Unused vacation: payments, payments, taxes

Every employee, regardless of position, salary and level of education, has the right to leave, guaranteed by the state. But, as practice shows, planned vacation is not always used and both the employer and the employee have a quite natural question: is it possible to transfer an unused vacation somewhere or to replace it with a certain amount.

Option with monetary compensation is possible, but not in all cases. According to the code of labor laws and other regulations governing interaction between the employer and employees, the latter have the right to receive compensation for unused vacation in two cases. First of all, this is the dismissal of a person who has not worked eleven months. The second situation is connected with employees who continue to work at the enterprise, but at the same time for some reason can not use their legal right to rest.

Next, we will try to consider as closely as possible each of the above-described cases and tell you how to calculate the unused vacation.

So, leaving, a person has the right to receive cash compensation for all unused days of scheduled rest. In addition, additional leave required by law for people with children must be paid for. It should be noted that the date of dismissal is not the day when the employee ceased to fulfill his duties, and the date following the last day of compensated rest.

Note that other holidays, which for one reason or another have not been used, are not compensated. Here we are talking about such kinds of unscheduled holidays, as creative, educational, holidays, related to the birth of a child.

For example, an employee of an enterprise leaves, while working for 7 months. In this case, the unused vacation is compensated according to the following scheme: 2.33 * 7 months = 16 days of leave. These 16 unused vacation days should be fully paid.

The legislation also noted that the employer has no right not to grant annual leave to employees for two consecutive years. This means that each employee can receive monetary compensation only for every second unused vacation, and the rest of the statutory time he must rest.

There is also a whole group of employees for whom the replacement of planned leave with monetary compensation is prohibited. This is, first of all, pregnant women, under-age employees, as well as people working in harmful or hazardous to health enterprises.

By paying compensation for unused vacation, the employer is obliged to calculate and transfer the tax on the income of an individual, which is calculated on the basis of this amount. If a person leaves, then unused vacation taxes for which calculated, must be paid on the day of dismissal, and the amount of tax is transferred to the budget. In fact, it turns out that taxes must be transferred not later than the day the employee receives the full amount of compensation.

If the employee does not leave, but at his request, expressed in writing, monetary compensation is given for an unused planned annual rest, the calculation of tax deductions is made according to another scheme. The decrees of the Ministry of Finance indicate that such payments should be taxed in accordance with a single taxation system. At the same time, if tax deductions from unused vacation compensated to an employee who does not leave, reduce the tax base of the organization, they should be calculated based on the norms of a single social tax. Otherwise, the amount of payments to the employee is not subject to taxation.

As you can see, calculating compensation for unused legal rest is quite a difficult task, but having figured out all the subtleties, you can easily settle it.