Question

fred Walters used to make a semimonthly salary of $2500. the company he works for is under new management, which pays its employees biweekly. what is his annual salary and what will his new biweekly salary be?

Answer 1

Annual Salary = $60,000

Bi-Weekly Salary = $2307.69

Explanation:

SemiMonthly means twice a month.

So Fred gets semimonthly 2500, so in a month he gets 2 * 2500 = $5000

His annual salary (12 months) would be 5000 * 12 = $60,000

Annual Salary = $60,000

For salary calculations, we know there are 52 weeks in a year. Since he will be paid bi-weekly, that means he will be paid every 2 weeks. Hence, he will be paid 52/2 = 26 times a year.

Now we need to divide 60,000 by 26 to figure out his bi-weekly salary.

60,000/26 = $2307.69