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### Author Topic: payroll surge  (Read 452 times)

#### tdf42

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• Posts: 106
##### payroll surge
« on: May 11, 2016, 06:59:06 PM »
Why the payroll surge every few months?

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##### Re: payroll surge
« Reply #1 on: May 11, 2016, 09:23:36 PM »
raise of salary, in your setting by default the game does it for you, if you go manual you will still need to give them the raise requested.

#### tdf42

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• Posts: 106
##### Re: payroll surge
« Reply #2 on: May 12, 2016, 01:03:49 AM »
Its not raises. They payroll goes back to previous levels after a month.

#### schro

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##### Re: payroll surge
« Reply #3 on: May 12, 2016, 02:01:57 AM »
Payroll is expressed as a cost per MONTH. However, you pay it based upon a cost per DAY. Therefore, the expense you have each day is calculated as follows:

Daily Payroll Expense = Monthly Payroll Expense / Days in current month

Then, you can use that to arrive at your weekly expense:

Weekly Payroll Expense = Daily Payroll Expense * 7

If you want to play with the math, you will see that holding your monthly payroll constant and varying the number of days in a month will result in a lumpy weekly payout like you are seeing. February tends to be the most obvious month for this.

Note that the same thing happens for leases.

#### tdf42

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##### Re: payroll surge
« Reply #4 on: May 12, 2016, 07:14:12 AM »
An example of what I mean is for January my payroll was 76M per week. It jumped to as high as 85M in Feb. Now it has gone back down to 77M. Is this the formula you just explained?

#### schro

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##### Re: payroll surge
« Reply #5 on: May 12, 2016, 01:10:29 PM »
An example of what I mean is for January my payroll was 76M per week. It jumped to as high as 85M in Feb. Now it has gone back down to 77M. Is this the formula you just explained?

Yes.

76m/week gives you 10.86m/day for January, which means your monthly payroll is 336.6m (daily amount * 31).

Going to february, 336.6m/28 is 12m/day or 84m/week.

Note I did some rounding, and you may have added to payroll.

For March, you are back to the 10.86m per day as it has 31 days like January.

#### tdf42

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• Posts: 106
##### Re: payroll surge
« Reply #6 on: May 13, 2016, 04:32:15 AM »
Thanks

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