Hello to all,
Firstly please excuse the long post; I need to provide a little background.
Mrs Cashman has been working in the pub trade from December 1st 2008 to August 8th 2009. Being 4 weeks in ’08 & 32 weeks in ’09. So a total of 36weeks of continuous employment with the same employer.
Unfortunately due to the downturn in this type of business in rural Ireland we have another P45 in the home!
Anyway, all was totally above board with all tax, employers & employee PRSI deducted in a correct manner.
However, the working week varied a lot – some weeks it could have been 6 days other weeks as little as two days – no confined pattern – if you worked you got paid – if you did not work you didn’t get paid.
Additionally all days worked were paid at the fixed rate of €8.65 per hour – however, this was “grossed” up by the employer so that the net pay was 8.65 not gross. I.e. employer paid any tax or employee PRSI over & above the 8.65 per hour.
Unfortunately, the position finished before we took any holidays, therefore the employer said that there was holiday pay due.
The amount that Mrs Cashman received for holiday pay was much below what we expected, before going back to the employer to query the amount, I hoped to get some clarification / help from my friends on here.
Now in trying to calculate the amount of holiday pay we are trying to be totally fair – how does this calculation look to you guys?
Gross Pay 2008 from P60 822.00 (4 weeks only worked)
Gross Pay 2009 from P45 9,598.00 (32 weeks worked)
Total Gross pay 10,420.00
Minus actual holiday pay 469.05
Gross pay for actual work 9,950.95
However, as all weeks were not full 39 hours, if I take the total & divide by the hourly rate of 8.65 I get 1,150 hours worked in the period.
From what I understand annual leave is 20 days per full year worked. Which I assume is based on the standard 39 hour week.
Therefore it works out at 1.67 days per month worked?
So if I take the total hours worked in the period of 1,150 & divide by 39 hours for a standard week (to even out the combination of short & long weeks) I get 29.50 full weeks worked as opposed to the 36 insurable weeks stated in P60+P45.
Taking 29.50 full 39 hour weeks worked & dividing by 4.33 weeks per month gives me 6.8 full months worked which holiday pay is due on.
Therefore 6.8 months @ 1.67 days per month = 11.36 days pay * 8 hours per day * 8.65 per hour would equal €786.11 as opposed to the €469.05 mentioned above that was actually received.
In this calculation I am making no allowance for bank / public holidays – should I?
Please advise me where I am making mistakes here.
Many thanks to you all
Cashman
Firstly please excuse the long post; I need to provide a little background.
Mrs Cashman has been working in the pub trade from December 1st 2008 to August 8th 2009. Being 4 weeks in ’08 & 32 weeks in ’09. So a total of 36weeks of continuous employment with the same employer.
Unfortunately due to the downturn in this type of business in rural Ireland we have another P45 in the home!
Anyway, all was totally above board with all tax, employers & employee PRSI deducted in a correct manner.
However, the working week varied a lot – some weeks it could have been 6 days other weeks as little as two days – no confined pattern – if you worked you got paid – if you did not work you didn’t get paid.
Additionally all days worked were paid at the fixed rate of €8.65 per hour – however, this was “grossed” up by the employer so that the net pay was 8.65 not gross. I.e. employer paid any tax or employee PRSI over & above the 8.65 per hour.
Unfortunately, the position finished before we took any holidays, therefore the employer said that there was holiday pay due.
The amount that Mrs Cashman received for holiday pay was much below what we expected, before going back to the employer to query the amount, I hoped to get some clarification / help from my friends on here.
Now in trying to calculate the amount of holiday pay we are trying to be totally fair – how does this calculation look to you guys?
Gross Pay 2008 from P60 822.00 (4 weeks only worked)
Gross Pay 2009 from P45 9,598.00 (32 weeks worked)
Total Gross pay 10,420.00
Minus actual holiday pay 469.05
Gross pay for actual work 9,950.95
However, as all weeks were not full 39 hours, if I take the total & divide by the hourly rate of 8.65 I get 1,150 hours worked in the period.
From what I understand annual leave is 20 days per full year worked. Which I assume is based on the standard 39 hour week.
Therefore it works out at 1.67 days per month worked?
So if I take the total hours worked in the period of 1,150 & divide by 39 hours for a standard week (to even out the combination of short & long weeks) I get 29.50 full weeks worked as opposed to the 36 insurable weeks stated in P60+P45.
Taking 29.50 full 39 hour weeks worked & dividing by 4.33 weeks per month gives me 6.8 full months worked which holiday pay is due on.
Therefore 6.8 months @ 1.67 days per month = 11.36 days pay * 8 hours per day * 8.65 per hour would equal €786.11 as opposed to the €469.05 mentioned above that was actually received.
In this calculation I am making no allowance for bank / public holidays – should I?
Please advise me where I am making mistakes here.
Many thanks to you all
Cashman