Unit level remuneration

* Please note: All base salary amounts in the Unit level file must be included in the total remuneration figure.

** Company car payments: If the car is a tool of trade, it is not included. If the car is part of the employee's salary package it should be included in the Workplace Profile. 

You must provide an income figure for each employee that represents gross, or before-tax, income. The figure should include salary-sacrificed items (i.e. do not subtract these from the figure).

Sales commissions are payments made regardless of the number of hours worked – for example a fixed 20% commission for all sales.

Employees who earn only sales commission (no base salary) should always be categorised in the non-manager category ‘Sales’.

For the Unit level template:

• Type 0 in the ‘Base salary’ column of the profile and add the annualised full-time equivalent commission amount into the ‘Total remuneration’ column.
• If you have chosen to report salary data based on the financial year that ends within the reporting period, instead use the value from the employee’s income statement. 

The broad steps to calculate full-year/full-time income for each employee are outlined below. In the following sections, we provide more specific guidance for different employee types, along with example calculations.

1. Collect employee earnings for the 12 months to snapshot date chosen and separate income amounts into:

• base salary (pro-rata) amounts
• base salary (one-off/fixed) amounts
• additional remuneration (pro-rata) amounts
• additional remuneration (one-off/fixed) amounts.

2. Calculate the employee’s full-year/full-time base salary:

• Divide base salary (pro-rata) by the number of hours the employee worked in the 12-month period.
• Multiply this figure by the number of hours that are full-time/full-year for this role.
• Add on any one-off or fixed amounts for base salary. 

This figure is the full-time/full-year base salary. 

3. Calculate the employee’s full-year/full-time total remuneration:

• Divide additional remuneration (pro-rata) by the number of hours the employee worked in the 12-month period.
• Multiply this figure by the number of hours that are full-time/full-year for this role.
• Add on any one-off or fixed additional remuneration amounts.
• Add on the full-time/full-year base salary amount.

This figure is the full-time/full-year total remuneration.

If the employee was employed full-time for the whole 12-month reporting period, no conversion is needed.

Use the employee’s actual earnings for the 12-month reporting period. 

If an employee has taken unpaid leave during the reporting period, their base salary and total remuneration must still be reported as full-time equivalent amounts – as if they had worked the full year without taking leave. Do not base the figures on their actual earnings in this case.

If the employee was employed full-time for less than 12 months in the lead up to the snapshot date, you will need to annualise their earnings. To do this, you would: 

1. Divide the employee’s actual earnings by the number of weeks they worked during the 12-month period. This is the weekly pay rate.
2. Multiply the weekly pay rate by 52 (weeks in a year). This is the annualised amount.

Example: Lisa was employed full-time for 8 months (or 36 weeks) of the year leading up to the snapshot date.

1. In this time, she earnt $50,000. If we divide her earnings by the number of weeks she worked (36), we see her average weekly pay rate was $1,389.
2. We then multiply her weekly pay rate by 52 weeks, giving Lisa an annualised equivalent salary of $72,222.

If the employee was employed part-time and worked regular days for the 12-month period leading up to the snapshot date, you will need to convert their earnings into full-time equivalent amounts. To do this, you would: 

1. Divide the employee’s earnings by the number of days they worked per week.
2. Multiply this number by 5 (the number of days per week for a full-time workload). This is the full-time equivalent salary. 

Example: Lee earned $45,000 working 3 days a week. 

1. We divide Lee's earnings ($45,000) by the number of days per week they worked (3), giving us $15,000.
2. Then, we multiply $15,000 by 5 (the full-time workload), giving Lee a full-time equivalent salary of $75,000.

If the employee was employed part-time and worked varying days for the 12-month period leading up to the snapshot date, you will need to convert their earnings into full-time equivalent amounts. To do this, you would:

1. Identify the employee’s earnings (actual amount paid).
2. Identify how many days or hours the employee worked in the 12-month period.
3. Identify how many days or hours a full-time employee would have worked during the same period.
4. Divide the earnings by the total days or hours worked. This is the average daily or hourly pay rate.
5. Multiply the daily rate by the total days of a full-time employee, or the hourly rate by the total hours of a full-time employee. This is the full-time equivalent salary. 

Example:

1. Over a 12-month period, John earned $30,000.
2. He worked 3 days a week for 20 weeks, and 4 days a week for 32 weeks. This is a total of 188 days over the year.
3. The full-time workload in John’s organisation is 260 days (that is, 5 days a week for 52 weeks).
4. If we divide John’s earnings of $30,000 by his total days worked (188), we see his average daily pay rate is $159.57.
5. We then multiply his average daily rate by the full-time equivalent workload of 260 days, giving John a full-time equivalent salary of $41,489.

If an employee was employed part-time for less than 12 months leading up to the snapshot date, you will need to convert their earnings into both annualised and full-time equivalent amounts. To do this, you would:

1. Divide the total days worked by the total days in a full-time working week to get the full-time equivalent fraction.
2. Divide the employee’s earnings by the full-time equivalent fraction. This is the full-time equivalent salary.
3. Divide the number of weeks the employee worked by 52 (the number of weeks in a year).
4. Divide your full-time equivalent salary result by the fraction calculated in Step 3. This is the annualised full-time equivalent salary.

