Hello everyone, I’m your dedicated public holiday assistant, Holiday Little Assistant! Recently, someone reached out to me asking, “How much is holiday pay in the UK?” It’s a great question, and one that a lot of people wonder about. Whether you’re an employee trying to figure out your rights or an employer making sure you’re following the rules, understanding holiday pay is super important. So, let’s break it all down and make it easy to understand!

In the UK, holiday pay is a legal right for most workers, and it’s designed to make sure you’re paid fairly when you take time off. But how much you get can depend on a few things, like your job, your contract, and how you usually get paid. Let’s dive into the details so you know exactly what to expect.

What is Holiday Pay and How is it Calculated in the UK?

Holiday pay in the UK is based on your normal earnings. If you’re a full-time or part-time employee, you’re entitled to 5.6 weeks of paid holiday each year. That includes bank holidays, unless your contract says otherwise. For most people, holiday pay is calculated using your regular weekly pay. If your hours or pay change from week to week, your employer will usually average your pay over the last 12 weeks to work out your holiday pay.

For example, if you earn £500 a week, your holiday pay would also be £500 for each week you take off. But if you work irregular hours or get overtime, bonuses, or commission, things can get a bit more complicated. In those cases, your holiday pay should reflect what you normally earn, not just your basic salary. That means things like regular overtime or performance-related pay should be included in your holiday pay calculation.

How Much is Statutory Holiday Pay in the UK?

Statutory holiday pay is the minimum amount you’re legally entitled to. For most workers, this works out to 5.6 weeks of paid holiday per year. If you work 5 days a week, that’s 28 days of holiday (including bank holidays). But if you work part-time, the number of days will be less. For example, if you work 3 days a week, you’d get 16.8 days of holiday (3 days x 5.6 weeks).

The amount you get paid for each day of holiday is based on your normal daily pay. So, if you earn £100 a day, that’s what you’d get for each day of holiday you take. Keep in mind that some employers might offer more than the statutory minimum, so it’s always a good idea to check your contract.

What If I Work Irregular Hours or Get Overtime?

If your hours or pay change from week to week, your holiday pay should still reflect what you normally earn. This means your employer should look at your average pay over the last 12 weeks to calculate your holiday pay. For example, if you regularly work overtime or get bonuses, these should be included in your holiday pay. This is to make sure you’re not worse off financially when you take time off.

However, if your overtime or bonuses aren’t regular or guaranteed, they might not be included. It’s always best to check with your employer or look at your contract to see what’s included in your holiday pay.

Can I Carry Over Unused Holiday Pay?

In most cases, you need to use your holiday entitlement within the same year it’s earned. But there are some exceptions. For example, if you couldn’t take your holiday because you were on maternity leave or long-term sick leave, you might be able to carry it over. Some employers also allow you to carry over a small amount of unused holiday into the next year, but this isn’t a legal requirement.

If you leave your job, you’re entitled to be paid for any holiday you haven’t taken. This is often called “holiday pay in lieu.” Your employer should include this in your final paycheck.

To sum it up, holiday pay in the UK is a legal right, and how much you get depends on your normal earnings. Whether you work full-time, part-time, or irregular hours, you’re entitled to 5.6 weeks of paid holiday each year. Make sure to check your contract and talk to your employer if you’re unsure about anything.

Faqpro Thank you for reading, I hope this article can help you fully understand how much holiday pay is in the UK. If you have more questions, please contact us. Have a great holiday!