Labor relations are regulated by special legislation - the Labor Code of the Russian Federation, as well as by-laws. These rules regulate monetary compensation due to employees for temporary disability and when going on paid leave.
A separate aspect is the impact of temporary disability on the provision of annual leave, as well as the inclusion of sick leave benefits in the amount of vacation payments. The relationship between these indicators needs to be considered in more detail.
If sick leave is issued due to an employee’s injury or illness
Before planning a vacation, an employee should clarify whether sick days are included in the vacation calculation or not, and on what dates to write an application so as not to lose money. Amounts of benefits for temporary disability, incl. for injuries, do not participate in the calculation of leave (clause 5 of the Procedure).
If, during a tax audit, an inspector discovers that when calculating vacation pay, the accrual of sick leave is included in the calculation, the excessively accrued amounts are excluded from expenses for profit tax purposes.
Clarification of concepts
Sick leave is a period when the employee was actually absent from the employer, but the time was saved for him. During this period, he is accrued benefits due to absence for a valid reason, the amount of which depends on the length of employment and the length of sick days. To ensure that absence from work is not counted as absenteeism, you must provide your certificate of incapacity for work. This time includes sick leave, which a parent issues to care for a child or a close relative.
Vacation is a period of legal rest for an employee, which the employer is obliged to provide annually. This time is paid based on the average earnings of a particular employee.
Vacation pay is financial resources that the employer is obliged to pay while his employee is on legal vacation. In fact, this is the salary for the period when he could have worked, but is on vacation due to him.
Examples of calculating the amount of vacation pay
Example 1.
Employee Smirnov A.V. goes on vacation according to the schedule from November 9 to November 22, 2021 (14 calendar days). To calculate the average earnings, data is taken for the period from 11/01/19 to 10/31/20.
From February 16 to 27, Smirnov was absent due to illness, which is confirmed by a certificate of incapacity for work. How can an accountant calculate vacation pay if there was sick leave during the billing period, and calculate the amount of average earnings? The basic rule: both accruals and days falling on actually worked periods should be taken into account.
Accruals for the previous 12 months amounted to RUB 517,268.50, incl. sick leave payments - 25,960 rubles, vacation pay from June 22 to July 5 - 40,110.16 rubles. Like benefits, vacation payments are not included in average earnings.
If an accountant has a question: is sick leave included in the length of service for calculating vacation pay, you should remember in which cases data on length of service is required. The number of years worked is important for calculating disability benefits, and vacation payments do not depend on length of service.
Days of incapacity for work are deducted from the number of paid days. The legislation establishes a coefficient used as the average number of calendar days in months worked in full - 29.3 (Law No. 55-FZ of 04/02/2014). The accountant calculates how many days are hours worked for months not fully worked using the formula:
KKD=29.3/KD(M)*KD(neg.), where
KD(M) - the total number of calendar days per month;
CD (neg.) - calendar days falling on the time worked.
The months that are not fully worked are February, June and July. Let's calculate the CAC for each of them:
KKD(February)=29.3/29*17=17.18;
KKD(June)=29.3/30*21=20.51;
KKD(July)=29.3/31*26=24.57.
Number of calendar days for the period=29.3*9+17.18+20.51+24.57=325.96.
Average daily earnings (SDZ) = salary / KKD, where
Salary Fund - payments for periods actually worked.
SDZ=(517268.50-25960-40110.16)/325.96=1384.21 rub.
Amount to be charged: 1384.21*14=19,378.94 rubles.
Conclusion: if wages are calculated manually or the program is not configured correctly, as a result of which sick leave days are taken into account when calculating vacation days, a recalculation should be made. Excess amounts paid are expensed as expenses not accepted for income tax purposes. As for personal income tax and insurance premiums, these taxes are charged on all types of income within the framework of the employment agreement, and no changes are required in the declaration.
ConsultantPlus experts discussed how to calculate and pay compensation for unused vacation upon dismissal. Use these instructions for free.
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Sometimes an employee asks: does sick leave affect the calculation of vacation pay, and if so, how will the amount payable change? Unfortunately, if benefits were paid based on a certificate of incapacity for work, the amount of vacation pay will change downward. The following example illustrates this.
