How to correctly calculate the daily average earnings for calculating vacation pay - algorithm, formulas and examples

Calculation of average earnings for vacation pay

Every officially employed employee has the right to annual paid leave. This is stated in Art. 114 Housing Code of the Russian Federation. In addition, the vacation must be paid by the employer, based on average earnings for the last year. We are not talking about calendar years, but about working years. Each working year begins on the date on which the employee entered into an employment contract with the employer.

Each employee's annual leave is paid by the employer. But not every employee knows how vacation pay is calculated correctly. The amount of vacation pay depends on the employee’s earnings for his last working year, as well as on the number of days he actually worked this year. Wages from previous jobs are not taken into account.

To calculate the average daily earnings for vacation pay and compensation, you first need to decide on the billing period. Months for calculation are taken based on the employee’s last working year. For example, an employee got a job on June 15, 2015. To calculate vacation pay, you should take the period from 06/15/2015 to 06/14/2015.

If an employee did not actually work for the last working year and no wages were accrued to him (for example, a woman was on maternity leave), then the previous 12 months before this period should be taken for calculation.

To calculate the actual days worked in the working year, you need to know which periods are included in the length of service for calculating vacation pay and which are not. This is stated in Art. 121 Labor Code of the Russian Federation. The length of service that gives the right to leave includes the following periods:

• Actual work;
• Periods when the employee did not actually work, but his place of work was retained. For example, annual leave or maternity leave. Are vacation pay included in the calculation of average earnings for vacation pay? No, they are excluded;
• Periods of forced absence due to the fault of the employer;
• Vacation periods at your own expense, but not more than 14 calendar days per year.

When calculating the annual earnings of a particular employee, all “labor” payments are taken into account. This:

• Wage;
• Official bonuses that are specified in the employment contract. All bonuses are included - monthly, quarterly and annual. If the year is not fully worked, then the bonus is calculated relative to the time actually worked;
• Various compensations and payments. Previous vacation is not included in the calculation of vacation pay.

An employee becomes entitled to annual leave after six months of working for a given employer. In this case, leave will be provided “in advance”, and vacation pay will be paid “in advance”. If an employee decides to quit, a portion of his vacation pay will be deducted from his salary. To calculate the average earnings of this employee, a calculation period is taken equal to the period of his work with this employer. Income is calculated based on all payments taken into account for this working period.

Particular attention should be paid to the bonuses with which the employer has the right to reward its employees. If the employee has fully worked the pay period, then the quarterly bonus, just like the monthly bonus, will be taken into account when calculating average earnings on general terms

If the billing period is not fully worked out, then:

• Bonuses based on hours worked will be fully taken into account in the calculation;
• Bonuses, which are paid in a fixed amount, will be taken into account depending on the time actually worked by the employee.

A month is considered not fully worked in the following situations:

In a given month, an employee has 2 days of sick leave, but he worked 2 Saturdays. There are 22 working days in this calendar month, and the employee worked 22 working days. But a month cannot be considered fully worked, since sick leave days are not taken into account when calculating average earnings

And it doesn’t matter that the employee had overtime; the employee got a job on January 12, immediately after the New Year holidays. It was the first working day in January after the New Year holidays

For January he was paid his full salary, since he worked all working days in that month. But such a month cannot be considered fully worked, since a fully worked month is counted in calendar days. And it doesn’t matter that there were days off from January 1 to January 12.

A month is considered fully worked if the employee has not missed a single calendar day.

Formulas

To calculate the average daily earnings, it is necessary to add up the payments taken into account for the billing period and divide by the time worked in calendar days.

Formulas for calculation:

Average earnings = Income for the billing period / Time worked in the billing period.

Income = Amount of payments taken into account (you must exclude all those incomes that are not included in the calculation).

Time worked = 29.3 * Number of full months + Days worked in partial months

Days worked in an incomplete month = Calendar days worked in the month * 29.3 / Calendar days of the month.

