Can Someone Explain What a Blended Rate Means? Who does it Benefit?

[Anonymous]

I am currently interviewing with a family that needs 50 hours a week. My rate is $20 per hour. They want to offer me a salary based on what they call a blended rate. What does this mean?

[Anonymous]

It doesn't have any legal meaning in this case. Ask exactly how much they are offering for the full guaranteed amount and insist on OT for hours > 50. They may be trying to say they aren't willing to pay a base rate of $20 but there's really no point in guessing.

[Anonymous]

Anonymous wrote:It doesn't have any legal meaning in this case. Ask exactly how much they are offering for the full guaranteed amount and insist on OT for hours > 50. They may be trying to say they aren't willing to pay a base rate of $20 but there's really no point in guessing.

Not sure what you mean by legal meaning. Are you trying to say it's a way of getting out of paying OT if my base rate is $20?

[Anonymous]

I imagine that they are saying that they will pay $1000 a week - breaking it down into 18.20 for the the first 40 hours and then 27ish for the last 10 hours. But as the former poster mentioned, the only way to find out is to ask!

[Anonymous]

Anonymous wrote:I imagine that they are saying that they will pay $1000 a week - breaking it down into 18.20 for the the first 40 hours and then 27ish for the last 10 hours. But as the former poster mentioned, the only way to find out is to ask!

Let's say this is the case. How does this benefit me if I take the job?

[Anonymous]

Anonymous wrote:

Anonymous wrote:It doesn't have any legal meaning in this case. Ask exactly how much they are offering for the full guaranteed amount and insist on OT for hours > 50. They may be trying to say they aren't willing to pay a base rate of $20 but there's really no point in guessing.

Not sure what you mean by legal meaning. Are you trying to say it's a way of getting out of paying OT if my base rate is $20?

Legal meaning as in - base rate has a legal meaning, OT rate has a legal meaning, minimum wage has a legal meaning - these are all defined terms. There is a legally defined "blended rate" but it has to do with a job that provides two different rates for two different sets of duties. That's obviously not what they are talking about.

As far as benefiting you, there's no reason to think it does. But there's no reason to think it's a problem either. You just need clarity.

[Anonymous]

PP once more. It's also not a way to "get out" of paying OT, but it may be there awkward way of saying that they are countering your base rate request of $20/hr with a lower offer that averages to $20/hr. Then it's up to you to accept or not. It's only not kosher if they don't clarify the actual base rate in a contract and agree to pay the actual OT rate for additional hours > 50

[Anonymous]

If you're only going to take $20/hr and $30/hr overtime, than any rate that adds up to less than $1100/wk will be a no-go for you. But that's just the total.

They could express that $1100 as the technical $20/hr base rate + $30/hr OT, or as a blended rate of $22/hr across the board. Both equal $1100 for 50 hours.

My guess is, however, that they do not want to pay $30/hr OT, so they are going to offer you $1000/wk which breaks down as above. If you are willing to take that rate, then any hours beyond the 50 would also be paid at the "blended" OT rate of $27.05/hr.

In this case it would not benefit you unless you want the job and are willing to take a lower rate. In general, though, a blended rate just expresses the amount differently to come up with a mutually-agreed-upon weekly total.

[Anonymous]

Anonymous wrote:If you're only going to take $20/hr and $30/hr overtime, than any rate that adds up to less than $1100/wk will be a no-go for you. But that's just the total.

They could express that $1100 as the technical $20/hr base rate + $30/hr OT, or as a blended rate of $22/hr across the board. Both equal $1100 for 50 hours.

My guess is, however, that they do not want to pay $30/hr OT, so they are going to offer you $1000/wk which breaks down as above. If you are willing to take that rate, then any hours beyond the 50 would also be paid at the "blended" OT rate of $27.05/hr.

In this case it would not benefit you unless you want the job and are willing to take a lower rate. In general, though, a blended rate just expresses the amount differently to come up with a mutually-agreed-upon weekly total.

OK thank you. I guess it's better if I figure out a weekly rate that I can live with as opposed to focusing on the hourly rate. I do intend to clarify with the family but thought it might not be a bad idea to do a little research on my own as their way of explaining it to me might possibly be biased. BTW PP, are you a nanny or a nanny employer?

[Anonymous]

No ones going to pay you $20 an hour to be a nanny, so count your blessings and take their offer no matter what it means.

[Anonymous]

Anonymous wrote:I am currently interviewing with a family that needs 50 hours a week. My rate is $20 per hour. They want to offer me a salary based on what they call a blended rate. What does this mean?

They want to know if you're easy to cheat. Just say no and stay with legal overtime laws, time and a half for each hour after 40 per week.

Plus, I'd be careful. This is a definite red flag.

[Anonymous]

Anonymous wrote:

Anonymous wrote:If you're only going to take $20/hr and $30/hr overtime, than any rate that adds up to less than $1100/wk will be a no-go for you. But that's just the total.

They could express that $1100 as the technical $20/hr base rate + $30/hr OT, or as a blended rate of $22/hr across the board. Both equal $1100 for 50 hours.

My guess is, however, that they do not want to pay $30/hr OT, so they are going to offer you $1000/wk which breaks down as above. If you are willing to take that rate, then any hours beyond the 50 would also be paid at the "blended" OT rate of $27.05/hr.

In this case it would not benefit you unless you want the job and are willing to take a lower rate. In general, though, a blended rate just expresses the amount differently to come up with a mutually-agreed-upon weekly total.

