Two common ways to calculate work hours are by the hour and on a salaried basis. Hours that exceed a 40-hour workweek have a special method of calculation, according to the U.S. Department of Labor.Continue Reading
Calculating hours worked by an hourly employee is accomplished by adding up the employee's total hours worked each day during the pay period, as evidenced by using the online calculators on HourlySalaries.com. For example if the pay period runs Sunday through Saturday and an employee worked 6 hours on Monday, Wednesday and Friday, the employee's total hours for the pay period would be 6 + 6 + 6 = 18. These hours are used to calculate the employee's gross pay.
For salaried employees, the weekly salary is divided by 40 hours, notes HourlySalaries.com. For instance, $500 a week would equate to $12.50 an hour. If paid monthly, the monthly salary is multiplied by 12 to calculate the annual salary. That number is then divided by 52. Finally, the quotient is divided by 40 to calculate the hourly rate. So, if an employee makes $2000 a month, 2000 x 12 = $24,000; $24,000 / 52 = $461.54; $461.54/40 = $11.54.
Most employees who work more than 40 hours a week are entitled to overtime pay, according to the U.S. Department of Labor. The total number of overtime hours is calculated by adding the employee's total hours and subtracting 40 from the total. If an employee worked 55 hours in a week, 55-40 = 15 overtime hours.Learn more about Financial Calculations