This document discusses how and when employees get paid. It explains key terms like gross pay, net pay, and different pay schedules such as weekly, bi-weekly, and semi-monthly. Employees may be paid an annual salary that is then divided over the number of pay periods. Taxes and other deductions are taken out of gross pay to determine net pay. Record keeping of pay stubs is important to verify accurate tax reporting. The overall message is for employees to understand their pay schedule and track their earnings.

1. So when do we get paid?
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2. Quick Review
 A Year has….52 weeks.
 A Year has…12 months.
 A Year has 365 days.
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3. Terminology
GROSS PAY NET PAY
 Total money
employee earns
before taxes &
deductions are
removed.
 Total money that an
employee takes
home after
deductions & taxes
are removed.
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4. Self Employed-How Do I Get PAID
 Self-employed people must be sure to take out
the deductions for Social Security & Medicare
taxes—just as if they were working for a regular
employer.
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5. Annual Salary
 Some jobs or careers
pay the individual an
annual salary.
 This is the total gross
amount that you will be
paid for the year and it
can be divided in a
variety of ways.
 For example a teacher
might have an annual
salary of $30,000. Most
teachers are paid 1
check per month.
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6. Weekly Pay
Some businesses will pay
weekly basis. This would
mean you would receive
52 checks in a year.
If you are paid $7.50 an
hour and work 35 hours
your gross check would
be $262.50
If you always work 35 hours
a week your annual salary
based on this wage would
be $262.50 x 52
weeks=$13650. Click

7. Getting your money!
 If you are paid bi-weekly you are
getting paid every other week.
 26 checks in a year (52 weeks
divided by 2).
 IF you are paid an annual salary,
such as $30,000 you would divide
$30,000 by 26 to determine what
your check amount will be. In this
case your gross check would be
$1153.84 every two weeks.
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8. Getting your money!
 If you are paid semi-monthly you
are getting paid twice a month.
 24 checks in a year. Usually you will
be paid on the 15th
& the 30th
.
 IF you are paid an annual salary,
such as $30,000 you would divide
$30,000 by 24 to determine the
gross amount. In this case your
check would be $1250 two times
per month.
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9. Overtime Pay
 Employees covered by the
Fair Labor Standards Act (FLSA) must receive
overtime pay for hours worked in excess of 40 in
a workweek of at least one and one-half times
their regular rates of pay.
 If you have questions about overtime pay visit
the US Department of Labor website.
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10. Cold Hard Facts
 When someone offers an annual salary or even an
hourly wage; It is important to remember that taxes
and other deductions have not been taken into
account. This is called your GROSS Salary. Deductions
are subtractions from your pay-some are by your
choice such paying into a 401K/retirement plan. Others
are required by law. The actual amount of your check,
after deductions is called your NET pay.
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11. Cold Hard Facts
 Keep track of all pay stubs so you are
able to compare it to your W-2 when it
arrives in January. You want to be sure
numbers match up with what the
business has reported to the IRS for
you.
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12. Always know when you are going to
be paid. Only YOU can keep track of
your money!
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