To calculate the total payroll for each employee of Abraham Co. based on the data provided, we will need to summarize the information and break down each component of their pay, including the basic salary, allowances, and overtime payments.
Definitions:
- Basic Salary: The fixed amount paid to an employee.
- Allowance: Additional payments made to an employee.
- Overtime Pay: Extra payment for hours worked beyond the standard working hours. The rates for overtime usually vary depending on the time of work (ordinary/holiday/weekend).
Overtime Pay Calculation:
- Regular Overtime Rate: Often, the rate is 1.5 times the hourly wage for standard overtime (for hours worked after regular hours).
- Overtime on Weekends: Usually paid at a higher rate (typically double the standard rate).
- Overtime on Public Holidays: Also paid at a higher rate (usually at least double the standard rate).
Employee Breakdown:
Let's break down the components for each employee based on the provided information.
1. Abel Tena
- Basic Salary: Br. 2,400
- Allowance: Br. 250
- Overtime Worked: 30 hours
- Duration of Overtime Work: Up to 10:00 pm
Hourly Rate: \[ \text{Hourly Rate} = \frac{\text{Basic Salary}}{\text{Standard Working Hours}} = \frac{2400}{160} = Br. 15 \text{ (assuming 160 hours per month)} \]
Overtime Pay: Regular overtime (1.5 times the hourly rate): \[ \text{Overtime Pay} = 30 \text{ hours} \times Br. 15 \times 1.5 = Br. 675 \]
Total Pay for Abel Tena: \[ \text{Total Pay} = Basic Salary + Allowance + Overtime Pay = 2400 + 250 + 675 = Br. 3,325 \]
2. Sara Chala
- Basic Salary: Br. 3,200
- Allowance: Br. 500
- Overtime Worked: 20 hours
- Duration of Overtime Work: 10:00 pm - 6:00 am (generally might be considered higher pay)
Hourly Rate: \[ \text{Hourly Rate} = \frac{3200}{160} = Br. 20 \]
Overtime Pay: If this period attracts a higher rate (let’s assume it to be 2 times for late hours): \[ \text{Overtime Pay} = 20 \text{ hours} \times Br. 20 \times 2 = Br. 800 \]
Total Pay for Sara Chala: \[ \text{Total Pay} = Basic Salary + Allowance + Overtime Pay = 3200 + 500 + 800 = Br. 4,500 \]
3. Nega Girum
- Basic Salary: Br. 1,600
- Allowance: Br. 100
- Overtime Worked: 10 hours on weekends + 18 hours on public holiday
Hourly Rate: \[ \text{Hourly Rate} = \frac{1600}{160} = Br. 10 \]
Weekend Overtime Pay (double rate): \[ \text{Weekend Overtime Pay} = 10 \text{ hours} \times Br. 10 \times 2 = Br. 200 \]
Public Holiday Overtime Pay (double rate): \[ \text{Public Holiday Overtime Pay} = 18 \text{ hours} \times Br. 10 \times 2 = Br. 360 \]
Total Overtime Pay: \[ \text{Total Overtime Pay} = Br. 200 + Br. 360 = Br. 560 \]
Total Pay for Nega Girum: \[ \text{Total Pay} = Basic Salary + Allowance + Overtime Pay = 1600 + 100 + 560 = Br. 2,260 \]
Summary of Payroll
- Abel Tena: Br. 3,325
- Sara Chala: Br. 4,500
- Nega Girum: Br. 2,260
Total Payroll for July 2008 E.C.
\[ \text{Total Payroll} = 3,325 + 4,500 + 2,260 = Br. 10,085 \]
This calculation provides a comprehensive breakdown of payroll for the month of July 2008 for Abraham Co.