How a holiday shows up in pay

Before you start

Payroll pays a holiday only when two things are true:

• The date is a holiday for your business. That means a national holiday that is switched on in Holidays, a holiday you added there, or a city holiday for your saved location. Follow Set up your holidays if you are not sure.
• The Holiday Pay switch is on for the employee. Open the employee in Staff and look under Settings.

What happens next

Payroll works out holiday pay when you click Run Payroll. It takes the employee's daily rate and multiplies it by the holiday's rate.

• Regular (200%) pays 200% when the employee works and 100% when they do not.
• Special Non-Working (130%) pays 130% when the employee works and nothing when they do not.

If the holiday falls on a day marked Rest day (off day) on the employee's schedule, working it pays 260% on a regular holiday and 150% on a special day. An unworked regular holiday on a rest day still pays 100% while Pay regular holidays on rest days is on in Payroll Settings. Turn it off and daily and hourly staff are paid only if they work.

For example, take a daily rate of ₱800. Working a regular holiday pays ₱1,600. Not working it pays ₱800. Working a special day, with no late time, pays ₱1,040. This example uses a daily rate. For hourly staff, payroll uses the hourly rate and the hours worked, and an unworked regular holiday pays 8 hours.

On the payslip, the Earnings card has one line for each holiday, with its date and name. For a worked holiday the line shows only the extra amount, because the day's ordinary pay is already in the Regular Pay line, or the Monthly line for monthly staff. In the example, the regular holiday line is ₱800 and the special day line is ₱240. For an unworked regular holiday the line is the whole day, ₱800.

By default the line shows the full rate, such as "(200%)". In the General card of Payroll Settings, turn on Show holiday extra on the payslip and click Save. A worked regular holiday then shows "(+100%)" and a worked special day shows "(+30%)". The pay does not change.

Late minutes can also reduce the holiday extra for daily-paid staff on a holiday that is not a rest day. For a regular holiday, this happens only when Prorate regular-holiday extra for lateness is on in the same General card. It is off by default, and you click Save after changing it. When it applies, the Deductions card shows one Late line, with Basic pay and Holiday extra listed under it.

Common problems

• I was not paid for a holiday nobody worked. Only a Regular (200%) holiday pays when unworked. A special day pays only when the employee works. A regular holiday is also not paid when the employee has no schedule that day and did not work in the week before it.
• An employee was absent on their last workday before a regular holiday. Payroll skips the unworked holiday pay in that case. Paid leave on that day counts as present.
• Monthly staff show no line for an unworked holiday. Their monthly pay already covers it, unless the absence rule above applies, in which case a day is deducted. Fixed Semi-Monthly staff never get a holiday line.
• An employee was late on a regular holiday and lost more than the late minutes cost on an ordinary day. Prorate regular-holiday extra for lateness is on. The Late line in Deductions shows how much came from Basic pay and how much from Holiday extra.
• The line says 200% but shows only half of the day's pay. On a worked holiday the line is only the extra. The rest of the day is in Regular Pay.

For the full list of checks, see "Holiday pay was not applied" in Common problems.