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From 1st 1 April 2011 it is legal for an employee to cash up to one weeks annual week of annual leave each year and take the money rather than a holiday.

Technically, a request A request to cash up annual leave must be made in writing by the employee.

The decision to cash up leave must be informed and voluntary. An employer  You cannot force make an employee to cash up annual leave.



 

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titleTo cash up holiday pay
  1. From the Front Screen front screen click Calculate Pays and select the employee you want to pay.
     
  2. Click Leave > Holiday Pay > Next > Cash Up Holiday Pay.
    The Cashed Up Holiday Window opens.
     
  3. Click Next, then click Next again.

  4. Click Enter Days Cashed and enter the number of days you have agreed to cash up, then click Go.

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    An employee can only cash up one week of their annual holiday, unless their employee agreement entitles them to more than four weeks and you have agreed to cash up the extra leave.


  5. Click Confirm Daily Rate, enter the daily rate, then click Go.
     
  6. Click Next and then Confirm to confirm the cashed up holiday pay. The Select Extra Pay Tax Rate window opens.
     
  7. Choose the rate which applies to your employee based on their annual income, then click Next, then click Confirm to finish the process.