What Should Be Included in Holiday Pay?

Holiday pay is not always calculated only based on basic salary. In many cases, regular overtime, commission payments, and certain allowances must also be included. This is especially important for employees with variable hours or irregular income.

If holiday pay is calculated incorrectly, employees may receive less than they are legally entitled to. This can lead to complaints, payroll corrections, and additional costs for the business. In many cases, these errors go unnoticed for a long time and gradually build up into a bigger issue.

We help businesses review holiday pay calculations, identify potential payroll errors before they become a problem, and ensure full compliance with current UK employment regulations.