Thus, in order to correctly calculate daily earnings, the accountant must first calculate how much was worked over the last 12 months, then add up all payments, subtract unaccounted amounts, and then carry out the division.

The resulting daily average earnings are multiplied by the number of days of annual leave, the result is the amount of vacation pay.

Vacation pay is paid to the employee after deducting 13% income tax, as well as amounts under writs of execution, if any, for example, alimony.

Below is an example of how to correctly calculate the average daily earnings of an employee when he goes on vacation.

Indexation of earnings

Additionally, you should consider the possibility of salary increases. A salary reduction is not adjusted, but an increase is. If wages increase, we must reflect this indexation on vacation pay.

We look at whether wages have increased or not within the pay period. If it has increased, we divide the new wage (tariff rate, salary) by the one that was before the increase. Let’s remember our example: the employee has been on vacation since June 4, the billing period is until May 31. Let’s assume that an employee’s salary was increased on July 1. Before this, the salary was 10,000 rubles, but it became 15,000 rubles. Coefficient – ​​1.5. We must multiply previous payments by it. That is, for June in the billing period of last year, we must take an increased salary of 15,000 rubles. What to do if the increase occurred after the billing period? Multiply the average daily earnings that were calculated by this coefficient. Sometimes a promotion occurs after your employee has been on vacation. You must calculate by the days when such an increase occurred, index his vacation pay, and when the employee returns (or after payment by bank transfer), return this part of the vacation pay to him.

What is considered a salary increase? The salary can be raised for one employee, or for everyone. What does “everyone in a row” mean? - this is an increase in wages for the entire organization, its branch, or structural unit. The definition is taken from paragraph 16 of the Regulations on calculating average earnings. In this case, indexing is carried out. The concepts of “organization” and “branch” do not need explanation. What is a “division”? Is this a separate division or something else? It happens that in large organizations there are departments, departments, they can also be called divisions. In paragraph 16 of the resolution of the Plenum of the Supreme Court of May 17, 2004, you will see that by “structural unit” we must understand both branches and representative offices, as well as departments, workshops, and sections. You have the right to use indexation when calculating average earnings, having described this procedure in internal documents, for example, in the staffing table, where you will indicate all departments and the employee’s subordination.

By recognizing a unit as an entire department, you improve employee rights. Let's say you have five people in your department. Four had their wages increased, one did not. In this situation, indexing is not necessary. All organizations, especially commercial ones (definition of the Constitutional Court dated July 17, 2014 No. 1707-O), are required to index salaries at least once a year. You describe the indexing procedure in internal documents.

Determining average earnings for calculating vacation pay

Now you need to correctly calculate the number of days in months that are not fully worked. To do this, you need to use the formula: 29.3 / K * (K - IskD), where K is the number of calendar days in an incompletely worked month, IskD are calendar days that are excluded from this month.

For example, an employee wants to go on vacation in July 2021. The billing period is from June 2015 to July 2021. In the calculation period, he was sick for 17 calendar days in October and 11 calendar days in March. Thus, to calculate the average salary for vacation, he worked 29.3 / 31 * (31 – 17) = 13.23 days in October, and in July 29.3 / 31 (31 – 11) = 18.9 days Thus , the employee worked 10 full months and (13.23 + 18.9) = 32.13 working days.

https://youtube.com/watch?v=zLND_JRrYfw%26list%3DPLWe862iyIP1x9Hdh1cgfG12IiSxSTs8qU

During the billing period, the employee received 652,000 rubles, including:

• bonus in the amount of 84,000 rubles;
• compensation for training – 52,000 rubles;
• compensation for lunch – 30,000 rubles;
• sick leave payments – 17,800 rubles.

The amount of the bonus that is taken into account for calculating vacation pay will be equal to: 84,000 / 247 * (247 – 13.23 – 18.9) = 72,937.17 rubles. The annual income of this employee was: 652,000 + 72,937.17 – 52,000 – 30,000 – 17,800 = 624,137.17 rubles

The average earnings of this employee for 1 working day in the billing period will be equal to: 624,137.17 / (29.3 * 10 + 32.13) = 1,919.65 rubles.

