 My hourly rate doesn't match salary-what gives?

posted 2 years ago in The Lounge
Post # 4
• Wedding: May 2017

That’s weird because if you multiply it how the PP did it is accurate. But if you multiply by months in the year it comes out to the 35 you said. I think PP is correct.  I don’t see a discrepancy.

Post # 5

Hi. So are you paid biweekly, I’m assuming? If so, the hourly rate you were paid was correct. Being paid biweekly means that there are 26 pay periods in the year, and there will be two months of the year where you receive 3 checks (usually June and December). 38000/26 biweekly pay periods is 1461.53.  Divide that then by the 80 hours in the pay period and you arrive at 18.27.  I think the math you did was with 2 paychecks per month.

Post # 6

There are an average of 4.333333 weeks in a month, not 4 weeks.  You are dividing 38000 by 12 months, then 12 months by 4 weeks, then by 40 hours.  That only works if there are only 48 weeks in a year, but there are 52.  You have to divide your monthly amount by 4.333333333, not 4.  Or just divide your annual by 52.  Either way, it looks like HR is correct.

38000 / 52 weeks = 730.77 / 40 hours = 18.27 per hour

Post # 8
• Wedding: August 2012

You can’t multiply it by month. You get 26 paycheques a year. If you go by month that’s only 24.

Post # 9

Yeah please don’t go to HR. Your math is just wrong.

Post # 10

Standard hours per year is 2,080 (40 hours per week x 52 weeks per year) – with that math you are at \$38,001.60. You can’t multiply by months because if there were only 4 weeks in every month, each month would only have 28 days.

Post # 13

Everyone here is correct. I write offer letters and for some of positions, I have to figure out the hourly rate. I divide the annual salary by 2080 to get the hourly rate, so 38000 / 2080 = \$18.27.

2080 comes from the standard work week hours of 40 multiplied by 52 weeks (40 hours x 52 weeks = 2080).