Lesson 29: Calculating Employee Earnings
Duration of Days: 2
Lesson Objective
Calculate employee earnings accurately by applying knowledge of different compensation structures, including hourly wages, salaries, overtime, commissions, and deductions.
What are the key differences between hourly wages and salaries?
How do overtime rules apply to employees earning hourly wages versus those on a salary?
What are commissions, and how do they typically affect an employee's total earnings?
wage
salary
commission
total earnings
pay period
payroll
payroll clerk
time clock
CTE Business & Finance Technology
F. Special Applications: Apply appropriate accounting principles to payroll.
22. Prepare and maintain payroll records.
HS.CTE.2A - 2A. Recall and apply prior knowledge for intended purpose.
. The SAT measures student proficiency in math reading, language, and writing. With strong scores, accounting students set themselves up for successful entry into accounting and finance programs.
Description: To understand the different compensation structures used in businesses and to calculate employee earnings accurately, including deductions for taxes and other withholdings
Purpose: understand how to accurately calculate employee earnings and why that is important to a business.
DOK Level 1: Recall and Reproduction
What is the formula for calculating an employee's total earnings if they are paid an hourly wage?
Define the term "overtime pay" and explain when it is applied
DOK 2 Skills/Concepts
How do you calculate the total earnings for an employee who works both regular hours and overtime?
Explain the difference between gross pay and net pay. What deductions might be subtracted from gross pay to arrive at net pay?
DOK 3: Strategic Thinking
Compare and contrast the earnings of two employees: one who is paid hourly with overtime and one who receives a salary with no overtime. Under what circumstances might each employee benefit more?
Various deductions (e.g., taxes, health insurance, retirement contributions) affect their take-home pay, preparing them for adult financial responsibilities.
Confuse gross pay (total earnings before deductions) with net pay (take-home pay after deductions)
.Sampling, modeling, one one instruction, Google classroom or Moodle. Paper or or online assignments, online instructional tools, videos, textbook or online textbook, excel real world application of information, Spanish version available for ELL students
Guided Notes worksheet
Guiding questions/term assignment
work together/on own assignment application or mastery working papers
moodle quiz, quizziz or nearpod assessment
Century 21, Accounting, General Journal, 11th edition, online/paper edition
Online working papers (Mindtap)
Microsoft Excel software
Online instructional tools