How to annualize the hours for a salaried employee?
An exempt employee’s annual salary is $65,000 and paid bi-monthly. The annualized hourly rate of pay would be $31.25 ($65,000 salary / 2,080 hours in a year).
But suppose the employee was injured and could only work part-time. What I don’t understand is how to annualize THE HOURS WORKED.
Example: Employee works 6 hours a day for ten days. So (6 hours * 5 days a week * 52 weeks a year) / 24 pay periods = 65.00 hours annualized. That formula works if the employee worked the same number of hours every day for a ten-day pay period.
But what if the employee worked 4 hours one day, 6 hours the second day, 5 hours the third day, etc. How do I annualize the hours for each one of these days? What is the annualized hours if the employee worked 5 hours for one day? 6 hours for one day?
ten points to first person who can tell me the formula.
Try this:
Annualized hours / Number of work days in pay period =
Per diem hours * Actual number of days to pay * Hourly average = Dollar amount of pay
WHAT IS THIS FOR ? And you don’t annulize for days… “annualize”
MEANS years. If you want AWW/Average Weekly Wages…you calculate
by the WEEK. Regardless of how many hours per day. Keep your
points…what good are they here?