My PaycheckMy Paycheck

Calculating Gross PayCalculating Gross Pay

Identifying Identifying Deductions/WithholdingDeductions/Withholding

Calculating Net PayCalculating Net Pay

HOURLYHOURLY

Shawna Jackson is a mail clerk. She earns Shawna Jackson is a mail clerk. She earns $8.40 per hour. Last week she worked 40 $8.40 per hour. Last week she worked 40 hours, and this week she worked 39 ½ hours, and this week she worked 39 ½ hours. What is her regular straight-time hours. What is her regular straight-time pay?pay?

STEP 1: Find regular straight-time pay

Regular Hours Worked x Hourly Rate of Pay

OVERTIMEOVERTIME Alonso Perez is paid $8.20 an hour for a regular Alonso Perez is paid $8.20 an hour for a regular

40-hour work week. His overtime rate is 1 ½ 40-hour work week. His overtime rate is 1 ½ times his regular hourly rate (or time-and-a-times his regular hourly rate (or time-and-a-half). This week Perez worked his regular 40 half). This week Perez worked his regular 40 hours plus 10 hours overtime. What is his total hours plus 10 hours overtime. What is his total pay?pay?

STEP 1: Find regular straight-time pay

Regular Hours Worked x Hourly Rate of Pay

STEP 2: Find overtime rate per hour

1.5 (or could be 2 or 3) x Hourly Rate of Pay

STEP 3: Find total overtime pay

Overtime rate per hour x # of overtime hours worked

STEP 4: Find total pay

Regular straight-time pay + Overtime pay

• 40 x $8.20 = $328• 1.5 x $8.20 = $12.30 per overtime hour worked• $12.30 x 10 = $123.00• $328.00 + $123.00 = $451.00

STEP 1: Find regular straight-time pay

Regular Hours Worked x Hourly Rate of Pay

STEP 2: Find overtime rate per hour

1.5 (or could be 2 or 3) x Hourly Rate of Pay

STEP 3: Find total overtime pay

Overtime rate per hour x # of overtime hours worked

STEP 4: Find total pay

Regular straight-time pay + Overtime pay

SALARYSALARY

Beth Huggins is a computer Beth Huggins is a computer programmer. Her annual (yearly) salary programmer. Her annual (yearly) salary is $42,648. What is her monthly gross is $42,648. What is her monthly gross pay? What is her weekly gross pay?pay? What is her weekly gross pay?

STEP 1: Find salary per pay period

Annual Salary / Number of pay periods

STEP 1: Find yearly salary

Salary per pay period x Number of pay periods

• $42,648 / 12 = $3554.00

• $42,648 / 52 = $820.15

STEP 1: Find salary per pay period

Annual Salary / Number of pay periods

STEP 1: Find yearly salary

Salary per pay period x Number of pay periods

• $3554.00 x 12 = $ 42,648

• $820.15 x 52 = $ 42,648

Pay PeriodsPay Periods

Weekly Weekly – Paid every week– Paid every week (52 times a year)(52 times a year)

Bi-Weekly Bi-Weekly – Paid every other Friday; every 2 – Paid every other Friday; every 2 weeksweeks (26 times a year)(26 times a year)

Semi-MonthlySemi-Monthly – Paid twice a month; on the – Paid twice a month; on the same two days (1same two days (1stst and 15 and 15thth OR 15 OR 15thth and 30 and 30thth ) ) (24 times a year)(24 times a year)

MonthlyMonthly – Paid once a month – Paid once a month (12 times a year)(12 times a year)

PIECE WORKPIECE WORK

Ramon Hernandez works for National Ramon Hernandez works for National Cabinet Company. He is paid $8.00 for Cabinet Company. He is paid $8.00 for each cabinet he assembles. Last week he each cabinet he assembles. Last week he assembled 45 cabinets. This week he assembled 45 cabinets. This week he assembled 42. What is his gross pay for assembled 42. What is his gross pay for each week?each week?

STEP 1: Find piece work gross pay

Number of items completed x Pay per item

• 45 x $8.00 = $360

• 42 x $8.00 = $336

• TOTAL 360+336 = $696

STEP 1: Find piece work gross pay

Number of items completed x Pay per item

COMMISSIONCOMMISSION

Milton Arps sells real estate at a 7 ½ Milton Arps sells real estate at a 7 ½ percent straight commission. Last week percent straight commission. Last week his sales totaled $290,000. What was his his sales totaled $290,000. What was his commission?commission?

STEP 1: Find total commission

Total amount in sales x Commission rate

• $290,000 x 7.5% = $21750

• You can re-write 7.5% as a decimal by moving the decimal two places to the left which would look like this: .075

STEP 1: Find total commission

Total amount in Sales x Commission Rate

Additional Practice1. Izumi is a musician. She earns $35.00

per hour. She works 32 ½ hours. What is her regular straight-time gross pay?

$35.00 x 32.5 = $1137.50

2. Steve is a plumber. He earns $28.75 per hour. He works 39 ¾ hours. What is his regular straight-time gross pay? $28.75 x 39.75 = $1142.81

3. Jiwon Chang earns $11.70 per hour plus time-and-a-half for overtime. Last week he worked his regular 40 hours plus six hours on the weekend. What is his total gross pay?

$11.70 x 40 = $468$11.70 x 1.5 = $17.55$17.55 x 6 = $105.30$468 + $105.30 = $573.30

4. Nadia Campana earns a regular hourly rate of $23.60. She earns double-time for work on Sundays. Last week she worked her regular 36-hour week plus 7 ½ hours on Sunday. What is her total gross pay for the week?

$23.60 x 36 = $849.60$23.60 x 2 = $47.20$47.20x 7.5= $354.00$849.60+ $354.00= $1203.60

Additional Practice5. Michelle Giuseffi is a plice officer. Her annual

salary is $40,560. What is her biweekly gross pay? $40560 / 26 = $1560.00

6. Colin Evans is a hotel desk clerk who earns an annual salary of $21,216. What is his weekly gross pay? $21,216/ 52 = $408.00

7. Carol Smith earns $536.75 semi-monthly. What is her annual salary? $536.75 x 24= $12,882.00

8. Gabrielle Santos is a little league umpire. She earns $20 per game on weekdays and $25 per game weekends. She umpires 14 weekday games and 3 weekend games. What is her total gross pay? $20 x 14 =$280

$25 x 3 = $75 $355

9. 124 items were produced. The rate per item was $0.89. What is the total gross pay?

• $0.89 x 124= $110.3610. John Roberts receives a 5 ¾ percent

commission on total sales for the week. This week he sold $12,000 in merchandise. What was his commission for the week?

$12,000 x 5.75% = $690.00