HOURLY RATE Meaning and
Definition
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Hourly rate refers to the amount of money a worker or service provider charges for every hour worked or spent providing a particular service. It is a method commonly used in employment scenarios where workers are compensated on an hourly basis, rather than receiving a fixed salary or annual pay. The hourly rate serves as the basis for calculating the employee's wages, and the amount earned varies directly with the number of hours they work.
Hourly rates are often specified in contracts, employment agreements, or by employers to establish the compensation terms for employees. The rate typically reflects the level of skill, experience, and qualifications required for the job. For instance, skilled professionals like lawyers, consultants, or plumbers can have higher hourly rates compared to those performing routine or administrative tasks.
Hourly rates play a crucial role in determining how much an individual will earn and their overall income potential. They also have implications for employers as they need to estimate and manage labor costs, particularly in industries where pay rates may vary considerably. Additionally, hourly rates can be pivotal when it comes to understanding the pricing of services being rendered, helping clients determine the cost of engaging an individual or business for a specific duration.
In summary, an hourly rate is the predefined amount of money that an individual charges or is paid per hour worked, serving as a crucial factor in determining wages, compensation, and pricing within the context of employment or service provision.
Common Misspellings for HOURLY RATE
- gourly rate
- bourly rate
- nourly rate
- jourly rate
- uourly rate
- yourly rate
- hiurly rate
- hkurly rate
- hlurly rate
- hpurly rate
- h0urly rate
- h9urly rate
- hoyrly rate
- hohrly rate
- hojrly rate
- hoirly rate
- ho8rly rate
- ho7rly rate
- houely rate
- houdly rate
Etymology of HOURLY RATE
The word "hourly" is derived from the Middle English word "houreli" which means "occurring every hour" or "done every hour". It originated from the Old English word "hurelic", where "hur" refers to "hour" and "-lic" is a suffix indicating a quality or characteristic. The term "rate" comes from the Old French word "rat", meaning "price" or "value". When combined, "hourly rate" refers to the price or value of work done per hour.
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