Some employees work multiple positions with different pay rates at a business. If they work overtime, employers must calculate the weighted overtime. Multiply the weighted average by 0.5 to get the blended overtime rate. the regular hourly rate used must be at least the minimum wage. Overtime Calculator This overtime calculator figures your total overtime paycheck and the OT rate, together with the regular pay by taking account of the number of hours worked. Everything there is to know on how to deal with this calculation is explained below the tool. Weighted Average (Blended) Overtime Example Calculations. For this example, assume that an employee normally earns $10 an hour working at trade shows, but receives a premium flat rate of $8.75 an hour for travel time. BLENDED OT RATE (Avg ST Rate X .5) 1) PARA-PROFESSIONAL 2) CUSTODIAN (15.23 X .5) The worksheet takes the straight time wages divided by the total straight time hours worked to arrive at an average ST rate. It then multiplies the average ST rate times the .5 to arrive at the OT Blended Rate. The OT Blended Rate times the OT hours equals the OT Pay. Blended hourly rates refers to the practice of averaging out the billable hourly rate of a group of individuals. This is done in lieu of quoting and/or billing individual hourly rates. Blended rates can also be derived from a weighted average where hourly rates are weighted according to the amount of time an individual will devote to a project.
hourly rate will not be the regular rate if additional compensation or incentive pay is earned by the employee during the workweek. EXAMPLE: An employee paid 11 Jun 2019 So, when calculating overtime for hourly non-tipped employees, the Overtime must be applied to the blended rate, which is a combination of
The following are examples of how to calculate the regular rate of pay: If you are paid on an hourly basis, that amount, including among other things, shift
Weighted Average (Blended) Overtime Example Calculations. For this example, assume that an employee normally earns $10 an hour working at trade shows, but receives a premium flat rate of $8.75 an hour for travel time. BLENDED OT RATE (Avg ST Rate X .5) 1) PARA-PROFESSIONAL 2) CUSTODIAN (15.23 X .5) The worksheet takes the straight time wages divided by the total straight time hours worked to arrive at an average ST rate. It then multiplies the average ST rate times the .5 to arrive at the OT Blended Rate. The OT Blended Rate times the OT hours equals the OT Pay.
Overtime Calculator This overtime calculator figures your total overtime paycheck and the OT rate, together with the regular pay by taking account of the number of hours worked. Everything there is to know on how to deal with this calculation is explained below the tool. Weighted Average (Blended) Overtime Example Calculations. For this example, assume that an employee normally earns $10 an hour working at trade shows, but receives a premium flat rate of $8.75 an hour for travel time. BLENDED OT RATE (Avg ST Rate X .5) 1) PARA-PROFESSIONAL 2) CUSTODIAN (15.23 X .5) The worksheet takes the straight time wages divided by the total straight time hours worked to arrive at an average ST rate. It then multiplies the average ST rate times the .5 to arrive at the OT Blended Rate. The OT Blended Rate times the OT hours equals the OT Pay. Blended hourly rates refers to the practice of averaging out the billable hourly rate of a group of individuals. This is done in lieu of quoting and/or billing individual hourly rates. Blended rates can also be derived from a weighted average where hourly rates are weighted according to the amount of time an individual will devote to a project. In their simplest form a blended rate is when a law firm offers the services of two or more staff members at the same hourly rate when the staff members are normally billed at different hourly rates. Say attorney A has a standard hourly rate of $500 and attorney B has a standard hourly rate of $200. Blended interest rates are also used if you are consolidating student loans under a federal program and in certain types of corporate accounting. For instance, you might want to know the total effective rate a company is paying on its corporate debt, even though it might have many outstanding loans of different amounts and sizes. Do you really know how to calculate overtime pay? For most employers, the overtime calculation is very straightforward – employees receive one-and-a-half times their regular rate of pay for all hours worked over 40. But