LESSON 12-1

1. LESSON 12-1 Preparing Payroll Time Cards Original created by M.C. McLaughlin, Thomson/South-Western Modified by Deborah L. Burns, Johnston County Schools, West Johnston High School

2. PAYING EMPLOYEES page 340 • Businesses have employees that must be paid for the hours they work • The money paid for employee services is called a salary • The period covered by a salary payment is called a pay period • Monthly • Weekly • Bi-weekly • Semi- monthly • The total amount earned by all employees for a pay period is called a payroll LESSON 12-1

3. ANALYZING A PAYROLL TIME CARD page 341 • A payroll system must include an accurate record of the time each employee has worked • One of the more frequently used methods is a time card • Some time cards may be manual while others are completed by a time clock • The 1st task in preparing a payroll is to calculate the number of hours worked by each employee • Overtime is paid to any employee who works more than 8 hours in one day LESSON 12-1

4. 1 2 3 4 CALCULATING EMPLOYEE HOURS WORKED page 342 1. Calculate the number of regular hours for each day and enter the amounts. 2. Calculate the number of overtime hours and enter the amounts. 3. Add Hours Reg and Hours OT columns and enter the totals. 4. Add the Hours column. LESSON 12-1

5. CALCULATING EMPLOYEE TOTAL EARNINGS page 343 • Once the total regular & overtime hours are determined, employee earnings can be calculated • The total pay due for a pay period before deductions is called total earnings LESSON 12-1

6. 1 2 4 3 5 CALCULATING EMPLOYEE TOTAL EARNINGS page 343 1. Enter the rate for regular time in the Rate column. 2. Calculate the regular earnings. Enter the amount. 3. Enter the rate for overtime. 4. Calculate the overtime earnings. Enter the amount. 5. Add the Amount column to calculate total earnings. Enter the amount of total earnings. LESSON 12-1

7. TERMS REVIEW page 344 • salary • pay period • payroll • total earnings LESSON 12-1