Wages and overtime quiz

Why is the overtime rate usually higher than the hourly rate?

• It is a reward/ incentive for working less than the basic hours

• Because the staff are so hardworking

• It is a reward/ incentive for working more than the basic hours

• Because the wages manager is bad at maths

Name 2 deductions that are taken from Gross Pay

• Net Pay

• Overtime

• Income Tax

• National Insurance

What is the calculation for basic pay?

• Hourly rate - hours worked

• Hourly rate x hours worked

• Hourly rate - income tax

• Hours worked - overtime hours

What is the calculation for overtime hours?

• Normal hours - hours worked

• Hours worked x overtime rate

• Hours worked - normal hours

If the hourly rate is £10 and the extra payment for overtime is 50%,

which is the correct overtime rate?

• £5

• £50

• £10

• £15