Payment at the average wage: practical examples

The General procedure, which is used to calculate the average earnings, established by article 139 of the Labour code of the Russian Federation. It provides for the participation in the calculation of any particular system of labour remuneration types of payments, including the average daily earnings for payment of holidays, business trips etc. with them has no meaning. Let us consider this subject in more detail.

Definition of the average wage

Which may require the calculation of the average wage in the enterprise? This question interests many. The average salary is determined from the assessed actually spent by the employee in fact, over the twelve months of the calendar which precede the period during which the worker retains the average salary. The calendar is the period from 1 to 30 (31st) day of a particular month, inclusive, with the exception of February, where this period lasts from 1 to 28 (29 in February in leap year). The order in which payment is made at the average wage, set in the App about features of calculation of the average salary.

The Definition of average daily and average hourly pay

To determine the average of an employee's salary and the amount of money that is provided to the calculation in favor of the employee, it is calculated the average daily and average hourly wages (using the last indicator in the case of the establishment for an employee time tracking in total).

To determine these indicators (average daily earnings for payment and average hourly earnings), you need to know:

• Period calculation and quantity of days which are taken into account in determining average earnings;
• The amount paid for the period to be taken into account in determining the average salary.

Establishment period of the billing period

What is the billing period this year?

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We have mentioned that the settlement period is twelve calendar months before the month when the employee needs to accrue the payment depending on the average wage. The company is entitled to establish any term of the settlement period. For example, 3, 9 or even 24 months preceding the payment. Main thing is the fact that a different calculation period should not lead to a decrease in amounts owed to the employee (that is, the deterioration of its position compared to the twelve-month calculation period).

In the case of a decision about change of period should be given appropriate amendments to the regulation on labour payment at the average wage and collective agreements.

Example 1

This calculation is easier to understand practical examples. For example, an employee of a large company sent on a business trip. For these travel days, pay him average earnings. If we assume the departure of the employee in the current year, then:

• February – the calculation period is from 1 February to 31 January of the current year;
• March – calculation period, from 1 March last for 28-29 February of the current year;
• April – the period of calculation from 1 April to 31 March of the current year;
• May – the calculation period is from may 1 last to April 30 of the current year;
• June – the calculation period is from 1 June to 31 may of the current year;
• July – the period of calculation from 1 July last to 30th June this year.

Then required to count the number in the calculation period business days during which the employee worked. Optimal, but extremely rare variant is the full testing of all business days of the billing period. Then the difficulties in counting does not occur except for cases of calculating the average earnings holiday pay.

Example 2

Consider the following scenario. Commercial organizations have established a 5-day forty-hour workweek and 2 days off (Saturday and Sunday). Employee of the company in November of this year was sent to study for a qualification, the average salary was kept. To the billing period will be twelve months from 1 November of the past till 31 October this year.

If we assume that for the billing period have been worked out on the production calendar employee all days, the number of workers will amount to 247 days.

Here is an example of the ideal. Basically none of the employees not working a full twelve months of the calculation period. An employee may fall sick, go on vacation, get some kind of exemption from work with preservation of average earnings and so on. These periods are excluded from the calculation. Including in the calculation not part of the amount credited to the employee for these days. Below is the list of periods excluded from the calculation:

1. You saved the average earnings of the worker under the laws of Russia (for example, the employee was on a business trip, paid annual leave or sent them for training, etc.). With the exception of periods of breastfeeding, which provides article 258 of the labour code, because they are involved in the calculation, as the amounts accrued for them.
2. The Employee received an allowance for temporary incapacity for work or an allowance for childbirth and pregnancy, but did not work at the same time, i.e. in the calculation is the average earnings forsick pay.
3. The Worker was not a party to the strike, but she was not able to perform their duties.
4. The Worker was provided with paid extra days off to care for a disabled child and a disabled person since childhood.
5. In other cases, when the employee was released from work with full or partial pay or without it (for example, when an employee took a vacation) according to the legislation of the Russian Federation.

How we calculate your payment on holidays and weekends?

A Holiday or a weekend, spent by the employee, must be considered when counting in the order of payment at the average wage. To make it clearer, let us consider another example.

Practical example 3

In a commercial company established a 5-day forty-hour workweek and 2 days off (Saturday and Sunday). Employee of the company in December of that year was sent on a business trip. To the billing period will be twelve months starting from 1 December last until 30 November this year.

To determine the employee's average wage rule 37 days and the accrued payoffs for them. Respectively will participate 213 days worked of the calculation period (250-37).

The Average earnings for payment of holidays

Sometimes it happens that the employee gets a job during the reporting period. This means that in that moment, when the accountant must determine the calculation of the payment at the average wage, he has not worked for the company in the company of, say, 12 months. The calculation of the average wage in situations that are not affiliated with the holiday pay, the Provision is missing, but because of the company to determine it can in the employee's employment contract or provision for payment of his labor. In this case, it is possible to include in the analysis the period of time from 1 day of work to the last day of the month preceding the payment of the average salary.

Practical example 4

The organization found a 5-day forty hour workweek and 2 days off (Saturday and Sunday). Employee of the company in December of that year was sent on a business trip. At the service he was accepted on 22 August this year. The estimated period is the time from 21 August to 30 November this year.

