Gross Earnings: Piecework and Commissions

Slides:

Advertisements

Similar presentations

Higher Business Management

Advertisements

What is the major reason people work? Love of your job? To sharpen your soft skills? To meet new and exciting people? NO – to make money!!! Focus: How.

Calculations In Everyday Contexts.

Chapter 9 Payroll McGraw-Hill/Irwin

Chapter Seven PAYROLL AND INCOME TAX Copyright © 2014 by The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin.

Wage Calculations.

Chapter 09 Payroll Copyright © 2011 by the McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin.

Payroll Accounting Making Accounting Relevant Businesses issue payroll checks to their employees to compensate them for work performed. Making Accounting.

Calculations In Everyday Contexts.. Wage Rises Example 1. (a) The new annual wage. (b) The new monthly wage. Solution (a)The new annual wage = old wage.

McGraw-Hill/Irwin ©2011 The McGraw-Hill Companies, All Rights Reserved Chapter 9 Payroll.

Basic Consumer Mathematics Skills Workbook

Chapter 6 Payroll Section 2 Gross Earnings: Piecework and Commissions © 2012 Pearson Education, Inc. All rights reserved.

Commissions, Royalties, & Piecework Pay

 Love of your job? To sharpen your soft skills? To meet new and exciting people?  NO – to make money!!!  Focus: How to calculate different types of.

Calculating Gross Earnings with Differing Methods of Compensation.

McGraw-Hill/Irwin ©2008 The McGraw-Hill Companies, All Rights Reserved Chapter 9 Payroll.

Chapter Nine PAYROLL Copyright © 2014 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin.

9-1 Payroll Kirkwood Community College March 2, 2009 Presented by Sanh Tran, MBA, CPIM, CTL.

Earning an Income Review. Hours worked Joe starts work at 2:15 PM, and he gets off work at 6:20 PM. He has no break. How long did he work? – 2:15 to 6:15.

PAYROLL ACCOUNTING. WHAT IS PAYROLL?  Payroll – total amount earned by all employees for a pay period.  Pay Period – an amount of time over which an.

Gross Pay Chapter Hourly Pay Employees – People who work for others Employer – The person or company and employee works for. Hourly Rate - a certain.

Section 4.1: Gross Earnings. Unit 4.1 Vocabulary 1. Base salary 2. Commission 3. Commission employees 4. Double Time 5. Gross Pay 6. Hourly employees.

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

How Much Are You Really Making? NEXT This presentation will help you to: understand the difference between gross and net pay accurately calculate gross.

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

Consumer Decisions Earning Money.

Chapter 9 Payroll McGraw-Hill/Irwin

Unit 1: The Job 1.1 Hourly Pay. 1.1 HOURLY PAY What kind of jobs are hourly? What kind of jobs are hourly? What does that mean? What does that mean? You.

Gross Earnings, Wages and Salaries Chapter 6: Payroll Section 6.1.

Gross Earnings: Piecework and Commissions Section 6.2.

GOALS BUSINESS MATH© Thomson/South-WesternLesson 1.1Slide 1 1.1Hourly Pay and Salary Calculate gross pay for hourly-rate employees Calculate gross pay.

Pay Periods and Hourly Rates

CHAPTER 1 GROSS INCOME. WHAT WILL WE LEARN? Section 1-1 Calculate straight-time pay. Figure out straight-time, overtime, and total pay. Calculate the.

Payroll Accounting Making Accounting Relevant Businesses issue payroll checks to their employees to compensate them for work performed. Making Accounting.

Chapter 12 Payroll Accounting

Commission pp SECTION 1-6. SECTION MBA, Section 1- 6, Slide 2 of Section Objective Calculate: straight commission Determine: gross pay.

Chapter 6 Payroll.

1 Earning Money - Contents 1.SalarySalary 2.WagesWages 3.CommissionCommission 4.RoyaltiesRoyalties 5.PieceworkPiecework 6.OvertimeOvertime 7.Addition &

Chapter 1 Gross Pay.

Unit 43 Paycheck Calculation. Basic Principles of Paycheck Calculation Two main terms are used regarding payroll: gross pay and net pay. –Gross pay is.

Ch 12: Payroll Accounting Ms. Alltucker Accounting II.

Using Math in Consumer Credit and Payroll

WAGES AND SALARIES lc/pm1. 2 WAGES AND SALARIES It is important that employees are properly rewarded for the work they do. Employers’ ObjectivesEmployees’

Your Reward for Hard Work Your paycheck should reflect your gross income. Why is it important to know how to calculate your gross income?

SECTION Copyright © Glencoe/McGraw-Hill MBA, Section 1- 6, Slide 1 of Section Objective Calculate: straight commission Determine: gross pay.

