What is a salary and what are wages?
A salary is a payment for a year’s work, which is then divided into equal monthly, fortnightly or weekly payments. The advantages of this are that they accrue sick leave, holiday pay and superannuation, and also have permanent employment. A disadvantage of this is that there is no overtime pay for extra work and the hours are often fixed.
A wage is a payment for a week’s worth of work, calculated on an hourly basis. The advantages of this are that they accrue superannuation, sick leave and holiday pay, and also receive overtime payment for the extra hours worked. Disadvantages of this are that there is a lower incentive to work hard each hour.
The following videos will show you how to calculate wages and salaries in a range of different questions that arise in Prelim Standard Math.
What is the difference?
The video below explains the difference between a salary and wage.
How to convert a yearly salary to different frequent payments
The video below explains how to convert a salary to a fortnightly payment using an example.
How to make calculations using the hourly rate
The following video explains how to make conversions using the hourly rate.