What does pro-rata mean?

Pro-rata means "in proportion". For leave entitlements, it means part-time employees receive a proportional amount based on their hours compared to full-time. A 0.5 FTE (half-time) employee receives half the full-time entitlement.

How do I calculate FTE for an employee?

Divide the employee's ordinary weekly hours by full-time hours. For example: 19 hours ÷ 38 hours = 0.5 FTE. This fraction is then applied to all pro-rata entitlements. If full-time is 35 hours in your award, use that as the divisor.

Should I track leave in days or hours?

Hours is more accurate for part-time employees, especially if they work different hours on different days. If a part-timer takes a "day" of leave, deduct the hours they would have worked that day. Many HR systems track in hours for this reason.

What if a part-timer's hours change?

If their ordinary hours change, recalculate their FTE and adjust future accruals accordingly. Existing accrued leave isn't reduced (you can't take away what's already earned), but new accruals should reflect the new hours.

Is compassionate leave pro-rata?

No. Compassionate leave is 2 days per occasion, regardless of part-time or full-time status. However, a "day" for a part-timer is the hours they would have worked that day. If they only work 4-hour days, they get 2 × 4 hours = 8 hours.

How do public holidays work for part-timers?

Part-time employees are entitled to be paid for public holidays if they would ordinarily work on that day. If a public holiday falls on a day they don't normally work, they have no entitlement. This is why documenting regular work days is important.

Does long service leave accrue pro-rata?

Yes. Long service leave accrues based on continuous service and is calculated pro-rata for part-time employees. The calculation considers their actual hours worked over the qualifying period.

What about parental leave for part-timers?

Unpaid parental leave entitlements are the same for part-time employees – up to 12 months (extendable to 24). Government Paid Parental Leave has its own eligibility rules based on a work test that considers hours and duration of employment.

How do I calculate leave for someone who started mid-year?

Calculate pro-rata based on the portion of the year they've worked, then apply their FTE. For example, 6 months at 0.5 FTE: (4 weeks × 0.5 × 6/12) = 1 week. Alternatively, leave accrues progressively based on hours worked.

Can part-time employees accrue leave faster?

No, leave accrues proportionally to hours worked. However, unused leave accumulates year to year, so an employee who doesn't take their leave will have a growing balance just like a full-timer.

What's the best way to show leave balances to part-timers?

Show balances in hours, as this is clearer for employees with varying shift lengths. Also show the equivalent in "days" using their average daily hours. This helps them understand both the actual time and relative value.

How do I handle leave for variable-hour part-timers?

Use an average of their hours over a representative period (e.g., last 12 weeks or pay period) to calculate accruals. When they take leave, deduct the actual hours they would have worked on that day based on their roster.

HOW-TO GUIDE

How to calculate pro-rata leave

A complete guide to calculating leave entitlements for part-time employees. Learn the formulas, see worked examples, and understand which entitlements are pro-rated.

7 min read • Updated January 2025

Written by

Georgia Morgan

General information only – not legal advice

This guide provides general information about calculating pro-rata leave entitlements for part-time employees in Australia. It does not constitute legal, HR, or professional advice and should not be relied on as a substitute for advice specific to your business, workforce, or circumstances.

HR Hub disclaimer • Modern Awards • Fair Work

The pro-rata formula

Pro-rata entitlement = Full-time entitlement × (Employee hours ÷ Full-time hours)

Example: A 0.5 FTE employee (19 hrs/38 hrs) receives 50% of full-time leave entitlements

EXAMPLES

Worked examples

Annual leave - 0.5 FTE

4 weeks × 0.5 = 2 weeks annual leave per year

In hours: 76 hours × 0.5 = 38 hours (based on 38-hour week)

Part-timer working 19 hours/week

Sick leave - 0.6 FTE

10 days × 0.6 = 6 days sick leave per year

In hours: 76 hours × 0.6 = 45.6 hours

Part-timer working 22.8 hours/week

Annual leave - 0.8 FTE

4 weeks × 0.8 = 3.2 weeks annual leave per year

In hours: 152 hours × 0.8 = 121.6 hours

Part-timer working 30.4 hours/week

REFERENCE

Which entitlements are pro-rata?

Leave type	Full-time amount	Pro-rata?	Notes
Annual leave	4 weeks (20 days or 152 hours)	Yes	Based on ordinary hours
Personal/carer's leave	10 days (76 hours)	Yes	Accumulates progressively
Long service leave	Varies by state (typically 8.67 weeks)	Yes	After qualifying period
Compassionate leave	2 days per occasion	No	Full entitlement per occasion
Public holidays	Day off if normally worked	Special rules	Paid if would have worked that day

STEP-BY-STEP

How to calculate in 6 steps

Determine full-time equivalent hours

Identify what constitutes full-time hours for your industry and award.

Standard full-time is usually 38 hours per week
Some awards define full-time as 35 or 40 hours
Check your specific award for the correct figure
This is your baseline for pro-rata calculations

Calculate the employee's ordinary hours

Determine the part-time employee's contracted ordinary hours per week.

Use the hours specified in their employment contract
For variable hours, use the average over a representative period
Don't include overtime in ordinary hours
Document the agreed ordinary hours clearly

Calculate the FTE fraction

Divide the employee's hours by full-time hours to get their FTE (Full-Time Equivalent).

Formula: Employee hours ÷ Full-time hours = FTE
Example: 19 hours ÷ 38 hours = 0.5 FTE
Express as decimal (0.5) or percentage (50%)
This fraction applies to all pro-rata entitlements

Apply the pro-rata calculation

Multiply the full-time entitlement by the FTE fraction.

Annual leave: 4 weeks × FTE = pro-rata weeks
Sick leave: 10 days × FTE = pro-rata days
Can also calculate in hours for precision
Round to appropriate decimal places

Convert to hours if needed

For part-timers with variable daily hours, express leave in hours rather than days.

A "day" of leave equals their ordinary hours for that day
Example: 4-hour workday = 4 hours of leave used
Track balances in hours for accuracy
Helps when shifts vary in length

Document and track accurately

Maintain accurate records of entitlements, accruals, and usage.

Use leave management software for automatic calculations
Review if hours change (e.g., increased to more hours)
Provide employees access to their balance
Recalculate if employment type changes

Simplify pro-rata calculations

RosterElf automatically calculates pro-rata leave entitlements for part-time and casual employees. Built for Australian small businesses.

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FAQ

Frequently asked questions

Pro-rata means "in proportion". For leave entitlements, it means part-time employees receive a proportional amount based on their hours compared to full-time. A 0.5 FTE (half-time) employee receives half the full-time entitlement.
Divide the employee's ordinary weekly hours by full-time hours. For example: 19 hours ÷ 38 hours = 0.5 FTE. This fraction is then applied to all pro-rata entitlements. If full-time is 35 hours in your award, use that as the divisor.
Hours is more accurate for part-time employees, especially if they work different hours on different days. If a part-timer takes a "day" of leave, deduct the hours they would have worked that day. Many HR systems track in hours for this reason.
If their ordinary hours change, recalculate their FTE and adjust future accruals accordingly. Existing accrued leave isn't reduced (you can't take away what's already earned), but new accruals should reflect the new hours.

Regulatory sources

Fair Work - Annual leave Calculate leave entitlements

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