Frequently ASKED QUESTIONS
1. Holiday Pay
What is holiday pay?
Holiday pay is money accrued on tax liable pay to compensate for the loss of income when you take holidays.
What is the holiday pay rate?
The minimum holiday pay rate is 10.2%, although most employees accrue 12%. For example, if you earn NOK 50,000 in one month and your holiday pay rate is 12%, you will accrue NOK 6,000 in holiday pay towards future holidays.
Is holdiday pay paid every month?
No. Employers are not allowed to pay holiday pay on an ongoing monthly basis. Holiday pay is settled the following calendar year or at the end of your contract / employment, whichever comes first.
What happens the first year of employment?
As holiday pay cannot be settled in the current calendar year, you will not receive any holiday pay the first year.
If i am paid monthly, will i recieve both wages and holiday pay at the same time?
No, holidays are unpaid. If you receive a monthly wage, then any holidays you take are deducted from your wages. Normally the full holiday pay allowance (21 or 25 days) are deducted in May or June at the same time as the previous year's holiday pay accrual is paid.
Do older workers get more holiday pay?
Yes, from the calendar year you turn 59 you will accrue an additional 2,3%, and from the year you turn 60 you get 5 additional holidays.