Another Holiday Payout Question

Forums › Off topic › Another Holiday Payout Question

tinytersha

3 posts

Wannabe Geek

Topic # 93847 30-Nov-2011 20:39

HI there, I wonder if anyone could help me. I have resigned my job and have been working with the company for almost three years and have about just over 2 months leave due to me. I am on a fixed monthly salary
and have no idea how to work it out, my pay sheet also shows hours of leave due to me not days.

xpd

Chief Trash Bandit
9070 posts

Uber Geek
+1 received by user: 1408

Mod Emeritus

Trusted

Lifetime subscriber

Reply # 551980 30-Nov-2011 20:46

hours of leave / hours you work per day = days of leave

ie: 40hrs of leave / 8hrs per day = 5 days leave

Thats at its most basic....

XPD / Gavin / DemiseNZ

Server : i3-3240 @ 3.40GHz 16GB RAM Win 10 Pro Workstation : i5-xxxx @ x.xxGHz 16GB RAM Win 10 pro

https://www.xpd.co.nz - Games, geeks, and more G stuff.

tinytersha

3 posts

Wannabe Geek

Reply # 551995 30-Nov-2011 21:32

Thank you very much, figured that pretty much just had to double check

Neets

1376 posts

Uber Geek

Trusted

Reply # 551996 30-Nov-2011 21:33

tinytersha: HI there, I wonder if anyone could help me. I have resigned my job and have been working with the company for almost three years and have about just over 2 months leave due to me. I am on a fixed monthly salary
and have no idea how to work it out, my pay sheet also shows hours of leave due to me not days.

Are you asking how they'll calculate the Annual Leave payment on termination?
The annual leave you're accruing in the current AL year is calculated at 8% of your Gross Qualifying Earnings for the same period. If you have a salary and no additional allowances then you can probably work out your GQE and then multiply by 8%.
Your outstanding leave (and it sounds like you'll have some) will be paid out at whichever rate is higher, your currently hourly rate of pay, or the average rate from the last 52 weeks.

Some companies are very generous in that they not only pay bonus payments, they allow these payments to contribute to your AL GQE, therefore the 52 week average

So if you earnt $1000 a week in the last 52 weeks, and worked 2080 hours over the same period of time then the 52 week average rate is $52000 / 2080 = $25.00

If your salary increased part way through the year, say 26 weeks at $1000 and 26 weeks at $1100 then the calculation is $54600 / 2080 = $26.25. Your new salary is $57200.00 / 2080 = $27.50. Therefore your outstanding AL is calculated at $27.50 being the higher rate of the two.

The payment of your AL in the termination also counts to the GQE. Lets say your GQE was at last pay ending $43,000 and you have $5000 in Annual Leave Payments. Your GQE is bumped up to $48,000 and this is what the 8% is calculated on.

It's simple but it's not. When you're unfamiliar with the finer details of how the calculations are worked out it seems a bit daunting. When you're dealing with it on a week by week basis it becomes "normal".

Samsung Galaxy S5 SM-G900I

Neets

1376 posts

Uber Geek

Trusted

Reply # 551997 30-Nov-2011 21:35

tinytersha: Thank you very much, figured that pretty much just had to double check

haha, so while I was busy writing a novel you confirmed you only needed to know how to covert days to hours.

In which case I suggest you ignore my first reply as it might lead to a headache :)

Samsung Galaxy S5 SM-G900I