Hi all
Is the holiday pay provision based on actual salary at the time of holiday , rather than at y/e ?
Eg : 31/03/16 holiday pay provision is based on salary at 25/07/16 ( where employee would go on leave)
Am I missing something ?
Thanks
Replies (1)
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Why have you posted twice within 10 mins?
Firstly this will only be an issue where the employers holiday year is Not co terminus with their financial year AND the amount is material
Second you look at the position at the year end only less any holiday actually taken - what they intend to do after the year end is irrelevant
Thirdly as a provision rather than an actual creditor and by definition due within one year the financial instrument query seems superfluous
If you fancy some complex calculations try interest free director or subsidiary loans