How annual leave accrues in Australia
Under the National Employment Standards, full-time and part-time employees get 4 weeks of paid annual leave for every year of service. Some shift workers get 5 weeks. Leave doesn’t arrive in one lump at the end of the year. It builds up progressively on your ordinary hours worked and carries over from one year to the next until you take it or it’s paid out.
The simplest way to picture it: a full year of work earns 4 weeks, so half a year earns 2 weeks, and three months earns 1 week. In hours, you accrue your ordinary weekly hours times 4 divided by 52 for each week you work. On a 38-hour week that’s about 2.92 hours of leave a week, or 152 hours over a full year.
Weeks, days and hours
Four weeks of leave is 20 working days for someone on a standard 5-day week, not 28. Annual leave counts the days you would normally work, not calendar days. If you work part-time over 3 days a week, your 4 weeks is 12 of those days. The calculator shows your balance in days, weeks and hours so you can match whichever figure your payslip uses.
Leave loading and the value of your leave
The cash value of accrued leave is your days multiplied by your ordinary rate of pay. Leave loading is an extra amount, most often 17.5%, paid on top when you take annual leave. It only applies if your award or enterprise agreement includes it, so many salaried roles don’t get it. Use the toggle to see your value with and without loading. A leave payout when you leave a job can also be taxed differently to your regular pay.
Casual employees don’t accrue paid annual leave. Their pay usually includes a casual loading instead. This tool is general information, not legal advice, and award or agreement terms vary. Confirm with Fair Work.
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Simon is the founder of Orbit Money, a tool that helps people track subscriptions and recurring spend. He builds Orbit's free money calculators and writes about personal finance for Australian and UK readers.
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