How to calculate semi-monthly hourly pay

When using a semi-monthly pay schedule, there are 24 pay periods in a calendar year. To calculate the total number of hours worked for each pay period, multiply the average amount of hours in a typical workweek by 2.

For example, if a typical workweek is 35 hours, then the total amount of hours worked in a semi-monthly pay period is 35 x 2 = 70 hours.

• Determine the gross pay

When determining gross pay you multiply the number of hours worked in the semimonthly pay period by the hourly rate of the employee.

For example, if the hourly rate is $25 per hour, and the total amount of hours worked in the semi-monthly pay period is 70, this makes the gross pay 70 x $25 = $1,750.

• Taxes and other deductions

Next, you must deduct taxes and any other relevant deductions from the employee's pay. Federal and state taxes must be accounted for, as well as common deductions like Social Security and Medicare. You might also be including deductions for health insurance or retirement plans. Consult with your organization's payroll department for specific deductions.

• Calculate the employee's net pay

Finally, the last step is to calculate the employee's net pay and deductions. Use addition to add up the employee's basic pay, and any other forms of compensation. Then subtract the appropriate taxes and other deductions to get the employee's net pay.