Partial Payment Calculations

Background

If a state employee works only part of a month, the employing agency must determine the correct hourly rate to pay the employee.

A salaried employee’s hourly rate changes each month due to the difference in the number of work hours in the month.

Equivalent Hourly Rate of Pay for Employees

An employee’s equivalent hourly rate of pay for a particular month is equal to:

The employee’s base annual salary rate divided by 12 divided by the number of standard working hours in that month.

Note: For additional information about the standard work hours in each month, see Payroll Due Dates and Direct Deposit Schedules (FPP E.030). The standard working hours for each month is listed in the Workdays & Hours Per Month column.

Base annual salary does not include:

• Longevity pay.
• Hazardous duty pay.
• Benefit replacement pay (BRP).
  – or –
• Other emoluments that are sometimes paid using the salary expenditure object.

The above applies to:

• An employee who maintains a 40-hour workweek and is covered under Chapter 658, Government Code.
• A part-time salaried employee.

Other Considerations

The computation methods described here apply to employees who are on leave without pay for less than an entire calendar month.

Additional Resource

See SPRS Payroll Edits for Base Salary Pay Code (BSY) for more information.

Source

Texas Government Code, Sections 659.019(c) and 659.085.