When using Period proration for sickness, you can choose to display the sickness deduction as a separate pay element. Instead of showing a reduced salary figure, the payslip displays the full salary amount with a separate deduction line. This makes it easier for employees to understand how their pay has been calculated.
Standard vs offset display
Display method | Payslip shows |
Standard | Reduced salary figure (e.g., £1,800 instead of £2,000) |
Offset | Full salary (£2,000) plus deduction line (Statutory Leave Deduction -£200) |
Both methods result in the same net pay. The difference is purely presentational.
When to use offset
Offset display is useful when:
Employees frequently query why their salary appears reduced
You want a clearer audit trail of sickness-related adjustments
Your organisation prefers a transparent payslip presentation
Set the company default
To set your default proration method for sickness, follow the steps below.
Click Settings, then click Payroll Settings.
Scroll down to Sickness settings, then click Edit.
Select your preferred proration method.
If selecting Period, choose whether to enable offset by default.
Click Save.
New sickness schedules will use this method by default.
Enable offset on individual schedules
When creating or editing a sickness schedule, follow the steps below.
Click Settings, then click Payroll Settings.
Scroll down to Sickness settings, then click Edit.
Select Period as the proration method
Enable the Show sickness deduction as separate pay element toggle.
The proration method summary will confirm your selection.
📌 Note: The offset toggle is only available when using Period proration - it does not apply to Standard or Manual proration methods.
Multiple schedules in the same period
If an employee has multiple sickness schedules in the same pay period, the system uses the proration method from the earliest schedule (by start date).
Deduction element treatment
The Statutory Leave Deduction is treated the same as prorated salary for pension and holiday accrual purposes. The deduction line is system-generated and cannot be manually edited or deleted.