1. Chapter 1 Gross Pay

2. 1.1 Hourly Pay and Salary

3. Gross Pay for Hourly-Rate Employees
Those who work for others
Employers-
The person or company an employee works for
Hourly Rate-
Certain amount for each hour worked
Gross Pay-
Total amount of money paid to an employee

4. Hourly x Number of = Gross Pay
Pay Hours Worked
$7.50 x 46 hrs =
$16.25 x 25 hrs =
8hrs x 5 days = 40 hrs x $18.75=
= 32 hrs x $9 =

5. Gross Pay for Salaried Employees
Salary-
Fixed amount of money for each time period worked
Pay per x Number of Time = Gross
Time Period Periods Worked Pay

6. Pay Periods E. $680 x 2 wks = F. $540 x 52 wks =
Weekly Bi Weekly-26
Monthly x per Month-24
Yearly/Annually-1
Semiannually-2
E. $680 x 2 wks =
F. $540 x 52 wks =

7. 1.2 Average Pay

8. Simple Averages Average- ($18 + $58 + $32) / 3=
Single number used to represent a group of numbers
($18 + $58 + $32) / 3=
($2,400+$3,200+$1,500+$1,700)/4
$264/38
($35,800+$47,000)/2=

9. Averages in Grouped Data
E. 5 x $12 = $60
2 x $ = $18
+ $11
$89/8=
F. ($280 + $315 + $424 + $265)/ 4 =

10. Unknown Items in a Set of Data
G =
77 x 5= =
H. 4 x 86 = =

11. 1.3 Regular and Overtime Pay

12. Recording Hours Worked
How do you clock in?
Magnetic Strip Card
Time Card
Time Sheet
Computer Log-In

13. Overtime and Overtime Pay Rates
Time worked beyond the regular working day or week
Time-and-a-half pay-
x 1.5
Double time-
x 2

14. 1.5 x Regular Pay Rate = Time-and-a-half rate
(don’t round)
2 x Regular pay rate = Double-time rate
1. $7.51 x 1.5 = $7.51 x 2 =
2. $8.76 x 1.5 = $8. 76 x 2 =
3. $13.67 x 1.5 = $13.67 x 2 =
B. $11.25 x 1.5 = $11.25 x 2 =

15. Regular and Overtime Wages
S1: Find the regular & overtime hours worked
S2: Find the overtime pay rate
S3: Find the regular pay
S4: Find the overtime pay
S5: Add regular and overtime pay

16. C. Regular =
Overtime =
$13.69 x 1.5 =
38 x $13.69 =
2.25 x =
$ $46.20 =

17. D. Regular 40
Overtime 45.3 – 40 =
$17.50 x 1.5 =
$17.50 x 40 =
$26.25 x 13.4 =
$700 + $ =

18. 1.4 Commission Straight Commission Commission-
An amount for each item sold or a percent of the dollar value of sales
Quantity sold x rate of = commission
commission
$1.30 x 74 =
$0.075 x 1,200

19. Sales x Rate of commission = commission
C x $9,500 =
D. $ $3,150 + $3,940 =
$9,960 x 0.15 =

20. Commission Based on Quota
Fixed amount is called quota
Have to meet quota before receive commission
E. $2,890-$2,000 =
$890 x 0.03 =
$ $125 =
F. $29,700 - $15,000 =
$14,700 x 0.07 =
$1,029 + $2,300 = $3,329

21. Graduated Commission
Rate of commission increases as the sales increases
G. $100,000 x 0.03 =
$120,000- $100,000 = $20,000 x 0.05 =
$3,000 + $1,000 =
H. $112,000 - $85,000 =
$85,000 x 0.15 =
$27,000 x 0.18=
$4,860 + $12,750 =

22. Rate of Commission on Sales
Rate of = Amount of / Sales
Commission Commission
I. $448 / $6,400 =
J. $3,240 / $54,000 =

23. 1.5 Other Wage Plans

24. Piece-Rate Employees Paid by the number of pieces you produce
Number of Pieces x Piece Rate = Gross Pay
Produced
A =
35 x $18 =
B – 6 =
94 x $1.20 =

25. Per Diem Employees Per Diem –
By the Day
Per Diem Rate x Number of Days = Gross Pay
C. $425 x 180 =
D. $20 x 57 =

26. Tip Employees Tip - Tip Percent x Total Bill = Tip Amount
Amount of $ given to someone for services provided
Tip Percent x Total Bill = Tip Amount
Tip Per Unit x Number of Units = Tip Amount

27. E. 1. $10.20 x 0.15 =
2. $ $1.53 =
F. 1. $7.60 x 0.15 =
2. $ $1.14 =