Premium rates calculation
Premium rates are used when calculating actions that are based on a PremiumAmountBaseRate or a PremiumPercentBaseRate benefit.
Example 1: Premium rates calculation for a PremiumAmountBaseRate benefit
The premium rates for a PremiumAmountBaseRate benefit are calculated using the base rates and
the amounts that are contained in all the actions created from the PremiumAmountBaseRate benefit. The
calculations of the premium rates are the same for both hourly and annual positions
so this example only shows calculations for an hourly position.
This table shows the base rates and their corresponding start dates:
| Start date | Base rate |
|---|---|
| 1/1/2016 | $10 |
| 4/16/2016 | $12 |
This table shows three actions that are created from the same PremiumAmountBaseRate benefit:
| Start date | End date | Amount |
|---|---|---|
| 2/1/2016 | 6/15/2016 | $6 |
| 6/16/2016 | 6/30/2016 | $8 |
| 8/1/2016 | None | $14 |
This table shows the Premium rates calculation without the shift differential pay:
| Start date | End date | Calculation | Premium rate |
|---|---|---|---|
| 2/1/2016 | 4/15/2016 | $10 + $6 | $16 |
| 4/16/2016 | 6/15/2016 | $12 + $6 | $18 |
| 6/16/2016 | 6/30/2016 | $12 + $8 | $20 |
| 8/1/2016 | None | $12 + $14 | $26 |
This table shows the Premium rates calculation with the shift differential pay:
| Start Date | End Date | Premium rate |
|---|---|---|
| 2/1/2016 | 6/15/2016 | $6 |
| 6/16/2016 | 6/30/2016 | $8 |
| 8/1/2016 | None | $14 |
Example 2: Premium rates calculation for a PremiumPercentBaseRate benefit
The premium rates for a PremiumPercentBaseRate benefit are calculated using the base rates and
the percentages that are contained in all the actions created from the PremiumPercentBaseRate benefit. The
calculations of the premium rates are the same for both hourly and annual positions
so this example only shows calculations for an hourly position.
This table shows the base rates and their corresponding start dates:
| Start date | Base rate |
|---|---|
| 1/1/2016 | $10 |
| 4/16/2016 | $12 |
This table shows three actions that are created from the same PremiumPercentBaseRate benefit. You can
view start and end dates and percentage values for each action:
| Start date | End date | Percentage |
|---|---|---|
| 2/1/2016 | 6/15/2016 | 50% |
| 6/16/2016 | 6/30/2016 | 100% |
| 8/1/2016 | None | 150% |
This table shows how the premium rates for this benefit are calculated:
| Start Date | End Date | Calculation | Premium rate |
|---|---|---|---|
| 2/1/2016 | 4/15/2016 | $10 x 50% | $5 |
| 4/16/2016 | 6/15/2016 | $12 x 50% | $6 |
| 6/16/2016 | 6/30/2016 | $12 x 100% | $12 |
| 8/1/2016 | None | $12 x 150% | $18 |