Wages and Salaries
Wages and Salaries in NSW Year 10 Core maths is about how people are paid for their work (NESA outcome MA5‑FIN‑C‑01). A wage is paid by the hour, while a salary is a fixed amount per year that can be split into weekly, fortnightly or monthly pay, using 52 weeks or 12 months in a year.
You will convert pay between weekly, fortnightly, monthly and yearly amounts, work out pay from an hourly rate and a timesheet, and add a casual loading. You will also calculate superannuation paid by an employer, apply a percentage pay rise or work backwards from one, find an equivalent hourly rate for a salary, and compare job offers to see which pays best. It is part of Year 10 Core Earning Money.
Every question with a fully worked solution.
- Wages and Salaries - Video - Salary and Wages Watch
Theory
A wage is paid for each hour worked; a salary is a fixed amount for a year. This Year 10 maths page shows how to change pay between weekly, fortnightly, monthly and yearly amounts, read a timesheet, add a casual loading, apply a pay rise and work out superannuation.
A wage is pay worked out from an hourly rate: pay \(=\) hours worked \(\times\) rate. A salary is a fixed amount for a year, paid in equal parts each week, fortnight or month, however many hours are worked.
For these questions, \(1\) year \(= 52\) weeks \(= 26\) fortnights \(= 12\) months. A month is not \(4\) weeks.
A casual loading is an extra percentage on the hourly rate for casual workers, often \(25\%\). Unpaid breaks are taken off the time between starting and finishing.
Superannuation (super) is money the employer pays into a retirement fund, on top of the wage or salary. In 2026 the rate is \(12\%\) of ordinary pay.
Pay periods in one year:
| Pay period | Number in a year | From a yearly salary |
|---|---|---|
| Week | \(52\) | \(\div 52\) |
| Fortnight (2 weeks) | \(26\) | \(\div 26\) |
| Month | \(12\) | \(\div 12\) |
How to solve a pay problem
- Find the hours: finish time minus start time, minus unpaid breaks. Split a shift at midnight if it runs overnight. Write minutes as a decimal of an hour (\(15\) min \(= 0.25\) h).
- Find the rate, including any loading.
- Multiply hours by rate, and add the pay from each job or shift.
- Convert to the period asked for through a yearly amount: \(\times 52\), \(\times 26\) or \(\times 12\) to get a year, then divide.
Other questions you will meet
- Comparing jobs paid in different periods: change every offer to a yearly amount, then compare. Count only the weeks actually paid if a job pays for fewer than \(52\).
- Rate needed to reach a target: target pay \(\div\) hours. Hours needed: target pay \(\div\) rate, and round up to a whole hour so the target is reached.
- Real hourly rate: a salaried worker who stays longer earns less per hour. Divide the weekly pay by the hours actually worked.
- Overtime in a job offer: hours at time-and-a-half are paid at \(1.5\) times the normal rate, so \(3\) hours at time-and-a-half on a \(\$32\) rate earn \(3 \times 48 = \$144\). See Overtime and Penalty Rates.
- Change in each pay: find the yearly rise, then divide by the number of pays in a year.
- Salary plus super: the total cost to the employer is the salary plus \(12\%\) of it, or salary \(\times 1.12\).
(i) each week
(ii) each fortnight
(iii) each month? (Use \(1\) year \(= 52\) weeks.)
Divide the yearly salary by the number of pay periods in a year.
| \(\text{(i) weekly}\) | \(=\) | \(\$67\,080 \div 52\) |
| \(\) | \(=\) | \(\mathbf{\$1290}\) |
| \(\text{(ii) fortnightly}\) | \(=\) | \(\$67\,080 \div 26\) |
| \(\) | \(=\) | \(\mathbf{\$2580}\) |
| \(\text{(iii) monthly}\) | \(=\) | \(\$67\,080 \div 12\) |
| \(\) | \(=\) | \(\mathbf{\$5590}\) |
Check: a fortnight is two weeks, and \(2 \times 1290 = 2580\). A month is a bit more than four weeks, so the monthly pay is a bit more than \(4 \times 1290 = 5160\).
