How to Calculate your new Salary Based on the New Minimum Wage 2024

How to Calculate your new Salary Based on the New Minimum Wage 2024

On Thursday 18th July, 2024 President Bola Tinubu approved a new minimum wage of N70,000 for Nigerian workers and pledged to review the national minimum wage law every three years.

This is coming after the leadership of the Nigeria Labour Congress and the Trade Union Congress met with the President at the Presidential Villa, Abuja on Thursday.

Below is how to calculate the new salary based on the newly approved minimum wage.

HOW TO CALCULATE YOUR NEW SALARY BASED ON THE NEW NATIONAL MINIMUM WAGE BILL:

Formula: x = ( axb ) ÷ c

Where;
a = Present Salary
b = New Minimum Wage
c = Previous Minimum Wage
x = New Salary

For Example:

Assume Your Salary (Income) is N52,000

Let’s calculate

i.e.

a = Present Salary = N52,000

b = New Minimum Wage = N70,000

c = Previous Minimum Wage = N30,000

x = News Salary = ?

Formula:

x = (a x b) ÷ c

X = (52,000 x 70,000) ÷ 30,000

X = 3,640,000,000 ÷ 30,000

X = N121,300

Your salary should be N121,000 for the New Minimum Wage of N70,000

 

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