Legal leave

According to the Labor Code, every person who is officially employed has the right to an annual paid calendar vacation. On average, it lasts twenty-eight days (although employers often prefer that their employees break the vacation into several parts of seven to ten days), and every day of such vacation is paid.

Vacation is due every year if the employee has already worked a full eleven months, but by agreement with the boss, you can ask for official vacation even after six months from the first working day. And in some cases, for example, if the employee is a minor, he can ask for leave without waiting for a six-month period - and the employer does not have the right to refuse him and must agree to the conditions of his employee.

Calculating vacation pay for an incomplete pay period is a very pressing issue.

Back to contents

Calculation of the number of vacation days

We will create a program to control the number of vacation days due to an employee. Public holidays are not included in vacation periods. Therefore, first we will make a table in Excel with public holidays.

To convert text format to numeric, use the DATEVALUE function.

The formula combines the values ​​of cells B3, C3 and the result of the YEAR function. To show the dates of holidays in the past year, set “-1”. Next year – “+1”. For the column for 2021 – “+2”.

On the 2nd sheet we will make a table to calculate the number of days due for vacation.

This is the first block of the table. In the second block we will show the total length of service, how many days worked during the period and how many days of vacation the employee is entitled to. Block header:

To automatically set the current date, use the TODAY function.

To calculate the total length of service as of the current date, we use the formula:

The number of days worked is the difference between the current date and the reception date (=D$3-C4).

To find how many vacation days have been accrued as of the current date, we use the following formula:

We multiply the formulas over the entire column.

Third block - let's find the calculation period for the number of vacation days for the first year. The beginning of the period is a link to the cell with the date of hire. We find the end of the period using the formula: =DATEMES(G4;12)-1, where G4 is the beginning of the billing period.

The fourth block is data on vacations for the period. We enter the number of vacation days and the start date manually. We create an auxiliary column for calculating the end date of vacation taking into account holidays. Formula:

Excel adds the number of days minus 1 to the starting vacation date. Then it checks for holiday dates in the range. If any, adds their number to the number of vacation days.

Formula for calculating the end date of vacation:

The total number of days off was found using the formula: =IF(OR(I4="";J4="");0;I4+I5).

Using the same algorithm, we generate data for the second, third and subsequent years of work. At the end of the plate you can give a summary column where the number of days remaining for vacation will be calculated.

What does the SZP consist of?

The calculation of the SWP includes all types of payments used at the enterprise, which are provided for by local regulations:

• Salary according to the staffing schedule, or payment for hours of work (according to the tariff);
• Allowances for working at night, as well as on weekends and holidays;
• Bonuses and allowances for combining job responsibilities and expanding service areas;
• Payment according to orders for piecework;
• Incentive payments;
• Long service allowances;
• Allowances for working with information containing government documents. secret;
• Bonuses for having a certificate of honor or an academic degree;
• Payment for checking notebooks and written work;
• Payments to state and municipal employees;
• Regional coefficient, northern allowances;
• Payment in kind.

The following are not included in the calculation of the SWP:

1. Sickness benefit;
2. Payment of vacation pay;
3. Vacation payments for the time you are on a business trip;
4. Bonuses paid at the end of the year (it should be noted that the annual bonus is included in the calculation of the average salary, in proportion to the number of months worked);
5. Payment for maternity leave;
6. Material aid;
7. Payment for meals during a business trip;
8. Payment for utilities;
9. Payment for training and advanced training.

How long is the vacation taking into account the postponed day off?

Non-working holidays. According to Article 120 of the Labor Code of the Russian Federation, non-working holidays falling during the vacation period are not counted among vacation days. That is, if an employee takes a vacation, say, from June 1 to June 14, then they should be paid for 13 rather than 14 calendar days, since June 12 is a non-working holiday (Article 112 of the Labor Code of the Russian Federation).

Postponed holidays. Every year the Government of the Russian Federation postpones days off that coincide with non-working holidays. The corresponding normative act must be officially published no later than two months before the calendar date of the established day off (Part 5 of Article 112 of the Labor Code of the Russian Federation).

