To determine the approximate equivalent salary for an hourly wage, based on 40 hours a week, 50 weeks a year, double the hourly rate and multiply by $1,000. In other words, $6 per hour is approximately $12,000 per year. $15 per hour equals about $30,000 a year.

In reverse, to get the hourly rate equivalent for a given salary, divide the salary by 2,000. Thus, $40,000 per year equals about $20 per hour.

What are the advantages of paying by the hour?

You know you’re getting what you’re paying for, at least in terms of quantity of hours worked. Unless someone cheats on their hours. It works especially well for positions where the hours are flexible or vary depending on the work load.

And the disadvantages?

Keeping track of hours worked, and having to compute a different pay amount every pay period.

What about paying on a salary basis?

It’s simpler – no tracking hours worked (unless the employee is eligible for overtime compensation, which is not always obvious). And you may get more than you pay for – although in industries that demand long hours, the salaries are usually set to take an over-40-hour work week into consideration. On the other hand, you need to watch for employees who cut corners – in late, out early, and an extra 15 minutes for lunch.

The short answer is – more than one person. You, of course, as the owner of the business. And whomever else in your company will be working most closely with the new hire. If someone other than you will be the immediate supervisor, that person should also be involved. Everyone should have their own list of questions for job interview.

Should the interviews be conducted jointly or separately?

Joint interviews save time, and allow you and your team to discuss your reactions while they are still fresh in your minds. They also give each of you the opportunity to see how the person interacts with the others. On the other hand, it can be intimidating for the candidate. The advantage to separate interviews is, especially as your company grows, the field can be narrowed down by the initial interviewer, saving your time for the favored candidates.

Should I take notes?

Definitely. If you’re interviewing several people, it’s very easy to get them mixed up. Have your usual interview questions printed up with plenty of space to jot down notes, and don’t forget to write the person’s name on their sheet.

Any other suggestions?

Watch out for the tendency to like best whomever you just talked to. Ask questions drawn from the person’s resume, and listen carefully for unclear or conflicting answers. Be open to and encourage questions from the candidate about the position and the company. You can learn as much from what she asks as from how he answers.

During the interview, the job candidate is trying to sell himself to you, and you are selling the job. Especially when you’re filling a critical position, the impression you make is as important as the one you are getting.

What are you trying to learn during this process?

· Is this a person you like being around? Is it someone you want on your team?

· Why does she want this job? If she’s not currently employed, why did she leave her previous postion?

· Does his personality fit with the people he’ll be working with?

· If the position involves working with clients, what kind of first impression does she make?

· How well does he handle a stressful situation (like a job interview?)

· How good are her communication skills?

In order to get enough information to make these judgments, you need to ask open-ended employer interview questions, like:

What would be your idea of an ideal job?

In the company where you currently work (or previously worked), what would you do differently if you owned the company?

Where would you like to be five years from now?

What skills or prior experience do you have that you think would be particularly useful in this position?

And of course, there are the old standbys:

What do you consider your greatest strength?

In what areas would you like to improve?

Other questions could be more job-specific.

Then there are the questions that you are not allowed to ask. This may vary from state to state, but in general you should avoid the following areas:

· Age

· Race or ethnic background

· Marital status

· Health (except when it relates to the ability to perform specific job functions.

· Children, child care arrangements, or plans to have children

Of course, the interviewee may volunteer information in these areas.

Congress and the Internal Revenue Service have provided a variety of incentives to encourage workers to set aside money for retirement, giving us all a prime opportunity to take advantage of compounding.  By setting up and contributing to a pension or other deferred compensation plan, you can either minimize current taxes (which gives you more money to invest), and defer taxes  on the earnings, or with a ROTH IRA you can avoid tazes permanently on the earnings.

There are 6 basic categories of pension/deferred compensation plans. Some are employer-sponsored and some are designed for individuals.  As an employee, you are limited to the plans offered by your employer and Individual Retirement Accounts; self-employed persons can choose from the whole dizzying array. The very simplest form is the Traditional IRA.  The annual contribution limit, which stayed at $2000 for years, has been going up gradually so that now, with a limit of $5000 per year, or even $6000 once you hit age 50, this option is an ira simple enough yet powerful enough to meet the needs of a lot of self-employed people.

If you don’t have employees that you want to offer retirement plan benefits to, and you can only afford to contribute $5000 a year to your own retirement savings, then keeping it simple with a traditional IRA is the way to go.