Understanding your pay

How pay is calculated

We calculate your pay based on the number of hours your work per week or the number of weeks you work per year.

Full Time

If your annual salary is £24,000 then your full monthly salary before tax etc, would be £2,000. 

Part Time

If you work 22.50 hours per week we would work out your annual salary the following way:

22.50/37(full time hours) x full time annual salary £24,000 = £14,594.59 divide by the number of months in the year (12) = £1216.22 gross monthly pay before any deductions i.e. tax.

Less than 52 weeks worked, e.g. term time only

If you work the above hours for 38 weeks (term time), multiply by 43.89* and divide by 52.143 = £1,023.72

*Please note that the number of weeks payable is determined by weeks worked and annual leave entitlement and a simple calculation is shown below.

A x C =      Holiday pay entitlement in weeks        +    A    =     Weeks payable

B 

A	=	Working weeks e.g. 38
B	=	52.143 (weeks in a year) – 7  or 8.2 (comes from C) = 45.143 or 43.94
C	=	25 days + 10 days Bank Holiday entitlement = 35 days divided by 5 (no. of days in a working week) = 7  or 31 days + 10 days Bank Holiday entitlement = 41 days divided by 5 (no. of days in a working week) =8.

You may also have an annualised hours contract.   

You started (or left) part way through a month

We calculate your pay based on the date you started work and the number of days in the month.

For example, if your annual salary is £24,000 then your full monthly salary before tax etc. would be £2,000.

If you started work on 15th of January then you would only be due seventeen days pay for the period 15th -31st January.

£2,000 divided by 31 days in January multiplied by 17 days in employment = £1,096.77.

The same applies if you leave part way through a month, i.e. the date you finished divided by the number of days in the month.

Please note that your salary is NOT calculated on the number of hours you work multiplied by your hourly rate.

Absence without pay (LWOP)

There are several reasons why a deduction of leave without pay may be made from your salary.

Deductions are made based on the number of days in the month for the following (in the same way that part months are paid shown above)

• Occupational maternity/paternity/adoption pay has ended
• Sickness entitlement to full and half pay has ended

Deductions for absences associated with leave are deducted in hours  

• Leave for personal reasons e.g. extended holiday that is granted without pay.

If you have more than one role

You will see two entries when you work in a different role and there is a different rate of pay attached to it, for example 10 hours at £15.00 an hour and your normal rate is 12.00 you would see 10 @15.00 = £150.00, less 10 @12 = -£120.00".

These entries and subsequent appearance on payslips are based on what is entered against employees' pay record.  This can be employee/manager self service or in some cases loaded from a submitted spreadsheet.

There is a personal responsibility for an employee to know what they would expect to be paid for work, particularly when it is duties other than their normal one.

Retro – appears often and simply means retroactive.  It refers to pay processed in the current month that has elements that are earned in a previous period. For example, if I worked overtime at the end of a month and it was only claimed/processed in the following month because the deadline had passed it appears on the payslip as shown below.  Sickness absences are often shown this way as well as they are not always closed in a timely fashion by managers.