How do you calculate holiday pay for occasional workers?

hh-why-britain-needs-a-holiday-infographic

Almost all workers are legally entitled to 5.6 weeks’ paid holiday per year (known as statutory leave entitlement or annual leave). An employer can include bank holidays as part of statutory annual leave.

Self-employed workers aren’t entitled to annual leave.

But what if your workers work irregular hours, or are part time, or are casual occasional workers, how can you work out how much paid holiday they are entitled to, well actually its not as hard as you think, its based on an accrual of 12.7% per hour worked, here is a spreadsheet to help you calculate it.

Holiday Pay Calc

Calculating average hourly rate

To calculate average hourly rate, only the hours worked and how much was paid for them should be counted. Take the average rate over the last 12 weeks. If no pay was paid in any week, count back a further week, so that the rate is based on 12 weeks in which pay was paid.

steve@bicknells.net

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