Enter the hourly pay rate ($/hr), the lump sum merit percentage increase (%), and the number of weeks of pay (weeks) into the Lump Sum Merit Increase Calculator. The calculator will evaluate the Lump Sum Merit Increase.

## Lump Sum Merit Increase Formula

The following formula is used to calculate the Lump Sum Merit Increase.

LSMI = (HR*PI/100) * W*40

Variables:

- LSMI is the Lump Sum Merit Increase ($)
- HR is the hourly pay rate ($/hr)
- PI is the lump sum merit percentage increase (%)
- HR is the number of weeks of pay (weeks)

## How to Calculate Lump Sum Merit Increase?

The following steps outline how to calculate the Lump Sum Merit Increase.

- First, determine the hourly pay rate ($/hr).
- Next, determine the lump sum merit percentage increase (%).
- Next, determine the number of weeks of pay (weeks).
- Next, gather the formula from above = LSMI = (HR*PI/100) * W*40.
- Finally, calculate the Lump Sum Merit Increase.
- After inserting the variables and calculating the result, check your answer with the calculator above.

**Example Problem:**

Use the following variables as an example problem to test your knowledge.

hourly pay rate ($/hr) = 20

lump sum merit percentage increase (%) = 5

number of weeks of pay (weeks) = 30

LSMI = (HR*PI/100) * W*40 =** ** ?