Overdrawn Leave
It is the policy of the State of North Carolina to comply with all applicable federal and state regulations regarding overdrawn leave.
State Personnel Manual - Section 5 - Leave
The State Personnel Manual - Section 5 governs the State's policy on overdrawn leave.
A negative vacation leave balance cannot be carried over from one calendar year to the next and must be deducted from an employee's last payment for the calendar year. Additionally, a negative vacation leave balance at the time of an employee's separation is deducted from the employee's final paycheck. Overdrawn leave is deducted from an employee's pay on an hour-for-hour basis and is calculated to the nearest one-tenth of an hour (i.e., 1/10th of an hour for each six minutes overdrawn). The calculation of the deductible amount follows:
Step 1:
 |
Step 2:
 |
The six minute increment is based on the following table:
Minutes Worked |
Tenths of a Hour |
0 – 2 |
0.0 |
3 – 8 |
0.1 |
9 – 14 |
0.2 |
15 – 20 |
0.3 |
21 – 26 |
0.4 |
27 – 32 |
0.5 |
33 – 38 |
0.6 |
39 – 44 |
0.7 |
45 – 50 |
0.8 |
51 – 56 |
0.9 |
57 – 60 |
1.0 |
If at separation the remaining salary is not sufficient to cover overdrawn leave, the employing agency must recover the overdrawn amount directly from the former employee.
This policy applies to all State entities.
There are no exceptions to this policy.
There are no special terms for this policy.
| Adopted: July 1, 2005 |
Version: 2005-0701.01 |
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