Example 2
Let's take the same employee's earnings data for the last 12 months, assuming he wasn't sick. Then earnings for February would be 42,000 rubles, and the number of calendar days in February would be taken equal to the coefficient 29.3. Substituting these values into the table, we get the amount of earnings for the year:
Number of calendar days for the period = 29.3 * 10 + 20.51 + 24.57 = 338.08.
The amount to be charged differs upward by 380.24 rubles. (19759.18-19378.94).
What is more profitable for an employee to take?
The answer to this question lies in the official length of service of the employee. If an employee has worked officially for less than 8 years in his entire life, a vacation will always be more profitable, since the percentage of insurance experience is less than 100.
For those who have been working on a work book for more than 8 years, it is impossible to say definitely, since everything depends on the annual income. If the annual income is unchanged, then a vacation is more profitable. If income changes, the payment may increase or decrease. In this case, it is necessary to make a calculation each time.
Let's compare the amounts of payments for an income of 500,000 rubles. and 10 years of work experience.
Vacation for 7 days: (500,000/12/29.3)*7=9,954.5 rub.
Sick leave for 7 days: 7*(1 million rubles/730)=9589 rubles.
If in 2021 the income was 615,000 rubles, and in 2021 it fell to 500,000 rubles, then:
Vacation pay will remain unchanged at RUB 9,954.5.
The amount of sick leave will increase: 7 * (615,000 +500,000 / 730) = 10,691.8 rubles.
You may be interested in knowing other points related to applying for sick leave during vacation, namely:
- Is it possible to take LN during the session?
- When is it permissible to postpone or extend leave due to sick leave and how to properly arrange it?
- Is sick leave paid during unpaid leave?
Are benefits included in the calculation of compensation for unused vacation upon dismissal?
When calculating compensation, the same procedure applies as for regular payments for vacation approved by Government Decree No. 922. The only difference is in the definition of calendar days:
- for vacation payments, accrual is made for the number of days specified in the employee’s application and in the order;
- For compensation, the number of days that the employee did not have time to take time off is taken. For example, an employee worked for 6 months, was not on vacation, and decided to quit. For a year, an employee is entitled to 28 days, and for 6 months - 14 days of vacation. Upon dismissal, the accountant will actually calculate the same vacation pay for 14 calendar days, and the company will pay it along with earnings for the month in which the dismissal occurred.
If an employee asks whether sick leave is included in the calculation of vacation compensation upon dismissal, the answer is negative, because Compensation is calculated in the same way as vacation pay.
Sick leave and number of vacation days
According to Government Decree No. 922, those periods when the employee was on sick leave will not affect the length of service required to receive subsequent annual basic or additional leave. But, these intervals are excluded from the calculation if it is necessary to correctly calculate the exact number of days when the future vacationer was actually at the workplace.
Those amounts of benefits that the employee received during periods of illness are also excluded from the calculation of total annual income. Therefore, if a person was sick quite a lot during the past year, then his vacation pay will be significantly less than his actual salary. The difference will be significant! If there were no excluded periods, then vacation pay will be paid in full and approximately equal to the amount of the monthly salary.
Before going on vacation, the employee writes a statement. The accountant needs to make the correct calculations in order to make payments within the legal deadlines. Failure to comply with these rules may result in the official and legal entity being held liable. The sanction will be a fine.
Are vacation pay included in the calculation of benefits?
Vacation pay is classified as a type of earnings subject to insurance contributions (Article 420 of the Tax Code of the Russian Federation). To calculate temporary disability benefits, all types of income for which insurance premiums are calculated are taken into account (Clause 2, Article 14 of Federal Law No. 255-FZ of December 29, 2006). These standards remain in effect in 2021. The answer to the question that interests many employees and employers: “is sick leave taken into account when calculating vacation pay in 2021?” positive - yes, it is taken into account. This is confirmed by Government Decree No. 375 of June 15, 2007, which approved the procedure for calculating benefits paid from the Social Insurance Fund.