Accountants often have a question: is it necessary to pay for a rescheduled day off during vacation? The answer is yes. The Labor Code only talks about excluding non-working holidays from the vacation period. And weekends, postponed or not, are included in the vacation period in the general manner.

Factors to consider

The calculation is affected by:

• Number of vacation days. The vacation period does not include holidays established in Article 112 of the Labor Code of the Russian Federation: International Women's Day, Spring and Labor Day, etc. (we talked about what to do if holidays fall on vacation here, and from this article you will learn , how to calculate vacation and its payment during the New Year holidays).
• Average daily earnings.

Billing period

Billing period is the period of activity of a legal entity, which is calculated in calendar months . Its minimum value is 1 month, maximum – 12.

The concept is used to establish the amount of vacation pay and other payments to employees. If an employee has not actually worked for the last year, the previous 12 months are taken for calculation.

How long does it take to get a salary?

The period for which salary is taken to calculate vacation pay depends on how long the employee has worked at the company. It cannot be more than 12 months. The billing period ends on the last day of the month that precedes the month of vacation.

Example. Vlad rested from July 23 to August 7. Let's determine for what period vacation pay should be calculated. The billing period for it is from July 1 to June 30. If the employee has worked for less than a year, then the pay period begins from the day he returns to work until the last day of the month preceding the vacation.

Is it possible to change the period?

The Labor Code allows you to change the pay period. It is imperative to indicate the fact of establishing a new pay period in a personal or collective employment contract.

Average earnings

Average earnings - the average salary, which is calculated from the amounts received in the past period. The indicator is used to calculate vacation pay, to pay benefits and in other cases.

In what situations is it necessary to calculate the average salary?

When concluding an employment contract. The employee and the employer negotiate wages appropriate to the position held. Its size, as well as other guaranteed payments to the employee, are indicated in the contract, along with this, the types of deductions are also indicated.

There are situations in production when wages are paid not for actual time worked, but based on the average monthly wage (AMS).

SWP is the ratio of the actual accrued salary for a period of time to the actual time worked for this period.

Often you may be required to provide a certificate of FFP. It can be provided:

1. To social protection authorities;
2. To the labor exchange;
3. To the pension fund for calculating labor pension;
4. To the bank, when applying for a loan;
5. To the courts, to calculate compensation for absenteeism due to the fault of the director of the enterprise.

In these cases, an indicator such as the average monthly salary is required. This indicator is usually calculated over three or six months.

There are periods in the labor process when an employee does not fulfill his job duties for some reason, but these periods must be paid by the employer. This payment is calculated based on the average daily earnings.

These include:

• Temporary disability;
• Annual paid vacation;
• Maternity leave;
• When an employee performs outside work, by order of the manager, but at the same time his earnings are retained (public works, negotiations);
• When calculating severance pay when reducing a position in the staffing table;
• In case of dismissal, when calculating the final payment;
• When calculating travel expenses;
• When calculating vacation pay for the period of study;
• When forced downtime occurs due to the fault of the authorities;
• Salary calculation for the day of the donor;
• Payment for days to undergo a mandatory medical examination;
• During the period of military retraining.

What is included in the calculation of average earnings for vacation pay in 2018

The question of what is included in the average salary for a vacation is fundamental in the calculation. The following payments should be taken into account:

• wages for the entire specified period;
• bonuses, allowances, additional payments in all categories, if they are included in the norms of the Labor Code or contract.

Separately, it is worth considering those items that should be excluded from calculating the total amount. These are payments such as:

• funds issued for a business trip or sick leave, as well as payment for temporary disability;
• various types of compensation for food or use of public transport.

The indicated amounts are calculated for the last year. If the length of service at a given workplace is less, the average earnings for vacation pay are calculated based on the period worked.

Are vacation pay included in the calculation of average earnings for vacation pay?