Commission pp SECTION. Copyright © Glencoe/McGraw-Hill MBA, Section 1- 6, Slide 2 of Section Objective Calculate: straight commission.

 Gross Pay - income earned before any deductions  Salary - monthly or annual  Hourly - regular and overtime  Piecework - earn a set amount per item.

Financial Terms Important Terms for Life and for Spreadsheets.

CAN YOU MAKE THE BASKET?. Find your seat. Team 1 Team 2 Team 3 Team 4 Team 5 Team 6 Team 7 Team 8 Team 9.

Basic Goals of Payroll System  Prepare and issue payroll checks  Produce records for accounting purposes and reporting to government and management.

Finance Warmup August 31, Find your total pay if you earn $16 an hour, you worked 40 hours this week and 7 hours of overtime. You receive time.

 Make a list o fall the jobs you’ve had.  If you haven’t had a job, make a list of your parents or a relatives.  Next to each job explain how, when,

PAYROLL ACCOUNTING Chapter 12. Using a Payroll System  Payroll – list of the employees and the payments due to each for a pay period  Pay Period – the.

Gross Earnings, Wages and Salaries Chapter 6: Payroll Section 6.1.

Commission DO NOW… A real estate broker charges a 6% commission. Find the commission on a house selling for $268,500.

Cambridge University Press  G K Powers Earning and managing money Study guide 1.

Taxes & Spending Calculating Gross Earnings 4.01A – Explain taxes on income. “We make a living by what we get; we make a life by what we give.” Sir Winston.

Math Review Units 1 and 2. Unit 1 – Money Math My comfort Level Topic Module found in 1.1 Compare the unit price of two or more given items.A 1.2 Solve.

Practical Math Applications © Cengage Learning/South-Western Practical Math Applications © 2011 Cengage Learning. All rights reserved. May not be scanned,

1.1 Hourly Pay When you get a fixed amount of money for each hour you work. Hourly rate: amount paid per hour worked. Straight-time pay: the total amount.

CALCULATING GROSS EARNINGS WITH DIFFERING METHODS OF COMPENSATION.

SECTION 1-4 Piecework pp

Chapter 9 Payroll.

Payroll Accounting $ $ $ $ Making Accounting Relevant Chapter 12

Chapter 9 Payroll McGraw-Hill/Irwin

Identify the steps of Selling.

How to calculate Commission.

LESSON 12-1 Preparing Payroll Time Cards

1. Earning and managing money

Presentation transcript:

Gross Earnings: Piecework and Commissions Section 6.2 Gross Earnings: Piecework and Commissions

Piecework Piecework Rate: pays an employee a given amount per item produced. (no regard to time) Gross Earnings = pay per item x number of items EX: A production worker is paid $0.58 for assembling a lamp, $1.23 for a ceiling fan, and $0.86 for a box fan. One week, a worker assembled 220 lamps, 318 ceiling fans, and 174 box fans. Find the worker’s gross earnings.

Gross Earnings for Differential Piecework The pay per item is dependent of the number of items produced. (The pay increases with # produced as an incentive.) EX: Scooter Frame Co. pays welders as shown. Find the gross earnings of a welder who welds 282 frames. 1 – 150 Frames $2.85 each 151 – 250 Frames $3.20 each 251 + Frames $3.45 each

Gross Pay for Piecework with a guaranteed hourly wage The worker can earn an hourly wage or piecework pay, whichever is more. EX: A cabinet door finisher is paid $14.70 per hour for an 8-hour day, or $0.95 per cabinet door finished, whichever is higher. Find the gross earnings: DAY Mon Tues Wed Thurs Fri # of Doors 106 127 152 120 138

Overtime Earnings for Piecework Time and a half is paid on the piecework rate for Overtime! Ex: An assembler is paid $0.84 for each child car seat assembled. During a recent week, she assembled 400 seats on regular time and 138 car seats during OT hours. If time and a half is paid for each OT assembly, find the gross earnings per week.

Gross Earnings for Commission Gross Earnings = Commission Rate (%) x Sales Note: any returns and allowances must be deducted from sales before you multiply! Ex: An Avon salesperson had sales of $45,350 one month, with returns and allowances of $432. If the commission rate is 18%, find the gross earnings.

Variable commission rate Sliding scale is designed to be an incentive to get more sales. Find the correct rate based on sales, then multiply. EX: Timmy sells office copiers to businesses and is paid a variable commission rate. Find the gross pay if sales are $38,400. Sales Commission Rate Up to $20,000 2% 20,001 - $30,000 2.5% Over $30,000 3%

Salary plus Commission Blends commission with guaranteed pay. Gross pay = fixed amount per pay period + commission EX: Sanford is paid a salary of $290 a week, plus a 4% commission on all sales over $750. Find his gross earnings for a week in which his total sales were $1870.