the him coding supervisor over the coding section agrees to pay a new graduate 11.00 per hour. this a full time coding position at 2080 hours per year. the cost for a full time employee's fringe benefits is 24 percent of the employee's salary. how much must the supervisor budget for the employee's salary and fringe benefits?
To calculate the total budget for the employee's salary and fringe benefits, follow these steps:
1. Calculate the annual salary of the new graduate:
Multiply the hourly rate ($11.00) by the number of hours per year (2080 hours).
Annual Salary = $11.00/hour * 2080 hours/year
2. Calculate the cost of fringe benefits:
Multiply the annual salary by the fringe benefit percentage (24%).
Fringe Benefits Cost = Annual Salary * 24%
3. Calculate the total budget:
Add the annual salary and the fringe benefits cost.
Total Budget = Annual Salary + Fringe Benefits Cost
Let's calculate the numbers:
1. Annual Salary:
$11.00/hour * 2080 hours/year = $22,880.00/year
2. Fringe Benefits Cost:
$22,880.00/year * 24% = $5,491.20/year
3. Total Budget:
$22,880.00/year + $5,491.20/year = $28,371.20/year
Therefore, the supervisor must budget $28,371.20 for the employee's salary and fringe benefits.