Shift Differential Calculator

Calculate Total Pay Including Shift Differential





Formula

To calculate the Total Pay Including Shift Differential (\(TP\)):

\[ TP = (BP \times HW) + (BP \times \frac{DR}{100} \times HW) \]

Where:

What is Shift Differential?

Shift differential is additional pay granted to employees who work hours outside the standard workday. Employers may offer shift differential to incentivize workers to cover less desirable shifts, such as night, weekend, or holiday shifts. The differential is typically a percentage increase over the employee’s regular hourly rate.

Example Calculation 1

Let's assume the following values:

Using the formula:

\[ TP = (20 \times 40) + (20 \times \frac{10}{100} \times 40) = 800 + 80 = 880 \]

The Total Pay Including Shift Differential is $880.

Example Calculation 2

Let's assume the following values:

Using the formula:

\[ TP = (25 \times 35) + (25 \times \frac{15}{100} \times 35) = 875 + 131.25 = 1006.25 \]

The Total Pay Including Shift Differential is $1006.25.