Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

Are overtime pay and excess vacation pay included in final compensation?

April 26, 2017compensation excess final included overtime pay vacation

0

Posted

Are overtime pay and excess vacation pay included in final compensation?

1 Answer

0

Posted

No, overtime is not considered “pensionable earnings;” therefore it is not included in final average compensation. The amount you receive upon termination for unused vacation and sick leave, also called “termination pay,” is not pensionable earnings. Active employees may be eligible to receive compensation for excess vacation, holiday, or sick leave (also called “buy-back”); up to certain maximums. This compensation is included in your final compensation.