Understand what happens to unused days and negative balances when carryover is set to 0.
When you set the carryover limit to 0 days, the system treats positive and negative balances differently at the end of the cycle:
-If an employee has a positive balance (unused days), those days are automatically deducted, and nothing is carried over into the new cycle
-If an employee has a negative balance, that balance will carry over into the next cycle by default
To control how negative balances behave, you can adjust the negative balance settings:
Turn on Reset negative balances to zero at the end of each year to prevent negative balances from carrying over
If this setting is off, any negative balance will continue into the next cycle
This setup is useful if you want strict control over unused days while still allowing flexibility for employees who may go into a negative balance.