Salary can be an important factor when choosing between job opportunities. Employers can present a salary offer in different ways, such as an hourly wage, daily wage, weekly wage, monthly wage, or annual wage. These all sum up to the same amount if looked at over the same period of time.
With different job offers presented in different ways, this can get confusing as employees aren’t able to compare them easily. To do so, they may need to do some math.
Annual salary to hourly wage
Determine the total number of hours worked by multiplying the hours per week by the number of weeks in a year (52). Next, divide this number by the annual salary. For example, if an employee earns $50,000 and works 40 hours per week, the hourly rate is $50,000/2,080 (40 x 52) = $24.04.
Hourly = Salary per year / (Hours per week x Weeks per year)
Monthly wage to hourly wage
Hourly = [(Monthly wage x 12) / Weeks per year] / Hours per week
Weekly pay to hourly wage
Hourly = Weekly pay cheque / Hours per week
Daily wage to hourly wage
Hourly = Daily wage / Hours per day
What is overtime?
If employees work more than a specific number of hours a week, they are considered to be working overtime. Employees may qualify for overtime pay, which will be more than the usual hourly wage. In some cases, the overtime pay is 1.5x than the regular hourly wage.
Overtime laws are dependent on provincial laws. Some provinces consider working more than 40 hours a week as overtime, while others consider it more than 44 hours per week. Specific workers may be exempt from receiving overtime pay.
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