Prorate Monthly Salary Formula:
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Pro rata monthly salary is the adjusted salary amount that a part-time employee would earn monthly, calculated proportionally based on the standard full-time salary and hours worked.
The calculator uses the pro rata formula:
Where:
Explanation: The equation calculates what portion of the full-time salary the part-time worker should earn based on their hours worked.
Details: Accurate pro rata salary calculation ensures fair compensation for part-time workers and helps employers budget appropriately for labor costs.
Tips: Enter the full-time annual salary, part-time weekly hours, and standard full-time weekly hours. All values must be positive numbers.
Q1: What's the difference between pro rata and full salary?
A: Pro rata is proportional to hours worked, while full salary is for standard full-time hours.
Q2: Should benefits be prorated too?
A: Typically yes, but this varies by company policy and local labor laws.
Q3: How does overtime affect pro rata calculations?
A: Overtime is usually calculated separately from base pro rata salary.
Q4: Can this be used for temporary positions?
A: Yes, it works for any part-time or reduced-hours position.
Q5: What if full-time hours vary week to week?
A: Use the average weekly hours over a representative period.