Example It's 2016 and we're calculating annual leave for an employee who started on 16/04/11. Each year since they started they were entitled to 160 hours of annual leave, and in the current year they are accumulating holiday pay which has not rolled into annual leave yet. We're going to calculate the total leave they have earned during their employment. Once we have that, we're going to deduct the leave they have already taken.
So our calculation looks like this:
16/04/11 to 16/04/12 = 160 hours 16/04/12 to 16/04/13 = 160 hours 16/04/13 to 16/04/14 = 160 hours 16/04/15 to current date = holiday pay
Our employee's leave entitlement is 480 hours (160 X 3) up to their last anniversary. Now we need to deduct the leave they have taken.
In this case the leave reports tell us that they took the following hours: 16/04/11 to 16/04/12 = 40 hours 16/04/12 to 16/04/13 = 160 hours 16/04/13 to 16/04/14 = 160 hours 16/04/15 to current date = 40 hours
This totals 400 hours of leave taken since the employee started. To determine the current entitlement, minus the leave taken from the total annual leave entitlement. In our example this is 80 (480 – 400). |