Holiday pay calculator: what a week, a day or an hour of holiday is paid in the UK

Worked examples

Fixed hours. Sam works 5 days a week for £520. A day of holiday is £520 ÷ 5 = £104; a week off is £520. If Sam also does 4 hours of paid overtime most weeks, that overtime belongs in the week's pay.

Variable hours, leave taken. Priya's pay over the last 12 weeks was £420, £380, £0, £455, £410, £390, £0, £430, £470, £400, £385 and £440 for 35, 32, 0, 38, 34, 33, 0, 36, 39, 33, 32 and 37 hours. The two unpaid weeks are skipped, so 10 weeks count: £4,180 over 349 hours, an average week of £418 and an average rate of £11.98 an hour. Three 7-hour days of leave are 21 hours: £251.58. With fewer than 52 paid weeks of history, the average uses what exists; with more, only the latest 52 paid weeks.

Rolled-up. Priya is paid monthly on a zero hours contract and the employer uses rolled-up holiday pay. In June she earns £1,093.06 for 86 hours. Holiday pay is 12.07% × £1,093.06 = £131.93, a separate line on the payslip, total £1,224.99. She still accrues 10 hours of leave for June (86 × 12.07%, rounded), which is unpaid when taken because it has already been paid.

The rules behind the numbers

• Normal pay, not basic pay. Regular overtime, commission tied to the work and regular allowances count. Paying holiday at basic rate to someone who usually earns more is an underpayment.
• 52 paid weeks, 104 back. For variable hours or pay, the reference period is the last 52 weeks with pay for work, counting back from the week before the leave; unpaid weeks are skipped and replaced, up to 104 weeks back.
• Rolled-up is for irregular hours and part-year workers only, in leave years starting on or after 1 April 2024, at 12.07% of total pay for the period, itemised on the payslip.
• Entitlement is separate from pay. How many days or hours are owed is in the holiday entitlement calculator: 5.6 weeks, pro rata, or 12.07% of hours worked.

Zero hours and casual staff in detail: zero hours contract holiday pay. Shift and unsocial hours payments in the average: shift allowance and unsocial hours. What an hour of staff costs once holiday is added: the UK employee cost calculator.

Frequently asked questions

How is holiday pay calculated in the UK?

For someone with fixed hours and pay, a week of holiday is paid at a normal week's pay, including overtime that is paid regularly and commission tied to the work. For someone whose hours or pay vary, a week of holiday is the average weekly pay over the last 52 weeks in which they were paid, skipping unpaid weeks and looking back up to 104 weeks.

What is the 52-week reference period?

The last 52 weeks in which the worker earned pay for work, counted back from the week before the holiday. Weeks with no pay are left out and replaced with earlier paid weeks, up to a maximum of 104 weeks back. With less than 52 paid weeks of history, the average uses the weeks available.

What is rolled-up holiday pay?

Paying holiday pay with each payslip instead of when leave is taken: 12.07% on top of the total pay for the period, shown as a separate line. It is allowed only for irregular hours and part-year workers, in leave years starting on or after 1 April 2024.

Does overtime count in holiday pay?

Yes when it is regular. Overtime paid regularly over the previous 52 weeks, commission linked to the work, and payments for length of service or qualifications are part of normal remuneration and must be reflected in holiday pay, at least for the 4 weeks of leave that come from EU-derived law.

How is holiday pay calculated for a zero hours contract?

Either rolled-up at 12.07% of each period's pay, itemised on the payslip, or, when leave is taken, at the average pay over the last 52 paid weeks. Holiday accrues at 12.07% of hours worked. The details are in the zero hours holiday pay guide.

How much holiday pay for one day?

A week's pay divided by the days normally worked in a week. £520 a week over 5 days is £104 a day; over 4 days it is £130. For variable hours use the 52-week average week as the starting point.