Example: Sam worked 3 days a week for 26 weeks of the year. In this time, Sam earnt $30,000. 

1. The full-time workload in Sam’s organisation is 5 days a week. If we divide Sam’s 3 days by the full-time workload of 5 days, we get 0.6 – this is the full-time equivalent fraction.
2. We then divide Sam’s earnings ($30,000) by the full-time equivalent fraction (0.6), giving us a full-time equivalent salary of $50,000.
3. Next, we divide the number of weeks that Sam worked in the year (26), by 52, giving us 0.5.
4. Finally, we divide Sam’s full-time equivalent salary ($50,000) by 0.5, giving Sam an annualised, full-time equivalent base salary of $100,000.

If the employee was employed casually with a casual rate for 12 months or less in the lead up to the snapshot date, you will need to:

1. Identify the employee’s actual earnings and number of hours worked in the 12-month period.
2. Divide the employee’s earnings for the 12-month period by the number of hours they worked. This is their hourly rate (not their contracted hourly rate).
3. Identify how many hours a full-time employee works in a year.
4. Multiply the employee’s hourly rate by the number of full-time hours. This is the annualised full-time equivalent salary. 

Example:

1. Kim worked 520 hours in a year, earning $20,000.
2. If we divide his earnings by his hours worked, we see Kim's hourly rate was $38.46.
3. A full-time employee in Kim's organisation works 38 hours a week, for 52 weeks of the year – that’s 1,976 hours a year.
4. If we multiply Kim's hourly rate ($38.46) by the full-time hours (1,976), this gives Kim an annualised, full-time equivalent salary of $76,000.

If the employee was employed casually with a daily rate for 12 months or less in the lead-up to the snapshot date, you will need to:

1. Multiply the employee’s day rate by the number of days a full-time employee works in a week.
2. Multiply this number by the number of weeks in a year. This is your annualised full-time equivalent salary. 

Example:

1. Ali's day rate is $300. A full-time employee in Ali's organisation works 5 days a week. If we multiply their day rate ($300) by 5, we get $1,500.
2. Then, we multiply $1,500 by the number of weeks in a year (52), giving Ali an annualised full-time equivalent salary of $78,000.

If the employee has been employed for the 12-month reporting period and changed employment status in this time, you will need to: 

1. Determine the employee’s earnings for the 12-month period.
2. Calculate the number of hours the employee worked.
3. Calculate how many hours are in a full-time working week.
4. Divide the total full-time hours by the hours the employee worked, and multiply that number by the earnings. This is the full-time equivalent salary. 

Example:

1. Jorge earned $50,000 dollars during the 12-month period.
2. He worked casually at 10 hours a week over 12 weeks, then full-time at 40 hours a week for 40 weeks, for a total of 1,720 hours.
3. A full-time employee at Jorge's organisation works 40 hours a week. This is 2,080 hours over 52 weeks.
4. This means we need to divide 2,080 hours by Jorge's 1,720 hours, and multiply this by his earnings of $50,000. This gives Jorge a full-time equivalent salary of $60,465.

If the employee has been employed for fewer than 12 months and has changed employment status in this time, you will need to: 

1. Determine the employee’s earnings for the period they worked.
2. Calculate the number of hours the employee worked.
3. Calculate how many hours a full-time employee would work in that same period.
4. Divide the total full-time hours by the hours the employee worked, and multiply that number by the earnings. This is the full-time equivalent salary. 

Then, to annualise the full-time equivalent salary: 

1. Divide the number of weeks the employee worked by the number of weeks in a year. This is the annualised fraction.
2. Divide the full-time equivalent salary by the annualised fraction. This is your annualised full-time equivalent salary.

Example:

1. Omar earnt $25,000 over the 26 weeks he worked.
2. He worked casually at 10 hours a week over 12 weeks, then full-time at 40 hours a week for 14 weeks, for a total of 680 hours.
3. A full-time employee at Omar's organisation works 40 hours a week. This is 1,040 hours over 26 weeks.
4. This means we need to divide1,040 hours by Omar's 680 hours and multiply this by his earnings of $25,000. This gives Omar a full-time equivalent salary of $38,235. 

Then, to annualise his earnings:

1. We divide Omar's 26 weeks by 52 (the number of weeks in a year), giving us an annualised fraction of 0.5.
2. Next, we divide $38,235 by 0.5, giving Omar an annualised full-time equivalent salary of $76,470.

Leave taken at a full rate

If an employee took a period of unpaid leave of leave for less than 12 months leading up to the snapshot date, this counts as part year absence.

You will need to annualise their earnings as if they did not take unpaid leave, to do this:

1. Divide the employee’s actual earnings by the number of weeks they worked during the 12-month period. This is the weekly pay rate.
2. Multiply the weekly pay rate by 52 (weeks in a year). This is the annualised amount.
    

Leave taken not at a full rate (e.g. half pay)

If the employee took a period of leave paid at a rate that is not comparable to their standard salary (e.g. leave at half pay for longer), you will need to calculate their income as if they did not take that period of leave at reduced pay.

To do this, remove the payments made to the employee while on leave from their actual earnings. 

1. Divide the employee’s actual earnings by the number of weeks they worked during the 12-month period. This is the weekly pay rate.
2. Multiply the weekly pay rate by 52 (weeks in a year). This is the annualised amount.