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Monthly Salary, Weekly Wage, and Hourly Rate — Study Guide
Monthly Salary, Weekly Wage, and Hourly Rate
Key ideas
Salary: A fixed, regular payment, usually made monthly or semi-monthly, regardless of the number of hours worked.
Wages: Payment based on hours, days, or tasks completed; the amount can vary with time or output.
Annual salary: Total earnings for one full year—not one month.
Hourly rate: The amount earned per hour, not per day.
Overtime pay: Pay for extra hours that is usually higher than the regular hourly rate.
Piecework pay: Payment based on the number of tasks or units completed.
Commission: Performance-based pay, often calculated as a percentage rather than a fixed amount.
Pay frequency
Formula box
Monthly salary = Annual salary ÷ 12
Semi-monthly pay = Annual salary ÷ 24
Weekly wage = Annual salary ÷ 52
Daily pay = Monthly salary ÷ Number of workdays
Hourly rate = Daily pay ÷ Hours worked per day
Weekly pay from hourly work = Hourly rate × Hours per day × Days per week
Annual salary from weekly pay = Weekly pay × 52
Worked examples
Annual salary to weekly pay
For an annual salary of ₱312,000:
\(₱312,000 ÷ 52 = ₱6,000\) per week.
Annual salary to monthly pay
For an annual salary of ₱476,000:
\(₱476,000 ÷ 12 ≈ ₱39,666.67\) per month.
Hourly rate to weekly pay
At ₱62 per hour, working 8 hours per day for 5 days:
\(8 × 5 = 40\) hours per week
\(40 × ₱62 = ₱2,480\) per week.
Different daily hours
At ₱150 per hour, working 3 + 2 + 4 = 9 hours:
\(9 × ₱150 = ₱1,350\) per week.
Converting an annual salary in several ways
For ₱230,489.20 annually:
Weekly: approximately ₱4,432.48
Semi-monthly: approximately ₱9,603.72
Monthly: approximately ₱19,207.43
Monthly salary to daily and hourly rates
For ₱20,000 per month, working 20 days per month and 8 hours per day:
\(₱20,000 ÷ 20 = ₱1,000\) per day
\(₱1,000 ÷ 8 = ₱125\) per hour.
Comparing two workers
Employee: ₱16,000/month ÷ 20 days = ₱800/day; ₱800 ÷ 8 = ₱100/hour
Taxi driver: ₱750/day ÷ 8 = ₱93.75/hour
The employee earns more per hour.
Practice quiz and answers
What is ₱300,000 annually per month?
\(₱300,000 ÷ 12 = ₱25,000\)
Answer: ₱25,000 (B).
What is the weekly wage formula?
Annual salary ÷ 52
Answer: C.
What is ₱480,000 paid semi-monthly?
\(₱480,000 ÷ 24 = ₱20,000\)
Answer: ₱20,000 (D).
What is the pay for 8 hours at ₱100 per hour?
\(8 × ₱100 = ₱800\)
Answer: ₱800 (B).
What annual salary corresponds to ₱3,500 per week?
\(₱3,500 × 52 = ₱182,000\)
Answer: ₱182,000 (A).
Common mistakes
Dividing annual salary by 12 when the question asks for weekly pay; use 52 for weekly pay.
Treating an annual salary as if it were a monthly salary.
Forgetting to multiply hourly pay by both hours per day and days per week.
Confusing daily pay with hourly pay; divide daily pay by hours worked per day.
Using 24 payments for monthly pay; 24 payments means semi-monthly pay.
Quick review checklist
Before solving, identify:
The starting pay period: annual, monthly, weekly, daily, or hourly.
The target pay period.
The correct conversion number: 12, 24, 52, workdays, or hours per day.
Whether the problem requires multiplication or division.
Whether the final answer should be rounded to two decimal places.