FAQ

How do I find my pre-modern award?

For the Pay Rates Calculator to calculate base rates of pay and penalty rates, you’ll need to provide information about your pre-modern award entitlements.

Prior to 1 January 2010, there were a number of ways that pre-modern awards may have applied to employers and employees. These included:

• citation (the business being named in the award)
• membership of an employer organisation
• taking over a business
• application of common rule.

For more information on pre-modern award coverage, you can access a full copy of the pre-modern award through Award Finder.

If you need further assistance, you can call the Fair Work Infoline on 13 13 94 or chat online with our    Live Help advisor.

FAQ

What does 'alternative calculation' mean?

In a small number of instances where the model transitional provisions apply, employers must pay:

• the full amount of the modern award rate and relevant allowances.
• the phased amount for modern award loadings
• the phased amount for modern award penalties

These rates are calculated on the basis that the employee has no applicable pre-modern award entitlements.

The option to calculate pay, loadings and penalty rates using this alternative calculation method would only apply to employees who, prior to 1 January 2010 were:

• not entitled to a federal minimum wage rate
• not entitled to loadings or penalty rates.

Please note, this method of calculation does not apply to most employers and employees.

If you need further assistance, you can call the Fair Work Infoline on 13 13 94 or chat online with our    Live Help advisor.

FAQ

How do I know the right classification?

There are many aspects to consider when identifying the right classification for an employee. Some important things to take into account include an employee’s duties, skills and qualifications.

To view a complete description of the award classifications levels, you can access a full copy of the modern award or pre-modern award in Award Finder.

If you need further assistance, you can call the Fair Work Infoline on 13 13 94 or chat online with our    Live Help advisor.

FAQ

How do I add pre-modern award entitlements?

Enter the pre-modern award rate of pay
The pre-modern award rate of pay is the rate that applied for the classification at 1 January 2010. In most cases, this rate can be found in the relevant Pay Scale Summary effective 1 October 2008.

Enter the industry allowance
Some pre-modern awards also provided for an industry allowance. You can add the industry allowance to your base rate calculations by specifying the formula for calculating the industry allowance and the amount prescribed.

Industry allowances can be calculated:

• as a fixed (or monetary) amount
• as a percentage of the pre-modern award rate
• as a percentage of (a percentage of a fixed amount)
• as a percentage of (a percentage of the pre-modern award rate).

If the industry allowance is calculated as a percentage of a specified pre-modern award rate, you can enter the relevant amount for the rate to the Pay Rates Calculator to form part of your calculations. For more information, please visit Fair Work Online: Industry Allowances.

If you need further assistance, you can call the Fair Work Infoline on 13 13 94 or chat online with our    Live Help advisor.

FAQ

What’s included in the ‘Calculation results’?

The Pay Rates Calculator calculates base rates of pay, loading and penalty rates in accordance with the model transitional provisions contained within most modern awards.

For each modern award or pre-modern award penalty you select, the Pay Rates Calculator will provide:

• the start and finish time for the penalty
• the number of hours that the penalty applies during the shift you have entered
• the phased percentage or additional amount for the penalty
• the monetary entitlement to penalties during the shift for full time employees
• the monetary entitlement to penalties and/or loadings for part time and/or casual employees during the shift.

Please note that these results are based on the information you have provided. If the information you have provided is incorrect, the amounts that you calculate may be less than the employee’s minimum entitlements.

For more information, please visit Fair Work Online: Phasing pay rates.

If you need further assistance, you can call the Fair Work Infoline on 13 13 94 or chat online with our    Live Help advisor.

FAQ

How do I enter 'paid on' information for penalty rates?

For modern award penalties:

The Pay Rates Calculator will automatically calculate the penalty paid on the modern award rate.

For modern award penalties paid on the 'standard rate':

Some modern award penalties are not paid on the employee classification rate of pay, but the standard rate of pay. You can select the modern award classification prescribed as the standard rate from the classification drop down menu. For more information, see the modern award definition.

For pre-modern award penalties:

If you select to calculate penalties on the pre-modern award rate, the Pay Rates Calculator will use the rate you have provided in your base rate calculations.

For pre-modern award penalties paid on 'other rates':

In some instances, pre-modern award penalties are not paid on the employee’s classification rate of pay. Instead, penalties are paid on rates of pay for other pre-modern award classifications. You will need to:

• Select the option for other pre-modern award rates and enter the rate that applied for the other classification at 1 January 2010.

