Hourly Rate a Fixed Amount Per Hour

Math Applications Hourly Rates and Overtime

Essential Question:

Vocabulary –

 Hourly Rate – a fixed amount per hour

 Overtime – more than regular hours

 Overtime Rate – amount per hour for overtime

 Gross Pay – the total amount of money earned Different Forms of Income –

Hourly Wages – Federal Minimum Wage is ______.

Current Minimum Wage in New York is ______. (for non-tipped workers)

Number of hours worked in a week before premium pay is ______.

 As of December 31, 2015, the Minimum Cash Wage for Tipped Workers in the Hospitality Industry is $7.50 per hour if they earn enough in tips.  As of December 31, 2015, the Minimum Wage for other Tipped Workers is $7.65 per hour if they earn at least $1.35 per hour in tips, or $6.80 per hour if they earn at least $2.20 per hour in tips. If tips aren't sufficient to reach minimum wage, the employer is required to pay the employee minimum wage.

The federal overtime provisions are contained in the Fair Labor Standards Act (FLSA). Unless exempt, employees covered by the Act must receive overtime pay for hours worked over 40 in a workweek at a rate not less than time and one-half their regular rates of pay.

According to the FLSA overtime rate for minimum wage is ______.

Calculating Pay –

Example: The Corner Bakery pays Jane minimum wage as a cashier. One week she worked 43 hours. She was paid for overtime at time and a half for all hours over 40 hours. Find her total weekly pay.

Step 1 – Find regular weekly pay. Step 2 – Find overtime pay. Step 3 – Find total pay.

Practice: 1.) Complete the following chart. (Overtime is time and a half over 40 hours)

Hourly Rate Hours Worked Regular Pay Overtime Pay Gross Pay

$8.50 4

$10.80 52

$8.00 45.5

$4.50 36.5

2.) Job – Driver; Hours worked = 38; Hourly rate = $5.85; Gross Pay =

3.) Edward operates a print shop press. He is paid $8.25 per hour with time and a half for overtime. One week he worked 47.5 hours. Find his gross pay for the week. 4.) Nestor is a bookkeeper and Rita is a driver for a delivery service. Nestor works 7.5 hours each weekday and one Saturday each month (at double time). Rita works 8 hours Monday through Friday with 3 hours of overtime (at time and a half) each week. If Nestor is paid $8.42 per hour and Rita is paid $8.64 per hour, what is their combined gross pay for March, April, and May? Consider each month to have 4 weeks.

5.) You are considering 2 summer jobs, for 12 weeks. Calculate the gross pay for the following two jobs. Job A – Hours: 4 A.M. – 12 P.M. Job B – Hours: 8 A.M. – 4 P. M. 4 hours every other Saturday 8 hours every other Saturday Pay: $8.75 per hour Pay: $8.00 per hour Double pay for overtime Time and a half for over time Working Backwards – Find the hourly rate given gross pay and hours worked. 1.) James worked 36 hours in a week and his gross pay was $333.00. What was his hourly rate?

2.) Sarah worked 44 hours Monday through Friday, with all hours over 40 at time and a half. Her gross pay for the week was $471.50. What was her hourly rate?

3.) Jane worked 8 hours each day Monday through Friday and 6 hours on Saturday. In her paycheck the next week she grossed $428.75, what was her hourly rate?