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How to Calculate Teacher Salaries

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					How to Calculate Teacher Salaries
The Basics

Because we expect all of our teachers to perform the same job they are considered
equal peers and are paid equivalent salaries, based on the number of hours of class they
teach. We do also reward teachers who have stayed with our program a number of
years and we do this with the longevity bonus program.

An additional consideration that surfaced when we hired an Enrichment Co-Teacher
instead of an Aide is that Enrichment Salary Must be handled differently. We could not
at the time afford to pay both Enrichment Co-Teachers their regular salary rate so they
each consented to agreed upon amounts that were equal. (In the event that
Enrichment reverts to a teacher and an aide, the salaries should be reconsidered – the
Teacher salary should be more than it is currently and the Aide salary should be less.
The Enrichment Salary Pool should remain the same)


Steps for Calculation

   1. Determine the total salary pool

       If there are no changes to classes offered or class hours

       Add together all current year salaries and then apply the salary increase
       approved by the board of directors to that total.

       If there are changes to class offerings or the number of class hours

       In the case of these kinds of changes, the salary for the new class offering or the
       new class hours will need to be determined prior to applying the approved salary
       increase.

              Changes in Class Hours

              First determine the class salary for the new class hours at the current
              year’s salary rate.

              Salary for new hours = (current salary) x (new class hours)
                                              (current class hours)

              When adding together the salaries prior to applying the percentage
              increase, use this new total in place of the current year’s total.

              Adding a New Class

              Since all teachers and classes are paid the same, determining the the
              salary for a newly offered class is a simple ratio.
               New Class Salary = (Established Class Salary) x (New Class Hours per Week)
                                                       (Established Class Hours Per Week)

               Calculate the new class salary at the current year’s rate and then include
               this salary when calculating the salary pool, prior to applying the salary
               increase percentage.


               The method used to determine the salary pool will vary depending on the
               circumstance. If all classes and class hours are remaining the same, the
               upcoming year’s salary pool can be determined by applying the salary
               increase approved by the Board of Directors to the current year salary.

               If classes are being added or removed or if hours are being changed, it
               will be a little more complicated to determine the salary pool. See later
               examples for determining salary pool under these circumstances.

               What if the Class Only Meets part Year?

               This is another simple ratio. The school year in reference to teacher pay
               is ten months. So to determine that class salary, calculate as above, and
               apply a ratio of the number of months the class meets:

New Class Salary = (Est. Class Salary) x (New Class Hours/Week) x (# months class meets)
                                (Established Class Hours/Week) x (10 months)

Note: The established class you are using for reference must meet the entire school
year to use this equation.


   2. Determine the Enrichment Salary Pool. To determine the following year
      Enrichment salary, simply apply the board-approved salary increase percentage
      to the current year’s enrichment salary. This will work as long as the numbers of
      hours of enrichment instruction remain the same. At the time of this writing,
      Enrichment was held for 2.5 hours per week for 28 sessions. For Co-Teachers,
      the Enrichment Salary Pool is divided equally between the two teachers. If
      Enrichment instruction reverts to a Teacher and an Aide, the Enrichment Salary
      Pool would remain the same, but the Teacher and Aide Salaries would need to
      be changed accordingly.

   3. Determine the Net Salary Pool by subtracting the Enrichment Salary Pool
      determined in Step 2 from the Total Salary Pool Determined in Step 1.

   4. Count up the number of hours per week each class meets. If a class
      meets for only part of the year, then ratio the number of hours per week by the
      number of months per year. Do not count enrichment hours.
   5. Determine the total number of class hours per week.

   6. Divide the weekly number of hours for each class by the total number
      of hours for all classes to arrive at a percentage for each class.

   7. Determine Class Salaries. Apply the percentages in Step 6 to the Net Salary
      Pool determined in Step 3 to determine the class salaries. Enrichment Salary
      was determined in step 3.


