Annual leave on a 40-hour week.
On a 40-hour week, four weeks of annual leave is 160 hours, accruing at 3.077 hours for every week worked. The calculator below is preset to 40 hours. Note that the Australian full-time standard is 38 hours, not 40, which changes how your extra hours are treated.
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| Component | Formula | Value |
|---|---|---|
| Accrual rate (FULL-TIME) | 4 wks × 40h ÷ 52 | 3.077 hrs/wk |
| Hours accrued | 3.077 × 52 wks | 160.44 hrs |
| Hourly base rate | - | $35.00 |
| Base leave value | 160.44 × $35.00 | $5,615.38 |
| 17.5% leave loading | base × 0.175 | + $982.69 |
| Total payout | - | $6,598.08 |
Disclaimer: This tool does not constitute legal or financial advice. Results may be inaccurate due to changes in legislation or your circumstances. This tool does not constitute legal or financial advice. We do not recommend taking actions based solely on these results. The calculator makes assumptions and results may be inaccurate due to changes in legislation, modern awards, or your personal circumstances. You use this information at your own risk. We can't guarantee to be perfect, so do note you use the information at your own risk and we can't accept liability if things go wrong. For official guidance, visit Fair Work Ombudsman (fairwork.gov.au). Fair Work Ombudsman.
How annual leave works on a 40-hour week
Under section 87 of the Fair Work Act 2009, every full-time and part-time employee gets 4 weeks of paid annual leave for each year of service. The Act measures leave in weeks, not hours, so the hours you accrue depend entirely on how long your ordinary week is. At 40 hours, one week of leave is worth 40 hours of pay and a full year builds up to 4 × 40 = 160 hours.
Leave accrues progressively as you work rather than arriving in a lump at your anniversary. On a 40-hour week the rate is 160 ÷ 52 = 3.077 hours a week. On an 8-hour day, 160 hours is exactly 20 working days, the same number of days as a 38-hour worker gets, because the entitlement is 4 weeks either way.
Annual leave accrued on a 40-hour week
How much paid annual leave a 40-hour-a-week employee builds up over time. Days assume an 8-hour day (40 hours over 5 days).
| Time worked | Hours accrued | Days (8h) |
|---|---|---|
| 1 week | 3.08 | 0.38 |
| 1 month | 13.33 | 1.67 |
| 6 months | 80.00 | 10.00 |
| 1 year | 160.00 | 20.00 |
| 2 years | 320.00 | 40.00 |
| 5 years | 800.00 | 100.00 |
40 hours compared with 38
The difference is in hours, not entitlement. Both employees receive 4 weeks a year and both take 20 working days off. The 40-hour employee simply has a larger hour balance because each of their days is longer.
| Measure | 38-hour week | 40-hour week |
|---|---|---|
| Weeks of leave a year | 4 | 4 |
| Hours accrued a year | 152.0 | 160.0 |
| Accrual per week worked | 2.923 h | 3.077 h |
| Standard day | 7.6 h | 8.0 h |
| Working days a year | 20 | 20 |
Worked example
Alex works 40 hours a week on $38.00 an hour. After a full year he has accrued 160 hours of annual leave. At his base rate that is $6,080, and with the 17.5% leave loading most awards add, taking that leave is worth $7,144.
Other rosters and leave types
For the Australian full-time standard, see the 38-hour week page. To convert any balance into days, use the hours to days calculator, and to see accrual across both annual and personal leave, use the leave accrual calculator. Part-time and irregular hours are handled by the main annual leave calculator.
Annual leave on a 40-hour week.
Accrual, hours and how a 40-hour week compares with the 38-hour standard.