How Does Umbrella Company Holiday Pay Work?
If you are an umbrella company employee, you’re legally entitled to holiday pay.
Taking a break from contracting doesn’t have to break up your income when you’re employed by an umbrella.
Holiday pay from Exceed Contracting enables temps, contractors and locums to take time off without jeopardising their finances.
Exceed Contracting can provide holiday pay in two different ways.
Our contractors can choose whichever payment method suits them best:
Option 1: Accrued Holiday Pay
- Accrued holiday pay is set aside to be paid out when you chose to receive it.
- You decide how much of your accrued holiday pay you would like to receive, as and when you require it – eg to take leave, go on holiday or get paid between assignments.
- If you’re not disciplined to save money for when you’re not working, this may beneficial.
Option 2: Advanced Holiday Pay
- Exceed can also pay holiday pay in advance to our contractors.
- This means your weekly/monthly income is slightly higher than it otherwise would be.
- You can use this income as and when you receive it, which might be attractive if you prefer more short term income, or you don’t intend to take leave.
- Nevertheless, we recommend you save your advanced holiday pay so that’s available if you have time off from working.
Want to make your holiday pay go further?
- Exceed Contracting can also help you spend less on your holiday activities.
- Exceed Perks at Work, our free employee discount platform, has hundreds of offers to help you get more for your money – when booking holidays, flights, days out, hotels and more!
- Exceed contractors can login to perksatwork.com/exceed to view current discounts.
Unsure about which umbrella company holiday pay option is right for you?
The friendly Relationship Team at Exceed are here to talk you through your choices.
Call 0800 612 8787 to speak to an Umbrella Payroll specialist at Exceed Contracting today.