Payment settlement

In respect of payments to be included in the calculation to determine the wage at the average wage, the overall situation set out in article 139 TK the Russian Federation. This rule for the calculation of average earnings takes into account all envisaged in the system of wage payments. This provision of the Code konkretisiert paragraph 2 of the regulation. Thus, the accountant in the calculation of earnings should consider the following:

1. Salary (in-kind, including accrued according to tariff rate and the salary for the time worked; for work performed on piece-rate, percentage of revenue or commissions).
2. Personal income tax is Charged (payable at the average wage this implies). Although why this happens is unclear to some.
3. Bonuses and allowances to the salary and wage rate for their professionalism, length of service, proficiency, academic title, academic degree, work with information constituting a state secret, the knowledge of foreign languages, the combination of offices or professions, the management team, the increase in the volume of work performed, extension of the service area and other.
4. Payments that are associated with labor conditions, also those, which are due to regional regulation of wages in the form of a percentage of salary increments and coefficients, highest payouts on hard work and working with dangerous and hazardous and other special work conditions for night shifts, for work on a holiday non-working days and weekends, and overtime (at a maximum limit of 120 hours per year, as well as beyond it).
5. Rewards and bonuses provided by the system of labor payment (some rewards and bonuses the accounting special).
6. Other types of payments that relate to salary and applied in the company (this could include stimulating and motivating payments).

Payments that are not included in the calculation of average earnings

Above it was indicated that some payments are not included in the calculation of the payment at the average wage, as well as the time of their accrual. For example:

• The average salary is kept for the employee under the law (when it is in annual or study leave, business trip, etc.);
• Payment for idle time because of the employer or for reasons beyond the control of the employee or the employer;
• Payment for the weekend to care for the disabled since childhood and children with disabilities.

We Can conclude that in the calculation includes all the payments that are connected with the remuneration of employees. Payments not related and is not a remuneration, not included in the calculation. For example, they include financial aid, social payments (utilities, recreation, treatment, nutrition, training, travel and the like), the amount of loans that are issued to employees, dividends that accrued to the owners of the companies, interest on loans obtained from employees, the remuneration of the members of the Supervisory Board or of the Board of Directors and so on. Besides, the employment agreement provides the social. payments or not, does not matter.

Practical example 5

Consider howwill be in the 1C: SPP payment at the average wage in the business.

In a large enterprise has established a 5-day forty-hour workweek and 2 days off (Saturday and Sunday). The same employee of the company in December of that year was sent on a business trip. To the billing period will be twelve months, that is the time starting from 1 December last until 30 November this year. During this period, the employee received payment in 472400 rubles, including:

403 thousand rubles. – the total amount of salary (salary);

24 thousand rubles. – the fee for combining profession;

3 thousand rubles. – payment for work on weekends and holidays;

12 thousand rubles. – financial assistance;

3 thousand rubles. – cash gift;

22 thousand rubles. – holiday pay for annual paid leave;

5.4 thousand RUB – travel expenses (the average salary for travel and subsistence).

Travel expenses, material assistance, holiday vouchers and cash gifts are excluded from payments taken into account in calculating the average salary. Then the accountant needs to take into account payment size:

472 400 – 12 000 – 3000 – 22 000 – 5400 = 430, 000.

When calculating average salaries and supplements thereto to the accountant of the size does not count, even if they are defined in the employment agreement or Annex on remuneration of labour accepted in the company. You need to bear in mind that the days when the worker persisted, the average salary and the amounts excluded from the calculation period. Accordingly, this Supplement falls under this definition. 1C payment on average earnings is calculated is quite simple.

The calculation of the amount owed to the employee, and the average daily earnings

To determine the accrual amount for the days that preserves the employee's average salary, calculated his average daily earnings. The exceptions include only those workers with working time records in the sum (determined by average hourly earnings).

Practical example 6

In a commercial organization established 5-day forty-hour workweek and 2 days off (Saturday and Sunday). Employee of the company in December of that year was sent on a mission in the service for 7 days. To the billing period will be twelve months, that is the time starting from 1 December last until 30 November this year. The employee set salary of 30,000 rubles per month.

Pertova average daily Earnings will be:

338 990 rubles:231 days = 1467 rubles/day.

For 7 days needs to charge at the average wage (business trip paid for that way):

1467 rubles/day × 7 days = 10 269 rubles.

The calculation of the amount owed to the employee, and average hourly earnings

The Employees who have established records of working time in the amount is calculated hourly average earnings for payment of those days, the average earnings in which continues. Average hourly and average daily earnings are calculated in a similar way, but if the daily average is taken into account only the number of days for hourly – the actual spent by the employee the number of hours.

Practical example 7

In a large company established a 5-day forty-hour workweek and 2 days off (Saturday and Sunday). Employee of the company in December of that year was sent on a mission in the service of 7 days (56 hours according to the schedule). To the billing period will be twelve months starting on the 1st day of December last and before the 30th day of November of this year. For the employee established a tariff rate of 180 rubles/hour and summarized recording of working time. The average hourly earnings of the employee will be:

341 820 rubles:1843 hours = 185 rubles/hour

He must collect payment at the average wage (after all, the trip also counts as working time):

185 rubles/hour × 56 hours = 10 360 rubles

For workers stilistov average earnings at the time account in the amount calculated like this way. In calculating the participation of all payments included in the calculation that we presented above, and actually worked with Stagnaro time.