July 23, 2020
Do employees who take unpaid vacation during the Covered Period reduce the FTE calculation since they were working less than 40 hours per week?
Posted by Armanino Financial Advisory Team
Yes. You must calculate their total hours worked and paid (up to 40) during the Covered Period and divide by the number of weeks to get the average hours per week, then divide this amount by 40 to determine the individual’s FTE.