Sri Lanka No-Pay Leave Salary Deduction Calculator

No-pay (unpaid) leave is salary you forfeit for the days you are absent once your paid leave runs out. Sri Lanka has no single statutory divisor for private employers, so payroll teams use one of three recognised methods. The tool runs all three and lets you select the one your employer applies. Let S be the salary base (basic or gross, your choice), n the no-pay days, and D the divisor for the method:

1. Per-day rate = S ÷ D. The divisor differs by method:
   • 30-day (calendar): D = 30. The most common private-sector default and the simplest.
   • Working days: D = the days the office operates (you enter this; typically 22). A smaller divisor means a higher per-day rate, so the same leave costs more.
   • Actual days: D = the calendar length of the month (28–31). This mirrors the Establishments Code basis used for part-month public-sector salary.
2. No-pay deduction = per-day rate × n, capped at one full month's salary so the result never goes below zero.
3. Net salary = S − deduction.The tool cross-checks this against the equivalent “pay for days worked” formula (per-day rate × the days you did work), which lands on the same figure.
4. EPF / ETF impact. EPF and ETF are charged on the earnings actually paid for the month, so the reduced salary becomes the new contribution base. Employee EPF = base × 8%, employer EPF = base × 12%, ETF = base × 3%. The panel compares these against a full-pay month so you see exactly how much less reaches your fund. The rates are fixed by statute; only the base falls.

For v1 the EPF-eligible amount is taken to be the salary base you enter. In practice EPF applies to basic salary plus permanent allowances, so if your allowances are excluded from EPF, choose the “basic only” base. Lump-sum payments, APIT/PAYE re-calculation on the reduced salary, and hourly proration beyond half-days are out of scope — use the dedicated income-tax tool for APIT.

• Establishments Code of Sri Lanka, Chapter XII (Leave) — Department of Public Administration
• Shop and Office Employees Act No. 19 of 1954 (as amended) — Department of Labour
• Employees' Provident Fund Act No. 15 of 1958 (8% + 12%) — Central Bank of Sri Lanka, EPF Department
• Employees' Trust Fund Act No. 46 of 1980 (3%) — ETF Board
• WageIndicator Sri Lanka — salary, leave and labour-law reference

The EPF/ETF rates and the three deduction methods were last cross-checked against these sources on 2026-06-14. Employer payroll policy decides which divisor applies to you — confirm it with your HR or payroll team before relying on a figure.