Ever wonder how to calculate blended rates in the state of California?
The first step of staying compliant is understanding that a penalty is owed. The second part? Accurately paying the correct violation amount.In the most simple case, where employees don't receive any bonuses and other forms of payment that are included in blended rate calculations, find an employee's blended rate is fairly straightforward. To help shed some light on how to calculate blended rates, here are 3 simple steps:
Ta-da! You know have the employee's blended rate. Bear in mind that there are other instances where other forms of commission like bonuses based on performances or attendance, etc. Now that you have a blended rate, you can calculate your employee's overtime pay.
Restaurant A's workweek is from Monday to Sunday. Joe worked 8 hours daily from Monday to Wednesday as a host with an hourly rate of $12.00 / hour and 8 hours daily from Friday to Sunday as a dishwasher with an hourly rate of $13.00 / hour. He did not work more than 8 hours in 1 workday, therefore he does not have any daily overtime but he has worked in excess of 40 hours during the workweek.
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