Guide
Holiday and leave management software: a UK guide for small businesses
What it is
Holiday or leave management software replaces spreadsheets, paper forms and email requests with one place to request, approve and track time off. Staff can see their balance, managers can see who's off, and payroll gets a clean record.
UK basics
- Almost all workers get 5.6 weeks' paid holiday a year. For a five-day week that's 28 days, which is also the statutory cap.
- Employers can count bank holidays as part of that entitlement, but they don't have to give them as extra paid days.
- Part-timers on regular hours get 5.6 × the days they work each week, so three days a week gives 16.8 days. GOV.UK has a holiday entitlement calculator.
- Irregular-hours and part-year workers build up holiday at 12.07% of the hours they work in each pay period (for leave years starting from 1 April 2024).
- The employment contract sets how much leave can be carried over. With 28 days, the most that can be carried over is 8.
Signs you've outgrown spreadsheets
- Requests arrive by email, text or paper
- Approvals stall when a manager's off
- Balances and carry-over drift out of date
- Nothing stops two people on one team booking the same week
- You can't see who's off next month
- Payroll gets figures it has to check by hand
- Employees can't see their used and available totals
What to look for
Approval chains that match your roles, cover for absent approvers, balances and carry-over, UK bank holidays, pro-rata for part-timers, rules for your teams, use on a phone, payroll export, GDPR and UK hosting.
Off-the-shelf or custom?
- Pick off-the-shelf if you're a small team with simple rules. Simple SaaS tools can be cheap for small teams and quick to set up.
- Consider custom software when you have a bigger team and want your processes and workflows catered for completely. For example, you may have different staff types, cover rules or short-notice processes. Custom software also makes a better impression on employees and partners, because it uses your own logo, colours and language.
Custom leave software from Tailored Tech
Tailored Tech builds holiday and leave software around your rules, in your own brand, from £400 a month + VAT with no large up-front project fee. Simpler apps can be live in as little as two weeks, and you can export your data whenever you like. We've built leave management for a national metering contractor's ~170 engineers and managers.
See holiday managementFAQ
How much holiday are UK employees entitled to?
5.6 weeks, which is 28 days for a five-day week.
Do bank holidays count?
They can be included in the 5.6 weeks.
How do you work out part-time holiday?
Multiply 5.6 by the number of days worked each week.
Is leave management software worth it for a small business?
Usually yes, once requests start getting lost. For simple needs, an off-the-shelf tool is enough.
When does custom make sense?
When your rules, other systems or branding don't fit a standard tool.
How much does custom leave software cost?
From £400 a month + VAT, with no large up-front project fee.
How long does it take?
Simpler apps can be live in as little as two weeks.
Are we tied in?
It can be a rolling monthly contract with one month's notice.
Can we get our data out?
Yes, you can export it whenever you like.