How is the minimum salary per hour calculated in the advanced countries?

Answer

The U.S. Fair Labor Standards Act does not address the amount of hours which constitute full-time or part-time employment. However, the Bureau of Labor Statistics defines full-time hours as 35 or more hours a week, and part-time employment as less than 35 hours per week. As an employer, you may choose to pay all of your employees on a salary basis, even those who work part-time. Part-time salary is based on the full-time salary for the position.

1. Obtain the full-time salary for the position from your human resources department, or from a salary database. Salary depends on the employee's job title, city and state, and is normally expressed as an annual amount.

2. Divide the full-time salary you've found by the number of work hours for the year. For example, $50,000 annually / 2,080 hours per year (40 hours per week x 52 weeks) = $24.04 per hour

3. Determine the part-time employee's required work hours, such as 30 hours per week.

4. Obtain the part-time worker's yearly salary by multiplying the required work hours per week by 52, and then multiplying the total by the hourly full-time rate. For example, 30 hours x 52 weeks = 1,560 x $24.04 per hour = $37,502.40 annually.

5. Determine the part-time salary per pay period by dividing the annual salary by the number of pay periods in the year[1]

Footnotes

[1] How to Calculate a Part-time Employee Salary