Annual Wage / Salary How much a person is paid in a year Wages & Salaries 12 months in a year 52...

Annual Wage / Salary How much a person is paid in a

year

Wages & SalariesWages & Salaries

12 months in a year

52 weeks in a year

£12 428 £12 428 ÷÷ 52 = £ 239 52 = £ 239Weekly wage = Weekly wage =

Example 1 :

A shop assistant gets paid £12 428 a year.

How much is her weekly wage.


Number of weeks in a year

£1 100 x 12 = £ 13 £1 100 x 12 = £ 13 200200

Annual Salary = Annual Salary =

Example 2 :

A mechanic gets paid £1 100 a month. A bus driver gets paid £260 a week.

Who gets the better annual salary.


Mechanic :Mechanic :

Bus Driver :Bus Driver : £260 x 52 = £ 13 520£260 x 52 = £ 13 520Annual Salary = Annual Salary =

Bus driver has better annual wage

Months in a year

Weeks in a year

Example 2 :

Rachael earned an annual salary of £ 20 000 last year. She receives a 10% rise this year. What is her new salary.

Salaries & OvertimeSalaries & Overtime

0.1 x £20 000 = £ 2 0000.1 x £20 000 = £ 2 000Rise :Rise :

New salary :New salary : £20 000 + £2 000 = £ 22 £20 000 + £2 000 = £ 22 000000

10% as a decimal= 10 ÷100= 0.1

Example 3 :

Kerr earned an annual salary of £ 18 000 last year. He receives a 4% rise this year. What is his new salary.


0.04 x £18 000 = £ 720Rise :

New salary :£18 000 + £720 = £ 18 720

4% as a decimal = 4 ÷ 100= 0.04

Overtime : When you do extra work above your basic hours.

Time Sheets & OvertimeTime Sheets & Overtime

You get a better hourly rate for overtime.

Write down the two common rates of overtime

Double time (x2)

Time and a half (x1.5)

5 x £16 = £80.005 x £16 = £80.005 hours overtime is = 5 hours overtime is =

Example 2 : Jordan the gardener works a basic 40 hours a week. He does 5 hours overtime at ‘double time’ on Saturday. His hourly rate is £8 per hour. Work out his overtime pay and then his total pay.


40 x £8 = £320.0040 x £8 = £320.0040 hours basic time is 40 hours basic time is = =

Total pay is = £320 + £80 = £400Total pay is = £320 + £80 = £400

Overtime Rate = £8 x 2= £16.00 per hour

Salaries & OvertimeTime and a half

To calculate ‘time and a half’ overtime

Time can be described as the whole thing or 1

Half of time can be described as

So…….. time and a half can be described as 1.5

Therefore to calculate time and a half we ………

……… Multiply by 1.5

0.5

4 x £9 = £36.004 x £9 = £36.004 hours overtime is = 4 hours overtime is =

Example 3 : Tim the shop assistance works a basic 30 hours a week. He does 4 hours overtime at ‘time and a half’ on Sunday. His hourly rate is £6 per hour. Work out his overtime pay and then his total pay.


30 x £6 = £180.0030 x £6 = £180.0030 hours basic time is 30 hours basic time is = =

Total pay is = £36 + £180 = £216.00Total pay is = £36 + £180 = £216.00

Overtime rate = 1.5 x £6= £9.00

CommissionCommissionPiecework

What is piecework??

…. A payment for a number of items made, or tasks completed

Money earned based on how much you sell. Usually expressed as a percentage.

Write some people who get commission

Car sales person

Double glazing sales person

Commission :

CommissionCommissionPiecework

Example 2:

Nicola is paid £3.75 for every 20 worms she brings to the local bait shopHow much is she paid for bringing back 140 worms?

140 ÷ 20 = 7

To find out how many ‘lots of 20 worms’ she has brought back

therefore Payment = 7 x £3.75 = £26.25

Example 1 :

Bob sells car. He is paid a commission of 5% on any carshe sells. Last week he sold £ 20 000 worth of cars. How much commission was he paid ?

CommissionCommission

0.05 x £20 000 = £ 1 000Commission :

Converting 5% to a decimal= 5 ÷ 100

= 0.05

Gross Pay : What you are paid by the employer.


TaxNational

Insurance

Deductions : Taken off your wages.

Net Pay : Your take home pay.

Pension

I ncome Basic £603.65 O/T £85.50 Bonus £50.00 Total

Deductions Tax £142.75 Nat Ins. £30.72 Pension £34.29 Total

NET PAY

Name : J oe Bloggs

Example 3 : Calculate the Net wage for this payslip :


739.15

207.76531.39

Net pay = Total income - Deductions

Simple InterestSimple InterestJust working

out percentages

Simple InterestSimple Interest

I have £400 in the Bank. At the end of each year I receive 7% of £400 in interest. How much interest do I receive after 1 years?How much do I now have?

7% as a decimal = 7 ÷ 100 = 0.07

Then interest earned 0.07 x £400 = £28

Amount in bank £400 + £28 = £428


out percentages


I have £1200 in the Bank. I receive 10% p.a. in interest. How much interestdo I receive if I take my money out after 3 months.

I nterest p.a. = 10 ÷ 100 1200 = £120

After 1 month interest is 120 12 = £10.

After 3 months interest is = £10 3 = £30


out percentages


Stuart invested £4000 in the building Society with an interest rate of 5% p.a. How much does he have after 6 years?

5% as a decimal = 5 ÷ 100 = 0.05

Interest earned after 1 year = 0.05 x £4000 = £200

Interest earned after 6 years = 6 x £200 = £1200

Annual Wage / Salary How much a person is paid in a year Wages & Salaries 12 months in a year 52...

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