Help with wages calculations

wonderwife2008
wonderwife2008 Registered Posts: 41 Regular contributor ⭐
I am practising wages calculations and wondered if someone could help with the following:

At RBA Ltd the basic working week is 8 hrs per day mon to fri. Any hours in excess of 8 hours are paid at the basic hourly rate of £8 plus an overtime premium of 50% of basic pay. Any hours worked on saturday and sunday are paid at an overtime premium of 100% of basic pay.

Work out the basic wage and overtime premium for each day:

Monday 8 hrs worked direct tasks
Tuesday 8 hrs worked
Wed 9 hrs worked
Thursday 10 hrs worked
Friday 8 hrs worked
Saturday 8 hrs worked
Sunday 4 hours worked

Then calculate the direct wage cost and indirect wage cost for the week (overtime premium is calculated as an indirect cost)

I always get the basic and overtime in the wrong columns :blushing:

Comments

  • acc1077
    acc1077 Registered Posts: 138 Dedicated contributor 🦉
    Hi

    I think if my calcluations are correct that the answer should be
    Direct wage Cost £440
    Indirect Cost £108



    Made up as follows Total hours 55 hrs @ 8 = £440 direct
    Wed/Thurs o/t 3 hrs @ 4 = £12 indirect
    Sat/Sun o/t 12hrs @ 8 = £96 indirect.

    Hope this answer your question. and if i'm wrong i'm sure someone will shout at me. :001_smile:
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