Leaving Holiday Pay: Questions Answered

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What you're owed for unused holiday when you leave a UK job, and the rules most people don't know — from carry-over to overtime in the rate.

Frequently asked questions

Is unused holiday always paid out?

Statutory accrued-but-untaken holiday must be paid on termination under reg 14 of the Working Time Regulations 1998. Contractual holiday above the statutory minimum depends on your contract.

Can carried-over holiday be paid out?

Since 2024, untaken statutory leave carried forward from earlier years must also be paid out on termination.

Does holiday pay include overtime?

Yes — holiday pay must reflect 'normal remuneration', including regular overtime and commission, using a 52-week average for variable pay.

Can my employer make me take holiday in my notice?

Yes, with the correct notice (twice the length of leave), which reduces the final payout.

How is a day's pay worked out?

Usually a week's pay divided by your working days per week; for variable pay, a week's pay is a 52-week average.

Do part-timers get holiday paid out too?

Yes — the same rules apply, with the 5.6-week entitlement pro-rated to their working pattern.