P4 Software / cifraHQ

Vacations

Vacations

CifraHQ tracks vacation entitlement and accrual for every active employee under Arts. 53–76 of Panama's Código de Trabajo. Employees accrue days automatically as Payroll periods are closed; supervisors review and approve requests through the approval queue.

Where to find it

  • Balances: Go to Payroll > Vacation Balances
  • Approvals: Go to Payroll > Vacation Approvals
Vacations page in CifraHQ.

Vacations, accrual balances and time-off requests for each employee.


Vacation accrual under Panama law

Panama's Código de Trabajo establishes the following vacation entitlement:

Rule Detail
Accrual rate 1 calendar day of vacation per every 11 working days
First accrual Employee must complete 11 months of continuous service before any vacation right accrues (Art. 76 CT)
Minimum entitlement 30 vacation days per year (approximately — derived from the 1/11 ratio)
Minimum uninterrupted leave At least 15 consecutive days must be taken in a single stretch when vacation is granted

The 11-month seniority requirement means new hires do not appear in the vacation balance until they have been with the company for at least 11 months. Their hire date is the reference point.


Vacation Balances page

The Vacation Balances page shows the current accrual status for every employee.

Column Description
Employee Employee code and full name
Hire Date Date employment began — drives the seniority calculation
Accrued Days Total vacation days earned to date
Used Days Total approved vacation days taken
Available Days Accrued − Used — the balance available for new requests
Pending Days Days on pending (not yet approved) requests

Click any row to view the employee's full vacation history — accrual events and all past requests.


Vacation Approvals page

The Vacation Approvals page shows all pending vacation requests waiting for a decision.

Column Description
Employee Who is requesting the time off
Start Date First day of the requested absence
End Date Last day of the requested absence
Days Requested Calendar days covered
Balance Available days at the time of the request
Status Pending, Approved, or Rejected
Submitted When the request was submitted

Approving or rejecting a request

  1. Open the request row.
  2. Review the employee's current balance (displayed in the detail panel).
  3. Click Approve or Reject.
  4. Optionally add a Note (required for rejections).

Approving a request:

  • Moves the request to Approved state.
  • Reduces the employee's Available Days by the number of days in the request.
  • Adds the period to the employee's leave history.

Rejecting a request:

  • Moves the request to Rejected state.
  • Does not affect the employee's Available Days.
  • The employee can submit a new request with different dates.

Vacation pay on termination

When an employee is terminated, they are entitled to payment for any unused vacation days at their current daily rate. CifraHQ calculates proportional vacation pay automatically in the Termination wizard:

Daily Rate = Monthly Base Salary ÷ 30
Proportional Vacation Pay = Available Days × Daily Rate

This amount appears as a line item in the termination liquidación and is included in the net liquidation total.


Tips

  • The 11-month rule is strict. An employee with 10 months and 29 days of service has zero accrued vacation in CifraHQ. They cross the threshold on day 335 (11 × 30.45 ≈ 335 calendar days from hire date).
  • Calendar days, not working days. Vacation requests span calendar days including weekends and public holidays. If an employee requests 5 calendar days from Monday to Friday, 5 days are deducted from the balance — not just the working days.
  • Minimum 15 consecutive days applies to the first grant. CifraHQ does not currently enforce this minimum through a hard validation — it is your responsibility to ensure the first approved leave block is at least 15 consecutive days.
  • Available balance can go negative. CifraHQ allows approvals even when Available Days is less than Days Requested. A warning is displayed; the decision is yours. Monitor balances to avoid excessive advance grants.

Related: Employees · Terminations · Payroll Periods and Runs

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