What is this period and what happens?
Experience is a concept that applies to all working citizens.
- Work experience refers to the duration of a person’s work recorded in the work book .
You can confirm the years worked with other documents. This could be an agreement, a certificate, contributions to the Pension Fund. The unit of measurement for experience is years and months. It doesn’t matter where a person worked and how many jobs he changed. If work periods are reflected in established documents, they are all summed up. - Insurance experience is a concept introduced into legislation since 2002 .
This is the period during which the employer deducted contributions to the Social Insurance Fund (SIF) for this employee. It is from the Social Insurance Fund that sick leave is paid in case of temporary disability. It is very important to be sure that all contributions are transferred on time. The easiest way to check the fact of transfer is in the Pension Fund. The insurance period is a key indicator in calculating the size and calculation of a pension. - Preferential work experience for hazardous occupations is a period of work according to the lists of hazardous professions established by Decree of the Government of the Russian Federation No. 665 of July 16, 2014.
- Preferential seniority allows teachers and doctors to become pensioners after working in their specialty for 25 years. This is written in clause 19, part 1, art. 30 of Law No. 400-FZ of December 28, 2013 “On Insurance Pensions”.
How to correctly calculate the amount of payment?
The accountant of the enterprise is responsible for calculating vacation pay. But it is useful for a company employee to know the calculation algorithm in order to check the correctness of the compensation assigned to him.
When determining the amount due to an employee, all the nuances of calculating payments must be taken into account.
There are certain calculation formulas. You can use the online calculator from a specialized Internet resource. Calculation algorithm:
- determine the duration of the period for calculating payments. Typically this is 12 months;
- summarize the employee’s monthly income for the reporting period. All remuneration for work (salary, additional payments, bonuses and premiums) is taken into account. Payment of sick leave and vacation pay, one-time financial assistance are not taken into account;
- calculate the average monthly salary. To do this, you need to sum up the amount of income and divide it by the number of months of the billing period;
- determine average daily earnings. To do this, you need to divide the average monthly salary by 29.3;
- calculate charges. Average daily earnings should be multiplied by the number of days the employee is on vacation. Do not forget that this amount is subject to tax.
Controversial situations
- At hazardous enterprises, they sometimes refuse to include the time spent on sick leave in the grace period, citing the fact that this length of service is determined by the time spent in hazardous production. It is not right.
- The question of length of service is also of interest to young mothers. Don't worry, the law protects mothers. Sick leave for pregnancy and childbirth is counted towards the insurance period.
- If an employee pays off, but falls ill within 30 days and receives sick leave, then the law obliges the former employer to pay for it. He will also be counted towards his experience.
So, for sick leave to be included in the length of service, it is necessary:
- formalize labor relations with the employer only in accordance with the established procedure;
- monitor the transfer of insurance contributions to the Social Insurance Fund during the period of your working activity;
- The sick leave must be correctly issued and submitted to the enterprise in a timely manner.
If any controversial issues arise, you can always consult a lawyer . You need to know and defend your rights.
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An example of calculating the length of insurance for sickness benefits in 2021
The employee handed over a sick leave certificate, according to which temporary disability was from May 14 to May 21, 2021. The work book contains the following information:
- work at Prospekt LLC from March 2, 2012 to December 1, 2012;
- work for individual entrepreneur Kovalenko from December 2, 2012 to August 16, 2019;
- work at Territory LLC from August 17, 2021 to the present.
As of May 14, 2021, the insurance period is calculated as follows:
- period from 03/02/2012 to 12/01/2012 - 8 months. and 30 days, i.e. full 9 months;
- period from 12/02/2012 to 08/16/2019 - 6 years and 7 months. and 46 days, i.e. 6 years and 8 months. and 16 days;
- period from 08/17/2019 to 05/14/2021 - 1 year and 8 months. and 29 days.
Then we sum up the years, months and days and get - 7 years and 25 months. and 45 days, i.e. 9 years and 2 months. and 15 days.
Accordingly, the insurance experience is more than 8 years. The employee is entitled to sickness benefits based on 100% of average earnings.
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