• Select the modern award classification from the classification drop down menu that completes the classification pair.

If you need further assistance, you can call the Fair Work Infoline on 13 13 94 or chat online with our    Live Help advisor.

FAQ

How do I enter a penalty paid on the modern award ‘standard rate’?

Some penalties are paid on the modern award ‘standard rate’ as opposed to the employee’s actual rate of pay for their classification. The modern award standard rate is usually defined within the modern award.

To add a penalty paid on the modern award ‘standard rate’:

• Select ‘On MA standard rate’
• Enter the start and finish time for the penalty from the modern award
• Select whether the penalty is paid as a percentage or an additional amount and enter the relevant figures
• Select whether the penalty is paid per shift or per hour
• Select the classification prescribed as the modern award ‘standard rate’ that the penalty is paid on from the available options
• Select casual/part time formulas (where relevant) for calculating penalty rates.
• Add the penalty to the penalty table.

If you need further assistance, you can call the Fair Work Infoline on 13 13 94 or chat online with our    Live Help advisor.

FAQ

How do I enter a pre-modern award penalty paid on a classification other than the employee’s classification?

Some pre-modern awards prescribe that penalties are paid on a base rate of pay for a particular classification level that may be different to the rate for the employee’s actual classification.

To add this type of penalty to your calculations:

• Select ‘Enter pre-MA penalty’ and enter all relevant penalty information
• From the ‘Penalty paid on’ options select ‘Other pre-MA rate’
• Enter the rate for the other pre-modern award classification effective at 1 January 2010
• Complete the classification pair by selecting the modern award classification that matches the pre-modern award classification from the available options
• Select the relevant casual and part time formulas for penalty calculations
• Add the penalty to the penalty table.

If you need further assistance, you can call the Fair Work Infoline on 13 13 94 or chat online with our    Live Help advisor.

FAQ

How do I enter an ‘equivalent’ pre-modern award penalty?

If you have identified that the modern award penalty and the pre-modern award penalty are equivalent, you can add these to your calculations.

To add equivalent penalties, you will need to:

• Select the equivalent modern award penalty and add it to the penalty rate table
• Select ‘Enter pre-MA penalty’
• Select the equivalent modern award penalty from the available options
• Update the figures specified for the penalty percentage or additional amount to match those prescribed by the pre-modern award
• Add the pre-modern award penalty to the penalty table.

NB. When you select an equivalent modern award penalty, all pre-modern award penalty information will automatically update to match the modern award. If you change this information (other than the penalty percentage or additional amount) the pre-modern award penalty may cease to be equivalent to the modern award penalty.

If you need further assistance, you can call the Fair Work Infoline on 13 13 94 or chat online with our    Live Help advisor.

FAQ

What’s included in the ‘Total for shift’?

The ‘Total for shift’ is the minimum rate that must be paid for the total hours worked by the employee during the shift you are calculating.

The total amount payable for the employee’s shift is calculated in accordance with the model transitional provisions and is based on the information you have provided. If the information you have provided is incorrect, the rates that you calculate may be less than the employee’s minimum entitlements.

Based on your selections the total for the shift may, for all hours worked, include:

• the base rate of pay
• pre-modern and/or modern award casual loadings
• modern award all purpose allowances
• relevant modern and/or pre-modern award penalty rates.

Please note that entitlements other than those listed above may be payable to an employee for the shift you have calculated. For more information, please see the modern award.

For more information please Fair Work Online: Hours of work.

If you need further assistance, you can call the Fair Work Infoline on 13 13 94 or chat online with our    Live Help advisor.

Caution

FAQ

When do I select ‘Already know your base rate?‘

You can use this option when you already know the applicable base rate of pay. Situations you can use this option include:

• Where you have identified the base rate of pay in another of FWO’s tools.
• Where you are required to calculate penalties on a base rate of pay which is above the minimum award rate.

If you select this option, you will be required to enter the applicable base rate of pay in Panel 2. The base rate which you enter needs to be the hourly rate inclusive of any industry allowances.

Loadings and penalties will then be calculated on the base rate of pay which you have entered.

If you need further assistance, you can call the Fair Work Infoline on 13 13 94 or chat online with our    Live Help advisor.