The question of whether vacation pay is included in the calculation of average earnings arises in situations where vacation has already been partially provided. For example, after six months an employee took two weeks of rest, and then at the end of the working year he applied for the remaining two weeks.

When calculating average earnings, vacation pay is not taken into account. This provision is based on the fact that this income is not actually a salary. That is, it is not included in wages.

Separately, it is worth pointing out the situation when, during the specified period, wages were not accrued as required. For example, an employee was on maternity leave, first for pregnancy, and later to care for a child up to one and a half years old. The question arises of how to calculate leave after maternity leave if no wages have been accrued and due maternity payments do not count.

In this situation, vacation pay is calculated based on the same period for the previous year. That is, initially, for vacation in November 2016, the period for November 2015 - October 2021 should have been considered. But since the employee was on maternity leave all this time, the period from November 2014 to October 2015 is considered instead. If during part of this period she was already on maternity leave — it is excluded from the calculation.

An important condition for this is the availability of wages. If, while on maternity leave, the employee continues to work half-time, the calculation is made based on these payments.

Vacation and salary

The law provides for the replacement of part of the vacation with monetary compensation if it exceeds 28 days. Replacement of main or additional leave is prohibited. Upon dismissal, the employee receives compensation for unused vacation. Unpaid leave is provided at the request of the employee. The duration is determined by agreement. In addition, it is possible to divide the main vacation into several parts, provided that one of them is more than two weeks. This is justified by the fact that a company cannot always do without an employee for 28 days. There are many production problems that need to be solved. With the consent of the employee, his main leave is divided into several parts, which he can use at a time convenient for him and the company.

An important part of the labor relationship for an employee is the money issue. Namely, how to correctly calculate vacation pay? Calculation of the average salary for vacation is carried out according to a simple scheme

It is based on three parameters:

• duration of the billing period;
• average daily earnings;
• duration of vacation in days.

To calculate the amount of vacation pay, you need to multiply the average daily earnings by the rest period (number of days). The resulting number is the amount of required payments. In accordance with Resolution No. 922 of December 24, 2007, the amount is calculated. Some features need to be taken into account:

• if an employee takes a vacation after eleven or twelve months, then the calculation period will be equal to a calendar year (time worked);
• if an employee wishes to take leave after six months, then the calculation period is six months;
• if an employee for some reason did not take vacation in the previous year, he has the right to compensate for unused days (take vacation).

Since April 2, 2014, the coefficient, which indicates the average number of working days in a month, is equal to 29.3.

When calculating your salary for vacation, you need to be careful. The composition should not include payments that are compensation or rewards. Article 139 of the Code specifies the procedure for calculations. All calculations can be made quite easily, provided that the employee worked without passes or unexpected stops. In this case, the standard scheme is used. First, calculate the average daily earnings for the billing period. They take the salary for each month worked and multiply, if available, by coefficients (for example, for hazardous working conditions, etc.). The resulting number is divided by the number of months of the billing period and by 29.3. The amount received is the average daily earnings. We multiply this number by the number of days of expected vacation. The result of the calculations is the amount of the employee’s vacation pay.

Let's give an example. The employee’s salary for the period from 05/08/2014 to 11/15/2014 was 24,500 rubles. He wants to use 10 days of vacation. There are no coefficients for his type of activity. He worked completely for the specified period. The amount of vacation pay is calculated as follows. The total number of calendar days is 199, worked days are 142:

(24500x142)/142/29.3 = 836.18 rubles; 836.18x10 = 8,361.8 rubles.

The employee's vacation pay is 8,361.8 rubles. This is a rough estimate. If there are days on which the employee was absent due to illness or other reason, they are deducted from the total amount of time worked (only days actually worked are used in the calculation).

In companies, the accounting department is usually responsible for calculating vacation pay. But sometimes, when controversial situations arise, it becomes necessary to clarify the amounts received. Knowing the main points, an employee can independently check whether the average salary for vacation was calculated correctly. If violations are identified and the employer is unwilling to compromise and understand the current situation, he can go to court to assert his rights.

