1. The problem is to understand and apply payroll formulas for calculating gross pay, deductions, and net pay for different types of employees. 2. The formulas for gross pay depend on the employee type: - Hourly Employee: $$\text{Regular Pay} = \text{Rate} \times \text{Hours Worked}$$ $$\text{Overtime Pay} = \text{Rate} \times 1.25 \times \text{OT Hours}$$ $$\text{Gross Pay} = \text{Regular Pay} + \text{Overtime Pay}$$ - Piece Rate Employee: $$\text{Gross Pay} = \text{Rate} \times \text{Number of Items}$$ - Commission Employee: $$\text{Gross Pay} = \text{Basic Salary} + \text{Commission}$$ - Per Delivery Employee: $$\text{Gross Pay} = \text{Rate} \times \text{Deliveries Completed}$$ 3. Deductions are calculated as percentages of gross pay: - SSS = 4.5% of Gross Pay - PhilHealth = 2% of Gross Pay - Pag-IBIG = 1% of Gross Pay - Withholding Tax = 5% of Gross Pay 4. Total Deductions formula: $$\text{Total Deductions} = \text{SSS} + \text{PhilHealth} + \text{Pag-IBIG} + \text{Tax}$$ 5. Net Pay is calculated by subtracting total deductions from gross pay: $$\text{Net Pay} = \text{Gross Pay} - \text{Total Deductions}$$ 6. Excel formulas for these calculations (assuming gross pay is in cell C2): - SSS: =C2*4.5% - PhilHealth: =C2*2% - Pag-IBIG: =C2*1% - Tax: =C2*5% - Total Deductions: =SUM(D2:G2) - Net Pay: =C2-H2 These formulas can be copied down for all employees to automate payroll calculations.