Find the casual rate, then the paid hours for each shift.
| \(\text{casual rate}\) | \(=\) | \(\$26.40 \times 1.25\) |
| \(\) | \(=\) | \(\$33.00 \text{ an hour}\) |
| \(\text{Tue}\) | \(:\) | \(7.5 - 0.5 = 7 \text{ h}\) |
| \(\text{Thu}\) | \(:\) | \(8.25 - 0.75 = 7.5 \text{ h}\) |
| \(\text{Sun}\) | \(:\) | \(1 + 7 - 0.5 = 7.5 \text{ h}\) |
| \(\text{total}\) | \(=\) | \(22 \text{ h}\) |
Sunday's shift crosses midnight: \(1\) hour before and \(7\) hours after.
| \(\text{pay}\) | \(=\) | \(22 \times \$33.00\) |
| \(\) | \(=\) | \(\mathbf{\$726.00}\) |
(i) Find her equivalent hourly rate.
(ii) She gets a \(2.5\%\) pay rise. Find her new salary and new hourly rate. (Use \(1\) year \(= 52\) weeks.)
(i) Find the weekly pay first, then share it over the hours.
| \(\text{weekly}\) | \(=\) | \(\$79\,040 \div 52 = \$1520\) |
| \(\text{hourly}\) | \(=\) | \(\$1520 \div 38\) |
| \(\) | \(=\) | \(\mathbf{\$40.00}\) |
(ii) A \(2.5\%\) rise means the new pay is \(102.5\%\) of the old pay, so multiply by \(1.025\).
| \(\text{new salary}\) | \(=\) | \(\$79\,040 \times 1.025\) |
| \(\) | \(=\) | \(\mathbf{\$81\,016}\) |
| \(\text{new hourly}\) | \(=\) | \(\$81\,016 \div 52 \div 38\) |
| \(\) | \(=\) | \(\mathbf{\$41.00}\) |
A percentage rise on the salary is the same percentage rise on the hourly rate: \(40 \times 1.025 = 41\).
(i) What was his weekly pay before the rise?
(ii) His employer pays superannuation of \(12\%\) of his pay on top of his wage. How much super is paid in a year at his new pay? (Use \(1\) year \(= 52\) weeks.)
(i) The new pay is \(103\%\) of the old pay, so divide by \(1.03\). Do not take \(3\%\) off the new pay.
| \(1.03 \times \text{old}\) | \(=\) | \(\$1442\) |
| \(\text{old}\) | \(=\) | \(\$1442 \div 1.03\) |
| \(\) | \(=\) | \(\mathbf{\$1400}\) |
Check: \(1400 \times 1.03 = 1442\). (Taking \(3\%\) off \(1442\) gives \(1398.74\), which is wrong.)
(ii) Super is paid by the employer on top of the wage. It is not taken out of Leo's pay.
| \(\text{yearly pay}\) | \(=\) | \(\$1442 \times 52 = \$74\,984\) |
| \(\text{super}\) | \(=\) | \(0.12 \times \$74\,984\) |
| \(\) | \(=\) | \(\mathbf{\$8998.08}\) |
Common pitfalls
Frequently asked questions
What is the difference between a wage and a salary?
A wage is paid for each hour worked, so the pay changes with the hours. A salary is a fixed yearly amount paid in equal parts, whatever the hours worked.
How do you convert a yearly salary to weekly pay?
Divide the yearly salary by \(52\), because there are \(52\) weeks in a year. For fortnightly pay divide by \(26\), and for monthly pay divide by \(12\).
How do you calculate hours worked from a timesheet?
Find the time from start to finish, then subtract any unpaid break. If the shift goes past midnight, add the hours before midnight to the hours after it. Write the minutes as a decimal of an hour.
What is casual loading?
Casual loading is an extra percentage added to the hourly rate of casual workers, usually \(25\%\), because they do not get paid leave. A base rate of \(\$30\) an hour becomes \(30 \times 1.25 = \$37.50\) an hour.
Is superannuation taken out of your pay?
No. The employer pays superannuation on top of your wage or salary, at \(12\%\) of ordinary pay in 2026. It goes into your super fund for retirement.