Overtime / Doubletime

Employees may need to be paid Overtime (OT) and/or Doubletime (DT) for working 'extra' hours in a given day or workweek. To satisfy this, we've added configuration options for both Overtime and Doubletime with each Wage Program. Although OT/DT is set in the Wage Program, they're accumulated and allocated on a per Payroll Entity basis.

 

Overtime

Start by specifying how much overtime should pay in the 'Overtime pays...' input. This figure should be a multiple of regular pay. So, '1.5' would pay 1.5 times regular pay. Next, determine when you'd like OT to start -- or 'kick in'. A common practice is to pay OT after 8 hours in a single day and after 40 hours in a single workweek.

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Doubletime

Doubletime works similarly to Overtime. Start with the multiplier, then specify when Doubletime should start. Doubletime works on top of Overtime. As an example, if you have OT set to pay 1.5x after 8 hours in a day, you can have Doubletime pay 2x after 10 hours in a day. An employee who works 12 hours one day would earn 8 regular hours, 2 Overtime hours, and 2 Doubletime hours.

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OT/DT Options

The following OT/DT options are available to choose from:

  • First, select whether OT/DT should use 'Regular Rate of Pay' or 'Job Rate of Pay' for it's calculation. 'Job Rate of Pay' will be the job level wage and the 'Regular Rate of Pay' is calculated by total pay / regular hours worked for the entire workweek.
  • Second, specify whether the weekly trigger should use all hours (including OT/DT), or just regular hours in the current workweek. For instance, if you set your wage program's OT to kick-in after 8hrs in a day and 40hrs in a week, and an employee works 8 hours on Monday and 10 hours on Tuesday, then the Weekly 'All Hours' trigger (which includes OT/DT) would count 18 hours towards their weekly OT threshold by the end of Tuesday as opposed to the Weekly Regular hours trigger (non OT/DT) which would count only 16 hours.
  • Last and optionally, you are then able to determine the amount of consecutive days that should need to pass before OT is calculated at all. By default, this is set to zero.

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