Leave Payments

(from the ATO's Business Implementation Guide)

Paid Leave

Services Australia will introduce the use of the disaggregation of payments of leave to inform the assessment of income tested payments that may be affected by leave payments received while still employed, or by accrued leave payments and termination payments received upon cessation of employment. Treatment of such leave payments is dependent on the payment type and whether the employment, to which the payment relates, is ongoing or terminated.

Additionally, itemising these components of paid leave better informs the ATO on minimum legal obligations for ordinary time earnings (OTE).

The paid leave types are:

Cash out of leave in service

Unused leave on termination

Paid Parental Leave

Workers’ Compensation

Ancillary and Defence Leave

Other Paid Leave


As an example, the Payroll Category used for Other Paid Leave should be mapped as per below: