Hi,
This is probably a silly question but I need to take parental leave next year to cover my 5 year old's school hols. I've done a rough calculation and it's about 4 weeks or 22 working days. It'll be taken here and there i.e. 4 days in Jan, 2 weeks in July, 1 week in October etc.
To make it more affordable, I'd like to spread the loss of income over the year, rather than having a considerably lower salary in the months I'm taking the leave (I'm paid monthly). I have a Credit Union budget account and am doing my sums for 2017. As the leave I'm taking totals roughly one month, I thought I would budget for one month's salary in my Cred budget account. So say I earn 2K net a month, I'll budget a loss of 2K and will pay €166 per month into the Cred. The months I'm taking parental leave, I will draw down the shortfall in income from the Cred so the loss of income will be spread evenly over 12 months.
My question is, do I need to budget one full month's salary? Or does the fact that I'm not earning for some of the year, reduce my tax? Therefore, reducing the amount of salary loss a little? Should I just budget for roughly 3/4 of my monthly salary?
Thanks
Sweet Pea
This is probably a silly question but I need to take parental leave next year to cover my 5 year old's school hols. I've done a rough calculation and it's about 4 weeks or 22 working days. It'll be taken here and there i.e. 4 days in Jan, 2 weeks in July, 1 week in October etc.
To make it more affordable, I'd like to spread the loss of income over the year, rather than having a considerably lower salary in the months I'm taking the leave (I'm paid monthly). I have a Credit Union budget account and am doing my sums for 2017. As the leave I'm taking totals roughly one month, I thought I would budget for one month's salary in my Cred budget account. So say I earn 2K net a month, I'll budget a loss of 2K and will pay €166 per month into the Cred. The months I'm taking parental leave, I will draw down the shortfall in income from the Cred so the loss of income will be spread evenly over 12 months.
My question is, do I need to budget one full month's salary? Or does the fact that I'm not earning for some of the year, reduce my tax? Therefore, reducing the amount of salary loss a little? Should I just budget for roughly 3/4 of my monthly salary?
Thanks
Sweet Pea