Compensation and Wage Policies 1. Company Pay ­ address how pay is computed (salary, wage, commission), and when pay is distributed. Employees will earn a salary which will be distributed on the 25th of each month. 2. Deductions from Paycheck (Mandatory) ­ define and identify mandatory payroll deductions (federal tax, state tax, FICA, etc.) $179,506.93 3. Deductions from Paycheck (Other) ­ define and identify non­mandatory payroll deductions. Employees will receive a deduction from their paycheck if inappropriate behavior presents itself as a problem. 4. Error in Pay ­ define and address action to be taken by employee and employer situation involving error in pay. If there are any errors in pay, it will be addressed promptly and pay will be fixed. 5. Overtime Pay ­ define and address computation of overtime. Employees will not work overtime, thus, the company does not pay overtime. 6. Pay Period and Hours ­ define and address pay period, hours, and pay day. Employees will be paid monthly. 8am­5pm (1 hour lunch break from 12pm to 1pm). Pay day is on the 25th of each month. 7. Reporting time pay ­ define and address procedures for reporting time pay (ie sign in sheet; time cards, etc.) Attendance sheets will be used to keep track of employee attendance. 8. Time cards/Records ­ define and address method for keeping track of time, and due dates of records to Payroll. Attendance sheets will be transferred to an Excel document on a daily basis where absences will result in deductions from paycheck. 9. Termination and Severance Pay ­ define and address grounds for termination and severance pay. All employees will receive severance pay after termination. 10. Wage Assignments (Garnishments) ­ define and address how wage garnishments will be handled. Wage garnishments will be directly paid to the plaintiff creditor. http://www.dol.gov/compliance/guide/garnish.htm Performance and Compensation Reviews: 1. Performance Reviews ­ address performance reviews, and the period of review. Employee of the month will receive a 10% increase in their salary for the month. 2. Compensation Reviews ­ address compensation review and the criteria for salary wages. Review the employee’s compensation history, market value of employee position and total compensation for upcoming year. http://www.shaunmahoney.com/articles/managing­the­effective­compensation­review