(a) bundle the payment with the normal pay. However there are two established and common methods. There is no ‘official government’ way of actually paying holiday pay. To pay annual leave, you can either bundle it with wages, or pay for non-working days If you need this detail, check out this government advice
There are some wrinkles if a nanny has only just begun work, or hasn’t worked in every week for the last 12 weeks.In essence, you do it based on historical actual hours worked, by taking an average of the previous 12 weeks of work.If your nanny doesn’t work the same hours each week, it is a bit more complicated to figure out the holiday pay owed.Once you’ve figured out the hours owing, you can then use the nanny’s hourly rate to figure out the pounds.Ĭalculating holiday if your nanny works irregular hours is a bit more complicated.For example, if Nanny B’s normal working day is only 3 hours long, then they’ve accrued 3 hours x 3.36 of annual leave, or 10.08 hours. As above, a ‘day’ is however long their normal working day is.You then translate those ‘weeks’ back into days, which means Nanny B accrues 8.4 days of leave. If Nanny B works term time like Nanny A, but only works 2 days in a working week, then Nanny B accrues 2/5ths of 4.2 weeks, which is 1.68 weeks.So if Nanny A works 5 days/week for term time - let’s say that’s 75% of the year - Nanny A accrues 75% of 5.6, which is 4.2 weeks. If Nanny A is a 5 day/week worker for the whole year, Nanny A accrues 5.6 weeks.To figure out the amount owing, you use the same principle as above.Nannies are entitled to holiday pay even if they are only employed for term time in their contract - and even if it’s a fixed term employment.Term-time only nannies are also entitled to holiday pay For example, for an after school nanny working 3pm-6pm, the ‘day’ might be 3 hours long What’s a ‘day’ worth? Whatever their normal working day is.So for example, if a nanny works 3 days per week, their holiday entitlement is 5.6 weeks x 3 days, which is 16.8 days of annual leave.Instead, it gets scaled down (or ‘pro-rated’, as the contract might say) A part time nanny’s annual leave entitlement is also based on 5.6 weeks, but their ‘week’ doesn’t translate into the same number of days.Like everyone else, nannies continue to accrue annual leave during maternity leave and sick leaveįor part-timers, the entitlement is ‘pro-rated’, i.e.If you do choose to give more, you can set rules for the extra, for example that the nanny has to be employed for a certain amount of time before they’re eligible for it. Of course, you can always agree more than this if you like.If your nanny works more than 5 days/week, their legal minimum entitlement is still capped at 28 days.
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For a full time nanny, that works out as 28 days including bank holidays, or 20 days excluding bank holidays
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