Leave Loading Calculator Australia
Leave Loading Breakdown
About leave loading in Australia
Under most Modern Awards, employees receive 17.5% leave loading on top of their ordinary pay when they take annual leave. This applies to each week of annual leave taken.
Some employees under Enterprise Agreements may receive a different leave loading rate, or it may be 'rolled in' to a higher base rate. Check your agreement or contact your payroll team. Source: Fair Work Ombudsman (fairwork.gov.au/leave/annual-leave/annual-leave-loading).
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Frequently Asked Questions
What is leave loading in Australia?
Leave loading is an additional payment of 17.5% on top of your ordinary weekly pay when you take annual leave. It was introduced to compensate workers for the loss of overtime and penalty rates during their leave period. Source: Fair Work Ombudsman (fairwork.gov.au).
Does everyone get leave loading?
Not everyone. Leave loading is provided under many Modern Awards, but not all. Employees covered by Enterprise Agreements may have different arrangements. Employees not covered by an Award or Agreement generally do not receive leave loading unless their contract specifies it.
Is leave loading paid on public holidays?
No. Leave loading is paid on annual leave only, not on public holidays. Public holidays are a separate entitlement under the National Employment Standards.
Is leave loading taxed?
Yes. Leave loading is taxed as ordinary income. However, for withholding tax purposes, leave loading that relates to a holiday absence may be taxed at a reduced rate by your employer. Source: ATO (ato.gov.au).
What if I get paid out my leave when I resign?
If your annual leave is paid out on termination, leave loading is generally included in the payout, provided your Award or Agreement entitles you to it. Source: Fair Work Ombudsman (fairwork.gov.au).