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Calculating salaried workers' compensation per pay period

Zenefits Payroll makes the following calculations for your salaried workers in our system.


  Value Decimal Places Calculation Method 
Hours Per Year 2080 6 40 hours/week * 52 weeks = 2080, Industry Standard Value
Weekly Pay Periods (W) 52 6 Industry Standard Value
Bi-weekly Pay Periods (BW) 26 6 Industry Standard Value
Semi-Monthly Pay Periods (SM) 24 6 Industry Standard Value
Monthly Pay Periods (M) 12 6 Industry Standard Value
Weekly Pay Period Hours (W) 40 6 Hours per year/# of Weekly Pay periods
Bi-weekly Pay Period Hours (BW) 80 6 Hours per year/# of Bi-Weekly Pay periods
Semi-Monthly Pay Period Hours (SM) 86.666667 6 Hours per year/# of Semi-Monthly Pay periods
Monthly Pay Period Hours (M) 173.333333 6 Hours per year/# of Monthly Pay periods




Value Calculation Frequency
Pay Period Pay Salary/Pay Periods Calculate once
Salaried Workers Hourly Pay Rate Salary /2080 Calculate once
Gross Regular Pay Pay Period Pay - Sum of PTO Pay Per Pay Period
Regular Hours Pay Period Hours - PTO Hours Per Pay Period
PTO Hours From PTO or manually entered in edit pay stub Per Pay Period

Time Off

For salaried workers on semi monthly pay frequencies, calculating time off can cause questions. For example, if a worker takes 12 days of unpaid time off at the end of May, their pay might reflect as negative. Using the figures from the Constants and Calculations tables above:


86.666667 hours in a Semi Monthly Pay Period

12 days off * 8 hours per day = 96 total hours off in one pay period

The worker would see  -10 hours worked for that pay period.

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