Annual Basis Conversion

On occasion, a department may decide to change the annual basis of a Faculty or OA position: a 12-month to a 9-month appointment, or a 9-month to a 12-month appointment. Departments will need to know conversion formulas. In addition, it will be important to convey the information and change in monthly salary amount to the employee.

The Math

9-Month to 12-Month Appointment

Annual Rate ÷ 9 X 11

$36,000 ÷ 9 X 11 = $44,000

Monthly pay: from $4,000 to $3,666.67

12-Month to 9-Month Appointment

Annual Rate ÷ 11 X 9

$44,000 ÷ 11 X 9 = $36,000

Monthly pay: from $3,666.67 to $4,000

Q & A

Why is the monthly salary less for the 12-month appointment than it is for the 9-month appointment? 

Because of one month's vacation pay on the 12-month appointment.

$4,000 X 11 months = $44,000

The employee receives less each of the eleven months to pay for the salary in the 12th month.