Sample Salary Computation

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HOW MUCH IS THE PREMIUM PAY OF AN EMPLOYEE?

Plus 30% of the daily basic rate or a total of 130% for work performed on rest day or special day.

Plus 50% of the daily basic rate or a total of 150% for work performed on special day falling on the employee’s rest day.  

Plus 30% of the daily basic rate or a total of 260% for work performed on a regular holiday falling on the employee’s rest day.

HOW MUCH IS THE OT PAY OF AN EMPLOYEE?

Plus 25% of the hourly rate for work performed in excess of 8 hours on ordinary day.

Plus 30% of the hourly rate for work performed in excess of 8 hours on rest day, special day or regular holiday.

How to Compute Night Differential

Every employee is entitled to a Night Differential of Night shift pay of not less than 10% of his regular wage for each hour of work performed between 10pm
and 6am.

Ordinary day Night Shift

 Let say the employee hourly rate is Php 57.00/hour and working from 10pm to 6am

To determine the employee Night Differential pay:

 Ordinary Day Night Differential = (Hourly rate × 10% × 8 hours)


 Php 45.60 = (Php 57.00 × 0.10 × 8 hours)

Rest day Night Shift

 Let say the employee hourly rate is Php 57.00/hour and working from 10pm to 6am

To determine the employee Night Differential pay:

 Rest Day Night Differential = (Hourly rate × 130% × 10% × 8 hours)


 Php 59.28 = (Php 57.00 × 1.3 × 0.10 × 8 hours)

Special Holiday Night Shift

 Let say the employee hourly rate is Php 57.00/hour and working from 10pm to 6am

To determine the employee Night Differential pay:

 Special Holiday Night Differential = (Hourly rate × 130% × 10% × 8 hours)


 Php 59.28 = (Php 57.00 × 1.3 × 0.10 × 8 hours)

Special Holiday and at the same time Rest day Night Shift

 Let say the employee hourly rate is Php 57.00/hour and working from 10pm to 6am

To determine the employee Night Differential pay:

 Special Holiday Rest day Night Differential = (Hourly rate × 150% × 10% × 8 hours)
 Php 68.40 = (Php 57.00 × 1.5 × 0.10 × 8 hours)

Regular Holiday Night Shift

 Let say the employee hourly rate is Php 57.00/hour and working from 10pm to 6am

To determine the employee Night Differential pay:


 Regular Holiday Night Differential = (Hourly rate × 200% × 10% × 8 hours)
 Php 91.20 = (Php 57.00 X 2.0 × 0.10 × 8 hours)

Regular Holiday and at the same time Rest day Night Shift

 Let say the employee hourly rate is Php 57.00/hour and working from 10pm to 6am

To determine the employee Night Differential pay:

 Regular Holiday Rest day Night Differential = (Hourly rate × 260% × 10% × 8 hours)
 Php 118.56 = (Php 57.00 × 2.6 × 0.10 × 8 hours)

Double Holiday Night Shift

 Let say the employee hourly rate is Php 57.00/hour and working from 10pm to 6am

To determine the employee Night Differential pay:

 Double Holiday Night Differential = (Hourly rate × 330% × 10% × 8 hours)


 Php 150.48 = (Php 57.00 × 3.3 × 0.10 × 8 hours)

Double Holiday and at the same time Rest day Night Shift

 Let say the employee hourly rate is Php 57.00/hour and working from 10pm to 6am

To determine the employee Night Differential pay:

 Double Holiday Rest day Night Differential = (Hourly rate × 390% × 10% × 8 hours)
 Php 177.84 = (Php 57.00 × 3.9 × 0.10 × 8 hours)

How to Compute Overtime Pay

All employees required to work beyond the normal 8 hours are entitled to overtime. Overtime pay rates depend upon the the day the work is performed,
whether it is ordinary working day, special day, regular holiday or rest day.

Ordinary day Overtime


On an ordinary day, the overtime rate per hour is determined as follows:
Let say the employee hourly rate is Php 57.00/hour, then the overtime rate is Php 71.25
Php 71.56 = (Php 57.00 X 1.25%)

On Rest day Overtime


Let say the employee hourly rate is Php 57.00/hour To determine the overtime rate per hour:
Overtime rate/hour = (hourly rate on rest day and special holiday X 169%)
Php 96.33 = (Php 57.00 X 1.69%)

On Special Holiday Overtime


Let say the employee hourly rate is Php 57.00/hour To determine the overtime rate per hour:
Overtime rate/hour= (hourly rate o n rest day and special holiday X 169%)
Php 96.33 = (Php 57.00 X 1.69%)

On Special Holiday and at the same time rest day overtime


Let say the employee hourly rate is Php 57.00/hour To determine the overtime rate per hour:
Overtime rate/hour = (hourly rate o n rest day and special holiday X 195%)
Php 111.15 = (Php 57.00 X 1.95%)

On Regular Holiday Overtime


Let say the employee hourly rate is Php 57.00/hour To determine the overtime rate per hour:
Overtime rate/hour = (hourly rate o n rest day and special holiday X 260%)
Php 148.20 = (Php 57.00 X 2.60%)
On Regular Holiday and at the same time Rest day Overtime
Let say the employee hourly rate is Php 57.00/hour To determine the overtime rate per hour:
Overtime rate/hour = (hourly rate o n rest day and special holiday X 338%)
Php 192.66 = (Php 57.00 X 3.38%)

On Double Holiday Overtime


Let say the employee hourly rate is Php 57.00/hour To determine the overtime rate per hour:
Overtime rate/hour = (hourly rate o n rest day and special holiday X 390%)
Php 222.30 = (Php 57.00 X 3.90%)

On Double Holiday and at the same time Rest day Overtime


Let say the employee hourly rate is Php 57.00/hour To determine the overtime rate per hour:
Overtime rate/hour = (hourly rate o n rest day and special holiday X 507%)
Php 288.99 = (Php 57.00 X 5.07%)

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