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Record employee holiday pay

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Summary

Steps on how to process holiday pay to an employee using Sage 50 Payroll.

Description

When an employee takes annual leave, you can include their holiday pay in their usual salary, or show it separately on their payslip.

Resolution

Set up a holiday payment

Set up a new payment for holiday pay. Use our set up and assign payments article to help you do this.

Using a separate pay element makes it easier to report on how much holiday pay each employee receives. 


Process holiday pay

You have two options to pay holiday pay to an employee.

If you use a Holiday Fund to accrue holiday pay, you can use this to pay your employees when they take holidays instead. Pay holiday fund to an employee

TIP:

 For help calculating the amount of holiday pay due to your employee, go to gov.uk or acas.org.uk