Annual Salary and Annualized Full-Time Salary Calculations
The annual salary and annualized full-time salary amounts on the salary get calculated using the salary amount and annualization factor.
The annualized salary calculation also uses the person's full-time equivalent (FTE). The annualization factor comes from the associated salary basis. The FTE comes from the person's employment record.
| Amount | Description | Calculation |
|---|---|---|
| Salary |
The actual salary the person receives. This amount has the same periodicity as the salary basis, such as Annual or Hourly. The numeric form of the periodicity, such as 12 or 2080, is called annualization factor. |
None |
| Annual Salary | The salary amount that's converted to the annual periodicity for the person's FTE (full-time equivalent). | (Salary Amount * Annualization Factor) |
| Annualized Full-Time Salary | The salary amount that's converted to the annual periodicity and calculated as if the person's FTE was 1.0. | (Salary Amount * Annualization Factor) / FTE |
Sample Calculated Salary Amounts
The FTE gives you the same annual and annualized amounts for full-time employees and different amounts for part-time employees. Here's sample salary information for a full-time employee whose FTE is 1.0 and a part-time person whose FTE is 0.6.
| Periodicity | Annual | Monthly | Weekly | Work Hourly | Hourly |
|---|---|---|---|---|---|
| Annualization factor |
1 |
12 |
52 |
2080 |
2920 |
|
Full-time salary amount |
156,000 | 13,000 | 3,000 | 75 | 50 |
| Full-time annual salary | 156,000 | 156,000 | 156,000 | 156,000 | 146,000 |
| Full-time annualized full-time Salary | 156,000 | 156,000 | 156,000 | 156,000 | 146,000 |
| Part-time salary amount | 93,600 | 7,800 | 1,800 | 75 | 50 |
| Part-time annual salary | 93,600 | 7,800 | 1,800 | 75 | 50 |
| Part-time annualized full-time salary | 156,000 | 156,000 | 156,000 | 156,000 | 146,000 |
The salary amounts don't change for the Work Hourly and Hourly salaries of the full-time and part-time people. That's because FTE doesn't affect salaries with hourly periodicities the way it affects salaries with any of the other periodicities. The hourly rate is always the hourly rate for any FTE.