New job part way through month - salary?

adonis10

Joined new company on 20th of this month. I've worked it out as 8 working days divided by 261 working days in year (365-104 weekends) multiplied by my annual salary. Does this sound correct? Obviously, one of the working days was bank hol Monday but I'm
Assuming this should be included as it forms part of my paid annual leave entitlement?

mrsp89

I'm not sure if the way you have worked it out works (I havent tried it) but this is the way I would work it out

Annual Salary divided by 52 (52weeks in the year) divided by 5 (5 working days, i'm assuming you work monday to friday) times by the 8 days you have calculated ...

I would expect your company to pay you for bank holiday yes, BUT be aware that payroll usually goes 3 days in advance (for BACS payments) so you might end up getting paid for only 5 days OR they may just roll it over to next month - those 8 days may be 'in lieu' sort to speak

You will have to speak to your payroll dept to find out definate answers - each one is different

Counter

Different employers will use slightly different (equally valid) methods. However, the way I would work out a partial month is:

1. Divde annual salary by 12 to get monthly salary.
2. Multipy the answer to (1) by the fraction of the month employed (NB no reference to working days), so in this case 12/31 (20th to 31st August is 12 days).

z0nk

Annual salary / 12 = monthly salary

Monthly salary / 21 working days in August * 8 days worked (assuming you are paid for bank holidays)

Savvy_Sue

More importantly, check that your paperwork went through in time to meet the deadline for payroll if you're expecting to be paid before the end of the month! Where I work, you'd have missed it, but we'd have told you so and offered you an advance ... other place would wait for you to ask why you'd not been paid and your colleagues had.

Nebulous2

I'm most familiar with the same way as Counter above.

Annual salary divided by 12 to give a monthly rate, divided by the number of days in the month to get a daily rate, multiplied by the number of days employed.

I always thought it was slightly amusing that people got paid more per day in February than in a month with 31 days, but then again that may only be me!

burnoutbabe

we do it on annual rate divided by 260 then times number of days you have worked that month (inc bank hols).

I'd have managed to stick you in payroll if you joined on 20th but with a larger company you may have to wait until next month for both months pay. But they should know the cut off for payment and tell you at the start.

adonis10

It's ok, it's a small owner-managed business so he does it the day he pays it!

Why do people use working days / 260? 104 weekend days so 261, what's the extra day? Hope it is this way as I'll be paid more!

mrsp89

Even for a small company i'd be very suprised if he did the payroll the day he pays the money into your account ... for BACS payments (which I assume he will be using) it takes 3 working days to hit your account. Unless he is paying cash of course - that way you could get it the same day? ...

InsideInsurance

mrsp89 wrote: »

Even for a small company i'd be very suprised if he did the payroll the day he pays the money into your account ... for BACS payments (which I assume he will be using) it takes 3 working days to hit your account. Unless he is paying cash of course - that way you could get it the same day? ...

If its a vSME then its probably paid by FasterPay rather than BACS, all depends on the size and age of the organisation.

burnoutbabe

well one also hopes he does the calculations before in the month - to make sure it was all correct.

It depends if your bank lets you do bacs as well? some don't. But even then one can set up faster payments in advance to go on correct day - which avoids any issues of anyone being sick/out of office to authorise on the day.