Weekly Calculations
Weekly Gross Income minus Weekly Exemption multiplied by 2.5%.
E.g. Employee makes $250.00 per week for 4 weeks.
- $250.00-$125.00=$125
- $125* 2.5%=$3.13
- 3.13* 4=$12.52
Weekly Calculation over $1154.00 for 1 Week
Any amount over the $1,154.00 or any one (1) week is taxed straight by 5%, and the amount is added to the 2.5% ($25.73) portion to give you the amount that should be deducted for the levy for that particular week.
E.g. Employee makes $1,200 per week for 3 weeks
- First you find 2.5% portion- $1,154-$125=$$1029*2.5%=$25.73 and
- Second you find 5% portion- $1,200-$1,154=$46*5%=$2.30 and
- Third you combined both totals- $25.73+$2.30=$28.03 (levy deduction for 1 week) and
- Fourth you multiply by the # of weeks worked- $28.03*3=$84.09.
Bi-Weekly Calculations
Weekly Gross Income minus Weekly Exemption multiply by 2 and then multiply by 2.5%.
E.g. Employee makes $600 every two weeks for 4 weeks.
- $600.00 -$250.00=$350.00
- $350 * 2.5%=$8.75
- $8.75 * 2=$17.50
Monthly Calculation
Monthly Gross Income minus Monthly Exemption multiply by 2.5%
E.g. Employee makes $1000 per month
$1,000.00 – $541.67=$458.33 * 2.5%=$11.46
Bi-Monthly Calculation
Bi-monthly is basically being paid ½ way in the month- Monthly exemption of $541.67 divided by 2 ($270.84).
E.g. Employee makes $500 every two (2) weeks for one month of 4 weeks.
$500.00-$270.84=$229.16*2.5%=$5.73*2=$11.46.
Monthly Calculation over $5,000 for the month
Any amount over the $5000 amount is taxed straight by 5%, and then the amount is added to the 2.5% ($111.46) portion to give you the amount that should be deducted for the levy for that particular month.
E.g. Employee makes $5,400 per month
- First you find 2.5% portion- $5,000-$541.67=$4,458.33*2.5%=$111.46 and
- Second you find 5% portion- $5,400-$5,000=$400*5%=$20.00 and
- Third you combine both totals- $111.46+$20.00=$131.46 monthly deduction.
Bi-Monthly Calculation over $2,500
Bi-monthly over $2,500 follows the same steps as monthly over $5,000 cause the $2,500 is half of $5,000.
E.g. Employee makes $3,000 on the 15th December his last working day after termination.
- First you find 2.5% portion- $2,500-$270.84=$2229.16*2.5%=$55.73 and
- Second you find 5% portion- $3,000-$2,500=$500*5%=$25.00 and
- Third you combined both totals- $55.73+$25.00=$80.73 bi-monthly deduction.
Days Calculation
The weekly exemption of $125 is divided by 5 (# of working days in a week) days in a week to get the exemption for a day ($125/5=$25.00).
E.g. Employee makes $60 a day for three (3) days in one week
$60.00 -$25.00=$35.00*2.5%=$0.88*3=$2.63 deduction for 3 days
Days Calculation over $230.80
The weekly exemption of $1154.00 is divided by 5 (# of working days in a week) days in a week to get the exemption for a day over $230.80 ($1154.00/5=$230.80).
E.g. Employee makes $300.00 a day for three (3) days in one week.
- First you find the 2.5% portion: $230.80-$25.00*2.5%=$5.15
- Secondly you find the 5% portion: $300.00-$230.80=$69.20*5%=$3.46.
- Then you combine both totals: $5.15+$3.46=$8.61*3=$25.83.