LONGEVITY CALCULATIONS

Longevity is applied to reward teachers for staying with our program over time.
Longevity bonuses are based on number of years of service, according to the following
chart:


Years of Service Completed        Bonus Percentage

0 (new teacher)                   none
1-2 years                         1.0 %
3-5 years                         1.5 %
6-10 years                        2.0 %
11-15 years                       2.5 %
16+ years                         3.0 %

The longevity bonus is applied to the Total Salary Pool calculated in Step 1 and may be
paid in ten monthly installments or in two installments in December and May.
Example: Calculation of Salaries for the 2007-2008 School Year

1. Determine the Total Salary Pool

2006-2007 Salaries

Panda                        $7,891      Changes for 2007-2008 School Year:
Enrichment Co-Teacher        $1,165
                                                Extend Koala Class by 15 minutes per session.
Koala                        $4,208              Time per week changes from 4 to 4.5 hours per
Enrichment Co-Teacher        $1,165              week.
                                                Add Bears Class at 4.5 hours per week.
Teddies                      $3,683
Cubs (5 months)               $789

Calculations

New Koala Class hours

Salary for new hours = (current salary) x (new class hours)   = (4208) x (4.5) = $4734
                                (current class hours)                   (4)

Addition of Bears Class

Since the Bears Class meets the same number of hours as the Koala Class, the salary
will be the same ($4734). It could also be calculated using a ratio (I’ll use Pandas in
this example):

New Class Salary = (Est. Class Salary) x (New Class Hours per Week) = (7891) x (4.5) = $4734
                                (Est. Class Hours Per Week)                   (7.5)


Now that we know these, we can find the Total Salary Pool by adding all salaries
together and applying the approved salary increase percentage (2% in this example):

          Panda                                $7,891
          Koala (at new hours)                 $4,734
          Teddies                              $3,683
          Cubs                                  $789
          Enrichment Co-Teach                  $1,165
          Enrichment Co-Teach                  $1,165
    +     Bears                                $4,734
          Total Salary Pool                   $24,161

Apply the board-approved salary increase percentage of 2%:

Total 07-08 Salary Pool = (24,161) (1.02) = $24,644
2. Determine the Enrichment Salary Pool

   The total enrichment pool for 2006-2007 was (2) x $1165 = $2330

   Apply the salary percentage increase to determine the 07-08 Enrichment Pool:

   ($2330) x (1.02) = $2376

3. Determine the Net Salary Pool by subtracting the 07-08 Enrichment Salary Pool from
   the Total Salary Pool:

   Net Salary Pool = (24644) – (2376) = $22,268

4. Count the number of hours each class meets per week (don’t count enrichment):

   For the 2007-2008 school year:

   Pandas – 7.5
   Koalas – 4.5
   Teddies – 3.5
   Cubs – (1.5 hours) x (5months/10 months) = 0.75 hours
   Bears – 4.5

5. Determine the total number of class hours per week:

   7.5 + 4.5 + 3.5 + 0.75 + 4.5 = 20.75 hours

6. Divide the weekly number of hours for each class by the total number of hours for all
   classes to arrive at a percentage:

   Pandas:    7.5 divided by 20.75 = 36.1 %
   Koalas:    4.5 divided by 20.75 = 21.7 %
   Teddies:   3.50 divided by 20.75 = 16.9 %
   Cubs:      0.75 divided by 20.75 = 3.6 %
   Bears:      4.5 divided by 20.75 = 21.7 %

7. Apply the percentages in Step 4 to the Net Salary Pool determined in Step 3 to
   determine the class salaries:

               Pandas:        36.1% of 22,268 =   $8039
               Koalas:        21.7% of 22,268 =   $4832
               Teddies:       16.9% of 22,268 =   $3763
               Cubs:          3.6% of 22,268 =    $802
               Bears:         21.7% of 22,268 =   $4832

Each Enrichment Salary for Co-teachers is 50% of the enrichment pool determined in
step 3:
              $2376 x 50% = $1188 per enrichment co-teacher

Longevity Calculation Examples

A teacher entering her second year at FPCP (one year prior experience) would earn a
1.0 % bonus, calculated as follows:

Bonus = (bonus percentage) x (Total Salary Pool) = (1.0%) x (24644) = $246

For a teacher with three years of service at FPCP:

Bonus = (1.5 %) x (24644) = $370

For a teacher with ten years of service at FPCP:

Bonus = (2.5 %) x (24644) = $616

				
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