My WH-347 Certified Payroll Reports Expired 12/31/11 - Now What?
The current U.S. Department of Labor WH-347 Certified Payroll Report expired on 12/31/2011. Don't worry - you can continue to use that form until the new one is released!
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How is Weighted-Average Overtime Calculated? |
Weighted-average overtime is calculated using the following 4-step mathematical equation:
- All hours are treated as straight time (ST) and the hours are multiplied by the ST rate of pay to determine TOTAL A
- TOTAL A is then divided by the total hours worked in the week and then divided by 2 to determine RATE B
- RATE B is multiplied by the number of hours over 40 to determine TOTAL C
- TOTAL A plus TOTAL C = weighted average gross pay.
An expanded example: Joe works 25 hours at $10.00/ph and 25 hours at $12.00/ph for a total of 50 hours in the workweek. 10 hours of overtime are calculated.
- (25 hours x $10.00) $250.00 + (25 hours x $12.00) $300.00 = $550.00
- $550.00 divided by 50 hours = $11.00 divided by 2 = $5.50
- $5.50 x 10 hours = $55.00
- $550.00+ $55.00 = $605.00 weighted average gross pay
Next FAQ --> What States Require Weighted-Average Overtime?
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