Matt Dillon is a trader in Mexican wines. The firms has four employees and has presented the following draft payroll for October 2017:
PEPE
RITA
JAKE
MAUD
INCOME
Basic Pay
90,000
110,000
150,000
280,000
Overtime
13,500
0
22,000
0
Travelling
0
5,000
0
8,500
Uniform
8,000
8,000
8,000
8,000
Protective Clothing
10,000
0
0
0
Material Aid & Supplies
7,500
8,000
0
0
Commission
0
20,000
0
0
Entertainment Allowance
0
0
0
30,000
GROSS PAY
129,000
151,000
180,000
326,500
DEDUCTIONS
NIS
NHT
EDUCATION TAX
INCOME TAX
Pension
4,500
5,500
7,500
14,000
Union Dues
2,500
2,500
2,500
0
Health Insurance
1,500
1,500
2,500
2,500
Loan Repayment
0
0
0
40,000
Total Deductions
NET PAY
Required
Complete the payroll for the month
2. Discuss the relevance of statutory returns to the development of the economy
3. Discuss the pros and cons of adopting the following wages rates in the organization:
- Hour rate
- Piece rate
- Day rate
- Commission
- Contractual rate
4. Discuss the use and relevance of:
(a) Performance based pay
(b) Productivity incentive based pay
