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Determining FTEs
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Determining FTEs
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I work with musicians who are paid on a performance basis. They all meet the $455 weekly fee requirement of FLSA so they are exempt employees. But I don't know how to convert these employees into FTEs
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Determining FTEs
posted at 6/24/2009 3:29 PM EDT
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Posts: 55
First: 2/6/2006
Last: 8/10/2009
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I work with musicians who are paid on a performance basis. They all meet the $455 weekly fee requirement of FLSA so they are exempt employees. But I don't know how to convert these employees into FTEs. Any help?
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Determining FTEs
posted at 6/25/2009 3:53 AM EDT
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Posts: 2146
First: 2/15/2006
Last: 9/14/2011
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Honestly I am not sure what you are asking or the purpose behind making them FTEs? Maybe if you post it, that would help.
How many hours a week are they working? Are you trying to make them eligible for benefit plans/paid timeoff?
If they work 1 hour a week, they will count for employer eligibility under FMLA, EEOC, ADA etc.
Are you trying to convert their pay to an annual salary?
Need more details to help you out.
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Determining FTEs
posted at 6/25/2009 6:47 AM EDT
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Posts: 55
First: 2/6/2006
Last: 8/10/2009
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Thanks for the clarification. There are two main reasons I'm trying to determine FTEs.
1. I need to know which EEOC laws the company is subject to so I can complete the necessary paperwork.
2. I'm going through a vetting process with several payroll vendors, and their quotes are often based on FTEs.
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Determining FTEs
posted at 6/25/2009 8:42 AM EDT
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Posts: 3870
First: 2/12/2002
Last: 11/2/2009
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I think there's probably several variations of what constitutes an FTE, but the one I'm most familiar with is simply taking the number of hours your employees work and dividing by 40.
If you have 2 employees who each work 20 hours per week, you would have 1 FTE. If you have one who works 40 per week, one who works 10, 2 who work 20 and one who works 30, then you have 120 hours worked each week and 3 FTE's.
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Determining FTEs
posted at 6/25/2009 8:56 AM EDT
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Posts: 2146
First: 2/15/2006
Last: 9/14/2011
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To answer the EEOC question, I am not finding where it mentions FTEs...but rather the total # of employees you are paying.
"To count employees, determine the number of employees on an employer s payroll; exclude individuals who are not employees, e.g., discharged/former employees or independent contractors. Add to that figure any other individuals who have an employment relationship with the employer, such as temporary or other staffing firm workers. " from the EEOC website I quoted in the posting on the legal forum.
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Determining FTEs
posted at 6/25/2009 9:00 AM EDT
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Posts: 2146
First: 2/15/2006
Last: 9/14/2011
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As to payroll vendors, you would need to ask each one specifically how they would handle non-FTEs. Because they are not real bright if FTEs are all they are counting. Sometimes it takes more work to pay a non-FTE than a FTE! Or do they not know that you have non-FTEs?
Since these are exempt employees, it shouldn't matter how many hours they work each week...since they could work 1 and still get the minimum $455 per week, right? You are paying them even if they don't work a certain # of hours right as long as they work 1 hour within the payweek? I would count each one as a FTE.
But the fallback is to ask each payroll vendor how to count them, because there is no standard.
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Determining FTEs
posted at 6/25/2009 11:20 AM EDT
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Posts: 3870
First: 2/12/2002
Last: 11/2/2009
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Sorry, left out something. In addition to the hours worked calculation, a FTE equations also include contractors and temps.
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