How To Pay Compensation For Unused Vacation

Table of contents:

How To Pay Compensation For Unused Vacation
How To Pay Compensation For Unused Vacation

Video: How To Pay Compensation For Unused Vacation

Video: How To Pay Compensation For Unused Vacation
Video: Ousted Former City Correction Commissioner Wants Payment For Unused Vacation Days 2024, April
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Every employee who works under an employment contract is entitled to annual paid leave. If it is not used, the employer must pay compensation, which is calculated based on the average earnings. Moreover, if an employee quits, then he has the right to receive a sum of money for all days of unused vacation, even if the amount does not reach the required length of service for granting vacation.

How to pay compensation for unused vacation
How to pay compensation for unused vacation

Instructions

Step 1

First, it should be clarified that the annual paid leave is equal to 28 calendar days. This number can be increased if, for example, an employee works in the Far North or in areas close to it. Thus, if the duration of the vacation is 28 days per year, then for each month the employee is entitled to 28 days / 12 months = 2.33 days.

Step 2

Determine the billing period for which you are entitled to compensation. To do this, add up all the days when you were actually at work, absent for no more than 14 days for a good reason, or had forced absenteeism (for example, in case of late payment of wages). Please note that if a month has been worked out by half, that is, more than 15 days, then it is included in the calculation, if less, it is excluded.

Step 3

Calculate the number of vacation days you are entitled to. To do this, multiply the number of months by 2, 33. For example, engineer Ivanov worked for 5 months. Thus, 5 months * 2, 33 days = 11, 65, that is, 12 days. According to the law, the employer has the right to round numbers only upwards.

Step 4

Sum up the received wages for the entire billing period. Exclude from this amount material assistance, payments in the form of gifts, sick leave payments, travel allowances.

Step 5

Calculate the average wage per day. Based on the Labor Code, the average number of days in a month for calculating compensation, vacation pay is 29, 4. Thus, to calculate the average, divide the amount of all payments received by the number of months in the period and by 29, 4. For example, an engineer for 5 months work earned 60,000 rubles. Thus, 60,000 rubles / 5 months / 29.4 days = 408.16 rubles per day.

Step 6

Multiply your average daily earnings by the number of vacation days you are entitled to. For example, engineer Ivanov is entitled to 408.16 rubles * 12 days = 4897.92 rubles.

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