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How is holiday pay calculated?

Pay, sickness and leaving · Checked against gov.uk, Acas and nidirect on 26 October 2026. Updated .

A week's pay for a week off

You get a week's pay for each week of statutory holiday. If your hours and pay are fixed, that's simply your usual pay. If they vary, it's an average of the last 52 weeks you were paid. For at least 4 of the 5.6 weeks, “pay” includes regular overtime and commission, not just basic pay.

By how you work

How a week's holiday pay is worked out
How you workA week's holiday pay
Regular hours, fixed pay (full or part-time)Your pay for a normal week
Shifts with regular hoursYour average weekly fixed hours over the last 52 weeks, at your average hourly rate
Irregular hours or part of the yearYour average weekly pay over the last 52 weeks you were paid

Weeks with no pay are skipped, looking back up to 104 weeks. With under 52 weeks' pay, the weeks you have are used.

“Normal” and “basic” pay

Paid monthly?

Divide a month's pay by the hours you worked that month for your average hourly pay, multiply by your weekly hours for a week's pay, and average that over the last 52 weeks.

Example: regular overtime

You're paid £600 a week basic and do regular overtime worth £60 a week on average. For your first 4 weeks of holiday, a week's pay is £660, not £600.

An illustration of the rule; your figures depend on your own pay history.

Since 6 April 2026 employers must keep records of the leave you take and the holiday pay you get, for 6 years.

Sources

Checked on 26 October 2026. This is general information about the legal minimum in the UK, not legal advice: your contract can give you more, and can set its own rules for notice and carrying over. For help with your own situation, call the Acas helpline on 0300 123 1100 (England, Scotland and Wales) or the Labour Relations Agency on 03300 555 300 (Northern Ireland).

More questions

Does holiday pay include overtime?

Regular overtime, yes, for at least 4 weeks of your statutory holiday. Occasional overtime that isn't regular may not count.

Are bonuses included in holiday pay?

Not usually. Commission and regular overtime are; bonuses usually aren't.