How To Calculate Vacation Pay Correctly

Table of contents:

How To Calculate Vacation Pay Correctly
How To Calculate Vacation Pay Correctly

Video: How To Calculate Vacation Pay Correctly

Video: How To Calculate Vacation Pay Correctly
Video: Lesson 5.4 Calculating Paid Vacation Days 2024, May
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The Labor Code of the Russian Federation should provide every person working under an employment contract with paid leave. The payment is calculated based on the employee's average earnings for 12 calendar months. Vacation pay cannot be lower than the amount calculated based on the average annual earnings. If an employee took a vacation earlier than 12 months later, then in this case, the average earnings are calculated based on the period of time worked. The worked period cannot be less than 6 months.

How to calculate vacation pay correctly
How to calculate vacation pay correctly

Instructions

Step 1

If an employee has worked for 12 months and received only a salary, then the amount of the salary is multiplied by 12 and divided by the number of calendar days in a year. The amount received will be equal to payment for one day of vacation.

Step 2

When calculating the amount for a vacation, it is necessary to take into account the amount of part-time work, overtime work and on holidays and weekends, as well as the amount of cash incentives and rewards. The total amount of earnings is calculated and divided by the number of calendar days in a year. The amount received is multiplied by the number of vacation days.

Step 3

Vacation, sickness, downtime, and business trip times are excluded from the billing period and are not taken into account when calculating vacation pay.

Step 4

Vacation is calculated on the basis of calendar days per year, excluding weekends and holidays.

Step 5

In the case of an incompletely worked out settlement period, it is necessary to calculate the amount of payments in this period and divide by the number of days actually worked for a given period of time. The resulting amount is multiplied by the number of vacation days.

Step 6

The amount of income tax of 13% is deducted from the amount of the vacation.

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