Why is there a difference between the annual salary reported for an employee and his or her annualized earnings?
There are several factors. The annual salary may appear greater than earnings because the employee recently received an increase, the employee had been on a leave of absence, or the employee began employment sometime after January 1. The annual salary may appear lower than earnings due to overtime, supplemental pay, back pay, or other adjustments. An employee may work part-time for another agency and those earnings will be reflected in the total earnings, but not the annual salary.
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