Prepare a salary budget for the fiscal year 7/1/X1 to 6/30/X2. Staffing levels are based on the need for six hours of hands-on work per patient day. Volume in the budget year is to be 3,600 patient days. Productive time is 80 percent of total paid time. For purposes of this solution, staff can be hired only in half FTE increments; thus if there is a need for 7.4 FTEs, 7.5 must be budgeted. The following are the current staff with FTE values and hourly rates of pay as of 4/1/X1:

King	1.0	$14.00
Law	1.0	$13.80
Rogers	1.0	$13.50
Ruby	1.0	$14.00
Russell	0.5	$12.75

A pay raise will be given to all staff on May 1 of each year at a rate of 6 percent. The starting rate of pay for new hires is $13.00 regardless of hire date.