Faroe Islands Annual Leave & Holiday Pay Calculator
Calculate vacation day entitlements (5 weeks / 25 days) and the statutory 12.0% holiday remuneration (frítíðarlon) under Faroese labor law and TAKS holiday fund administration.
Earnings & Contract Details
Total taxable wages earned during the holiday qualifying year (May 2 - May 1).
Statutory 12.0% holiday allowance accrued on gross wages, remitted to the TAKS Holiday Fund or paid during vacation leave.
Annual Leave Accrual Matrix All amounts in DKK
| Statutory Metric | Basis / Formula | Value |
|---|---|---|
| Gross Qualifying Earnings | Total earnings subject to Frítíðarlogin | 420,000 kr. |
| Months in Qualifying Period | May 2 to May 1 service period | 12 months |
| Vacation Days Accrued | 2.08 days per qualifying month | 25.0 days |
| Equivalent Vacation Weeks | Based on 5-day working week | 5.0 weeks |
| Statutory Holiday Allowance (12%) | 12.00% under Frítíðarlogin | 50,400 kr. |
| Daily Holiday Pay Rate | Total Allowance ÷ Accrued Days | 2,016 kr. |
| Effective Remuneration with Holiday Pay | Gross + 12% Holiday Overhead | 470,400 kr. |
Faroe Islands Annual Leave & Frítíðarlon Regulatory Framework
Accrual of Holiday Entitlements
According to the Faroese Holiday Act (Logtingslog um frítíð við lon), all employees earn 2.08 vacation days per month of employment during the qualifying period (May 2 through May 1). Over a full 12 months, this grants the employee an unalienable statutory right to 25 working days (5 full calendar weeks) of annual leave.
Hourly Workers & TAKS Frítíðargrunnur
For hourly employees, casual staff, and temporary workers, employers do not pay wages during leave directly. Instead, they are required by law to remit 12.0% of gross earnings on every payroll cycle to the central TAKS Holiday Fund (Frítíðargrunnurin). When taking vacation in the subsequent holiday year, the worker claims their accumulated funds directly from TAKS.
Monthly Salaried Staff Protection
Permanent monthly salaried employees (manaðarlont) generally receive their customary full monthly pay while enjoying their 25 vacation days, typically accompanied by an additional holiday supplement (frítíðarískoyti) of 1.5% paid in May or June.
Contract Termination & Encashment
When an employee departs an enterprise, the employer must settle all accrued, untaken vacation rights by issuing a settlement certificate or depositing 12.0% of the employee’s gross earnings from the current and preceding accrual periods into the TAKS Frítíðargrunnur on the worker’s behalf.
Frequently Asked Questions (FAQ)
How many days of paid annual leave are workers entitled to in the Faroe Islands? ↓
Under Frítíðarlogin (the Faroese Holiday Act), employees accrue 2.08 working days of vacation for each month worked in the qualifying year, totaling 25 working days (5 full working weeks) for a complete 12-month period.
What is the statutory Holiday Pay rate (Frítíðarlon) in the Faroe Islands? ↓
For hourly and temporary workers, the statutory holiday pay allowance is a flat 12.0% of gross taxable remuneration, paid directly into the TAKS Holiday Fund (Frítíðargrunnurin) or via approved holiday vouchers.
How is holiday pay handled for monthly salaried staff? ↓
Monthly salaried employees generally receive their full ordinary salary while on holiday plus a statutory holiday supplement (usually 1.5%). When an employee terminates employment, unused accrued vacation must be settled at 12.0% of gross earnings during the qualifying period.
What is the Faroese holiday qualifying and taking year? ↓
The statutory holiday accrual year runs from May 2 to May 1 of the following year. The accrued vacation is subsequently taken in the holiday year commencing May 2.
Can an employee choose to take cash instead of taking holiday in the Faroe Islands? ↓
No. Under Frítíðarlogin, taking statutory annual leave is mandatory to ensure worker health and rest. Cash payout without taking time off is strictly unlawful except upon contract termination or statutory exceptions regulated by TAKS.
📊 TAKS & Faroese Labor Market Funds (Samhaldsfasti) Matrix
| Statutory Component / Legal Deduction Item | Calculated Amount (DKK) |
|---|---|
| Primary Net / Statutory Payable Amount | 0 kr. |