What computation is correct in computing wage rate per day, monthly rate/30 or monthly rate/26?

rmross
By rmross
By XceptionalGreat• 27 May 2010 23:13
Rating: 5/5
XceptionalGreat

Standard and most widely used formula is:

daily wage= (monthly salary x 12)/365

By anonymous• 27 May 2010 14:12
Rating: 5/5
anonymous

Depends. Some people use 22 days per month, (assuming 4 weekends) if working 5 days per week. Or a more accurate way to do it is number of days worked in a year/annual salary

By KHATTAK• 27 May 2010 11:34
Rating: 5/5
KHATTAK

I personally believe it should be 26 days for daily/overtime calculations. But, 30 days is mainly in practice.

By Vkash• 27 May 2010 11:27
Rating: 5/5
Vkash

It depends on the purpose. For Calculation of wage for a month it is total salary/no of days in the month. For Leave or Gratuity calculations, it is monthly salary / 30.

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