Pro Rata Salary Formula:
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Pro Rata salary is a calculation that determines the appropriate portion of a full-time salary for a part-time employee based on their working hours. It ensures fair compensation relative to full-time employees.
The calculator uses the Pro Rata formula:
Where:
Explanation: The equation calculates what portion of the full-time salary the part-time employee should earn based on their working hours proportion.
Details: Accurate pro rata calculations ensure fair compensation, help with budgeting, and maintain pay equity between full-time and part-time employees.
Tips: Enter the full-time salary in GBP/year, part-time hours per week, and standard full-time hours (default is 37.5 for UK). All values must be positive numbers.
Q1: What's the standard full-time hours in UK?
A: Typically 37.5 hours per week, but this can vary by employer (some use 35 or 40 hours).
Q2: Does pro rata include benefits?
A: Some benefits may also be pro-rated, but this depends on company policy and employment contracts.
Q3: How is pro rata salary paid?
A: It's usually paid monthly, calculated as 1/12th of the annual pro rata amount.
Q4: Are holidays pro-rated for part-time workers?
A: Yes, holiday entitlement is typically calculated pro rata based on working hours.
Q5: Can this be used for temporary contracts?
A: Yes, pro rata calculations apply to any employment where compensation should be proportional to full-time equivalents.