OK thank you. I guess it's better if I figure out a weekly rate that I can live with as opposed to focusing on the hourly rate. I do intend to clarify with the family but thought it might not be a bad idea to do a little research on my own as their way of explaining it to me might possibly be biased. BTW PP, are you a nanny or a nanny employer?

I am an employer. I have never used a blended rate, since it seems just as easy to me to say that I'm offering $18/hr, $27 for OT, and will guarantee 42.5 hours/wk., which is what my nanny works. I have good math skills, though, so both presentations seem equally clear to me. Some people really want to work with round numbers ( $1000/wk), or have to work backwards from a budgeted weekly amount, and so the blended rate does that legally, as long as any additional overtime is paid at the actual OT rate.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:If you're only going to take $20/hr and $30/hr overtime, than any rate that adds up to less than $1100/wk will be a no-go for you. But that's just the total.

They could express that $1100 as the technical $20/hr base rate + $30/hr OT, or as a blended rate of $22/hr across the board. Both equal $1100 for 50 hours.

My guess is, however, that they do not want to pay $30/hr OT, so they are going to offer you $1000/wk which breaks down as above. If you are willing to take that rate, then any hours beyond the 50 would also be paid at the "blended" OT rate of $27.05/hr.

In this case it would not benefit you unless you want the job and are willing to take a lower rate. In general, though, a blended rate just expresses the amount differently to come up with a mutually-agreed-upon weekly total.

OK thank you. I guess it's better if I figure out a weekly rate that I can live with as opposed to focusing on the hourly rate. I do intend to clarify with the family but thought it might not be a bad idea to do a little research on my own as their way of explaining it to me might possibly be biased. BTW PP, are you a nanny or a nanny employer?

I am an employer. I have never used a blended rate, since it seems just as easy to me to say that I'm offering $18/hr, $27 for OT, and will guarantee 42.5 hours/wk., which is what my nanny works. I have good math skills, though, so both presentations seem equally clear to me. Some people really want to work with round numbers ( $1000/wk), or have to work backwards from a budgeted weekly amount, and so the blended rate does that legally, as long as any additional overtime is paid at the actual OT rate.

What kind of worker says to an employer,
"I really need to work with "round" numbers" when discussing pay?

I can't imagine hiring such a person to be responsible for my child.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:If you're only going to take $20/hr and $30/hr overtime, than any rate that adds up to less than $1100/wk will be a no-go for you. But that's just the total.

They could express that $1100 as the technical $20/hr base rate + $30/hr OT, or as a blended rate of $22/hr across the board. Both equal $1100 for 50 hours.

My guess is, however, that they do not want to pay $30/hr OT, so they are going to offer you $1000/wk which breaks down as above. If you are willing to take that rate, then any hours beyond the 50 would also be paid at the "blended" OT rate of $27.05/hr.

In this case it would not benefit you unless you want the job and are willing to take a lower rate. In general, though, a blended rate just expresses the amount differently to come up with a mutually-agreed-upon weekly total.

OK thank you. I guess it's better if I figure out a weekly rate that I can live with as opposed to focusing on the hourly rate. I do intend to clarify with the family but thought it might not be a bad idea to do a little research on my own as their way of explaining it to me might possibly be biased. BTW PP, are you a nanny or a nanny employer?

I am an employer. I have never used a blended rate, since it seems just as easy to me to say that I'm offering $18/hr, $27 for OT, and will guarantee 42.5 hours/wk., which is what my nanny works. I have good math skills, though, so both presentations seem equally clear to me. Some people really want to work with round numbers ( $1000/wk), or have to work backwards from a budgeted weekly amount, and so the blended rate does that legally, as long as any additional overtime is paid at the actual OT rate.

Thanks for answering. I'm sure you will agree that it's not as much of a hardship to pay $27 per hour for 2.5 hours a week as it would be at 10 hours a week so you can see how some other folk would seek a work around.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:If you're only going to take $20/hr and $30/hr overtime, than any rate that adds up to less than $1100/wk will be a no-go for you. But that's just the total.

They could express that $1100 as the technical $20/hr base rate + $30/hr OT, or as a blended rate of $22/hr across the board. Both equal $1100 for 50 hours.

My guess is, however, that they do not want to pay $30/hr OT, so they are going to offer you $1000/wk which breaks down as above. If you are willing to take that rate, then any hours beyond the 50 would also be paid at the "blended" OT rate of $27.05/hr.

In this case it would not benefit you unless you want the job and are willing to take a lower rate. In general, though, a blended rate just expresses the amount differently to come up with a mutually-agreed-upon weekly total.

OK thank you. I guess it's better if I figure out a weekly rate that I can live with as opposed to focusing on the hourly rate. I do intend to clarify with the family but thought it might not be a bad idea to do a little research on my own as their way of explaining it to me might possibly be biased. BTW PP, are you a nanny or a nanny employer?

I am an employer. I have never used a blended rate, since it seems just as easy to me to say that I'm offering $18/hr, $27 for OT, and will guarantee 42.5 hours/wk., which is what my nanny works. I have good math skills, though, so both presentations seem equally clear to me. Some people really want to work with round numbers ( $1000/wk), or have to work backwards from a budgeted weekly amount, and so the blended rate does that legally, as long as any additional overtime is paid at the actual OT rate.

Thanks for answering. I'm sure you will agree that it's not as much of a hardship to pay $27 per hour for 2.5 hours a week as it would be at 10 hours a week so you can see how some other folk would seek a work around.

Except that you asked for $20. My point is that I wouldn't ask for a workaround. I'd just offer the lower rate I could afford ($18/27 not $20/30) and you could decide if you still were interested in the job.