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What is holiday pay?

Discussion in 'Supply teaching' started by bassai di, Feb 7, 2011.

  1. I'm sure this topic has been covered before but can someone explain to me what holiday pay is? Some schools I work for pay me to scale. Other work I get through my agency pays a flat rate regardless of scale plus holiday pay. Apparantly I then claim this pay later in the year.
    Can anyone help explain?
  2. I'm sure this topic has been covered before but can someone explain to me what holiday pay is? Some schools I work for pay me to scale. Other work I get through my agency pays a flat rate regardless of scale plus holiday pay. Apparantly I then claim this pay later in the year.
    Can anyone help explain?
  3. jubilee

    jubilee Star commenter

    If you work for a private agency, they are your employer for all the schools that they send you to. They can therefore easily work out your total holiday pay entitlement and can choose whether to include it with your weekly pay or keep it for you,to be claimed in holiday periods. The latter gives them extra cash-flow and the small print about time limits for claiming it means that they get to retain some of it. Supply teachers working for multiple employers can easily lose track of who owes them what!
    LAs paying supply teachers would have difficulty working out which school's budget should bear what cost for the supply teacher's holiday pay entitlement. You might go to a school various times over a school year and a school could not budget properly if they had an unknown bill late in the year for various supply teachers' holiday pay entitlement. Therefore, the daily rate is worked out to include a pro-rata holiday pay element.
    Contract teachers work 195 days per year (190 teaching days + 5 INSET) and have their pay divided into 12 monthly payments. They work a 3:1 work : holiday schedule (39 school weeks:13 holiday weeks)
    LA supply teachers get a daily rate of annual salary divided by 195. If they managed to work every possible day, they'd thus end up with the same pay over a school year as a contracted teacher on the same pay point.
    The LA daily rate thus includes holiday pay pro-rata to the same 3:1 ratio mentioned above. 25% of your daily LA rate is advance holiday pay. Every 3 days that you work, youhave earned one day of paid holiday.

  4. Thanks Jubilee - very helpful. I can see the logic in what you're saying. I've been told my agency (and this agency is the LEA's official agency) that my flat fee is £110 per day. So my holiday pay is extra to this?
    Lastly, is my daily rate of £110 gross or net? Am i responsible to paying pension contributions?
  5. jubilee

    jubilee Star commenter

    If it's an LA agency, as mine is in Lancashire (my payslip is from the County Council), the rate quoted will include your holiday pay. Are you M1? If so, £110 is about right for 'to-scale' daily rate outside London. The quoted rate is your gross rate
    If pay is via the Local Authority, with the agency just being the organisation that gets the bookings and does the admin, you will have pension payments deducted automatically UNLESS you choose to Opt Out.
    If the outsourced agency is your employer , you will not have access to the Teachers' pension Scheme.
    I would recommend staying in the pension. The advantages are: you accrue pension years much more cheaply early in your career, when paying 6.4% of M1 pay; paension is deducted from gross pay and you only then pay tax on what is left, cutting your tax bill;; you pay a reduced rate of NI if in a pension (the contracted-out rate saves you 1.6% in NI payments) . NI is charged on earnings over about £90 per week)
    As an LA supply teacher, yoiu should get an extra £33 per school year in your pay after you have worked just one day in a school year as a teacher. If it doesn't appear in the first pay packet you get ina school year, chase it up. You have payroll deductions on that extra money. You then pay £36 to the GTC (for the last time this April 1st) and you can claim tax relief on that fee (your tax reduces by £7-20 if you pay 20% tax )and that more or less balances out the tax and other deductions on your £33 extra pay. Download a tax relief claim form from the GTC website.
    You should also claim tax relief on the allowable portion of any union fees (ask them what fraction of the subs is eligible and write to your tax office with the information.
    If you registered with private agencies and had to pay for CRBs, keep the paperwork/receipts and claim tax relief on those too as they are expenses wholly incurred in order to be able to work.
    It is worth while contacting your tax office after the end of the tax year, when you have received P60s from your employers (usually some time in May) andgetting the form thta will allow you to check if you have overpaid tax (quite possible if you don't use your full tax allowance with your main employer and have paid Basic Rate (BR ) tax on all other earnings.
  6. A realistic answer to your question.
    Holiday Pay is something the Eurocrats decided was a good idea, pay for everyone, equality! we can all have a nice big slack off and enjoy ourselves whilst not being skint for a change.
    What this means in practice is that legally, your pimp must put a bit of your pay as a separate number and give you the option whether they keep it for you (and the interest) or you take it, which you probably will as you will be struggling like *&^% as a usual supply teacher.
    More easily sidesteppable eutopianism from the bloody EU which reminds us we are very far from equal.
  7. Sorry for the obvious spelling mistake.
  8. Jees, all that has sent my brain into a muddle. Thanks for taking the time to reply jubilee, I do appreciate. Not sure re the status of my agency. Only just joined and am haing meeting this week so will ask them about all these issues. Actually, I'm on UPS3. Hopefully, supply will only be a short term option for me. I resigned my Headship recently as I wanted to get back into teaching - I've got a few job offers to contemplate, so thought I'd do some supply to kep me ticking over.
  9. jubilee

    jubilee Star commenter

    Good luck with trying to get day-to-day supply teaching on UPS3. I'm getting very little on M6 and have been up-and-running for several years with my LA supply service.
    Having been a Head, though, I expect you have contacts with other Heads who might be happy to put work your way?

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