I have annual leave which my employer will pay but is it better for my tax to be paid small amounts for a few months or one lump sum payout?

Also, if I am paid accrued holiday, are there different tax implications if this is paid near the end of the tax year rather than at the beginning ?

Thanks in advance !

3 Answers

  • 3 months ago

    At the end of the year it all gets lumped together and makes no difference.

  • 3 months ago

    If you're an employee in the UK, tax will come out of each paycheck rather than being able to be accrued into one payment

  • 3 months ago

    I don't understand the question. I live in the UK and my holiday pay is taxable the same as time I worked at any time of the year. I don't pay tax in small amounts, I don't choose the amount to pay, my slip says there's what I got and there's what the tax is.

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