Calculation of vacation pay upon dismissal of an employee

If an employee resigns, the employer must fully settle the amounts due with him. This also takes into account compensation for unused vacation or deduction for vacation used on credit. For example, if an employee took a premature vacation with credit, and then decided to quit without working for a full year, the head of the organization has the right to withhold compensation from the calculated compensation.

Payment/withholding of vacation pay upon dismissal of an employee occurs when:

• dismissal occurs in the middle of the working year, in which the employee did not have time to go on vacation;
• vacation must be compensated for the past year;
• the employee has already taken rest in advance, but has not worked the required number of months.

Upon dismissal, the amount of settlement money is adjusted by the amount of compensation for unused vacation (+) or by the amount of vacation pay received in excess (-)

Important: in all of the above cases, the due compensation is calculated based on the average earnings deducted for vacations; actual earnings are not taken as a basis.

To calculate the period of non-vacation before dismissal in an incomplete year worked, multiply the number of vacation days allocated for each month (2.33 days) by the number of months worked.

You can also receive compensation for the previous year if the employee did not rest for two years in a row.

It should be remembered that you should go on vacation and receive funds every year, otherwise the employer will be held accountable. Upon dismissal, an employee can receive a maximum of compensation for the year of dismissal and the previous one.

Calculation of average daily earnings for accrual of vacation pay

When calculating vacation compensation, we must use the following formula:

• SDZ – average daily earnings;
• FZP - actual accrued wages for the 12 months preceding the accrual of vacation pay;
• RP – billing period, number of months worked for this year;
• 29.3 – average number of days in a month.

The billing period is usually twelve months; it is used when calculating travel allowances, study leave, and annual paid leave. But in case of dismissal, it may be less than 12, that is, the employee has not fully worked the conditional working year.

For example, an employee was hired on March 11, 2005. The period for calculating annual leave is considered to be 12 months (from March 11, 2015 to March 10, 2021). If the employee quits on February 2, 2021, then the pay period will be considered 10 months (from March 11, 2015 to January 10, 2021)

Example of vacation pay calculation:

Employee Ivanov I.I. went on vacation by order from February 15, 2017. Before the vacation, Ivanov I.I. I didn’t get sick, I didn’t go on a business trip, I didn’t take vacation at my own expense. His salary for 12 months amounted to 45,600 rubles.

We calculate the average daily earnings: 45,600 rubles/351.6 days. = 129.69 rub.

The amount of payment for vacation will be: 129.69 rubles * 28 days. = 3631.32 rub.

351.6 days – this is the average number of days for 12 months. (29.3*12).

When dismissing an employee, the accountant is required to issue a certificate 182n. 2-NDFL. With their help, the accountant at his next place of work will be able to calculate the FFP.

EWP is an economic indicator that reflects the ratio of the real income received by an employee to the real time he worked.

In all cases when its calculation is required, the accountant must remember that the size of the FFP cannot be lower than the minimum wage. installed in the Russian Federation.

General procedure for calculating vacation pay

To calculate the vacation, the formula is determined by regulations. The main thing is to know what data to use in a given situation. If an employee knows specific information, he will be able to carry out a control calculation and agree on discrepancies with the accountant.

Decree of the Government of the Russian Federation No. 922 of 2007 explains in detail how vacation money is calculated by the accounting department. According to the regulations, the whole process looks like this:

1. Determination of payments for the expired period. These include all payments for specialist labor provided for by local regulations of the enterprise. It is important that they are all quoted as wages.
2. Determination of the billing period necessary to establish average earnings. This period must correspond to 12 months. A full month is the period from the 1st to the 30th inclusive.
3. The average daily income for vacation is calculated. The formula for calculating vacation is as follows:

The amount of average earnings = payments for the billing period, taken into account by the standards / 12 months / 29.4 (average number of calendar days).

1. After this, figuring out how vacation pay is calculated correctly, use the calculation formula:

Vacation pay = the amount of average daily earnings / number of vacation days.

Important: before issuing vacation pay to a subordinate, income tax is calculated from it.