Calculating accrued holiday HELP please

[bonitagbchica]

Right... Our nanny started in September and since then she has taken two full weeks holiday. I'm looking to give notice, but I'm trying to figure out if she's owed holiday... Can anyone help please?

Many thanks in advance.

Me. x

Need more details that that.

Specifics please:

Start Date
Termination Date
How many hours per week do they work
How many days per week do they work

Start: 6 September 2010
Intended notice period given: Friday, 18 Feb 2011
Intended last day (four weeks from notice period given) 18 March 2011
Hours per week: 16 (even if she does 5 hours, she gets paid for 16)
Days per week: weekdays, five mornings, and 2 or 3 afternoons.

Holiday entitlement can be a bit tricky to work out. Does your nanny work full or part-time?

Your nanny is entitled to 5.6 weeks holiday pa. If she is full-time, that equates to 24 paid days off per year (made up of 4 weeks standard leave and 1.6 weeks existing bank holidays)

If she is full time do the calculation like this:

28 (total # of days entitlement per year) / 52 (total # weeks per year) X (The # of weeks she has worked for)

I don't deal with this side of things at my agency, but i'm pretty sure that this is correct. Hope it helps!

Sally x

September 25/30 months
October-February 5 months
March 18/31 months

(5 + 25/30 +18/31) / 12 * 5.6 = 2.993 weeks.

So accrued 3 weeks, taken 2 weeks, 1 week to pay.

Think this might be right because she is part time?!

5.6 x 2(average worked days per week) = 11.2
11.2 / 52 (weeks p.a.) = 0.21
0.21 * 28 (weeks worked for)

= 5.9 Days entitlement

If this is right, she's taken too much already?!

So given the way the job is worked, holiday needs to be calculated in hours.

Using the BusinessLink Holiday calculator, I get 47.4 hours of annual leave entitlement, based on Start date of 6 Sept 2010 and leave date of 18 March 2011.

You say she has taken 2 full weeks of holiday, so that is 16 hours x2 = 32 hours.

So 47.4 - 32 = 15.4 hours

You CANNOT round down. You can round up to the nearest convenient amount... so depending on the pay, if .4 of an hour works then you can do that... though you may wish to round up to a full hour - that may be particularly useful if you don't want her to work all of her notice period, as you could ask her to take a week of the notice period off as paid holiday.

MrAnchovy and I agree on 1 week

Thanks so much everyone! =-D

That's interesting Nick, you have shown up an error in the Business Link calculator - it doesn't include the leaving day in the calculation for the holiday accrual which leaves this employee short by 1/4 of an hour, and a full time employee short by more than 1/2 an hour, which could make a big difference if you round up by the day!

Are you going to tell them or shall I?

I'll let you have that pleasure. Maybe all they need to do is adjust the instructions so that instead of putting leaving date, you enter the date of the following working day instead - would that then get the right figure?

Yes it would, but that's a bit of a kludge.

Government computation tools are notoriously prone to errors resulting from a combination of incomplete specification, poor implementation and indaquate testing. Any commercial organisation that did the same would find itself out of business due to refunds to customers and claims against its insurance.

Just ask anyone who has tried to use the HMRC PAYE calculation software on disk!

An error has just been discovered in the HMRC PAYE calculator which no producer of commercial payroll software would be able to get away with (because there is a testing regime they have to follow which the HMRC software is incapable of dealing with).

And they want to take over payroll processing!