Payslips

[kaps84]

Hi Gurus,

I have come across a peculiar question/suggestion.

My accountant suggests that employees payslip should carry the 'Holiday Pay'. His opinion is that it is almost a mandatory requirement. This doesn't change the total pay made to an employee for the month.

Could you please shed some light if this is something that I should include in the payslips and get them amended?

Let me tell you accountant is not charging anything for this, it is just his suggestion ! (from visa perspective as well)


Next question comes that how the per day salary should be calculated (to calculate holiday pay), when the employee is working on an annual fixed salary.

For example, say, an employees earns an annual salary of 12k, monthly salary becomes GBP 1000

Now to calculate his per day salary (say for a month of 30 days, having say 8 days of weekend), calculation should be:

1) 1000 / 30 = 33.33 ?
or
2) 1000 / 22 = 45.45 ?

This is required to calculate the 'Holiday pay'. Say if an employee takes 2 holidays in a month, having an additional national holiday in that month. His holiday pay for that month will be:

1) 33.33 * 3 = 99.99 ?
or
2) 45.45 * 3 = 136.36 ?

[bizman]

your employees are entitled to a certain number of days as leave per annum, this are to be paid for. Also all official holidays are also to be paid for e.g bank holidays etc. so your accountant is right.

[10020132]

Accounts wise, may be he is right - i dont know
But visa wise, its not required. As I didn't do it and I got my extension without any problems related to that
So i think its okay to leave it as it is.
Ina nutshell you do have to give holiday pay, but it does not need to be weitten on payslip as holiday pay specifically

[bizman]

The accountant wont write it on payslip, but thats the normal way of calculating orelse your number of hours will fall short of expected 30hrs/week at the minimum.

[marcnath]

From the immigration rules point of view, it does not matter whether holiday pay is listed or not. I have never listed holiday pay in our payslips.
This is a good site to calculate daily pay from annual salary https://www.thesalarycalculator.co.uk/

[kaps84]

Thanks Gurus !

We had almost amended the payslips (except printing them) to include holiday pay. But I have now asked my account to revert any changes to payslip with regards to 'Holiday Pay'.

I have anyways maintained the employee holiday in my company records and I also believe that is sufficient.

It will now atleast avoid any confusion that CW might have had due to holiday pay showing separately on the payslips. Moreover, if they calculate the number of hours based on basic pay than now I am secure with respect to the number of hours they would calculate.

[zimba]

No one separates the statutory holiday pay from work days. Your accountant's claims are bizarre

[marcnath]

Thanks Gurus !

We had almost amended the payslips (except printing them) to include holiday pay. But I have now asked my account to revert any changes to payslip with regards to 'Holiday Pay'.

I have anyways maintained the employee holiday in my company records and I also believe that is sufficient.

It will now atleast avoid any confusion that CW might have had due to holiday pay showing separately on the payslips. Moreover, if they calculate the number of hours based on basic pay than now I am secure with respect to the number of hours they would calculate.

As per my understanding, the CW calculates number of hours by dividing the pay as shown in the FPS by the hourly rate you state in your application.

[bizman]

The accountant doesnt have to write holiday pay on the payslip

[Aabdulwaheed]

In all big companies like Tesco, Nationwide bank, Royal mail, Hyundai etc it always written on payslips "Holidays hours". As i had work experience in these companies. These companies have internal accounts departments who manage the payroll. It is very obvious if you employee somewhere you want to know how much you get paid for holidays and companies payslips provides all information.
As per visa requirement is is not mandatory to mentioned holiday hours or holiday pay in payslips. But in General it always show the holiday pay,

[kaps84]

Thanks Guys !

I have decided not to go with 'Holiday Pay' on the payslips. I do acknowledge that showing it on the payslip is likely not an issue either. However, in my situation, I would have to amend my payslips that I didn't wanted to personally.

Moreover, even if it may add a pinch of complexity for any CW, it's better avoided.

[bizman]

Just calculate the employee payment straight

[EmyOxford]

It is not mandatory to include 'Holiday Pay' on payslips. We have found some people started complaining that their employees were confused when they started showing the holiday pay section on the payslips, so as a default, we always suggest them to exclude it from the payslips. As for the salary calculations, you can use free tools like this to get accurate values.

I hope it helps, Emy

edited by moderator to remove profession of poster and company.

[CR001]

It is not mandatory to include 'Holiday Pay' on payslips. We have found some people started complaining that their employees were confused when they started showing the holiday pay section on the payslips, so as a default, we always suggest them to exclude it from the payslips. As for the salary calculations, you can use free tools like this to get accurate values.

I hope it helps, Emy

edited by moderator to remove profession of poster and company.

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