When calculating an annual salary the most common mistake is to multiply your weekly rate by four (4) weeks in the month and then multiply that total by twelve (12) months. By figuring your annual salary in this fashion, you will under figure your salary by 4 weeks. The reason, you ask? Four (4) weeks per month multiplied by twelve (12) months per year is only 48 weeks, however, there are 52
. weeks in a year. For example $200.00 per week multiplied by four weeks and then multiplied by twelve weeks is $9,600.00 per year. In reality, you should multiply $200.00 per week by 52 weeks in a year, your annual salary is actually $10,400.00.
