This guide provides a comprehensive approach to recording employee overtime across various types of days, including weekdays, days off, rest days, and public holidays. By setting a framework based on minimum daily working hours, the guide aims to simplify the overtime calculation process, ensuring precise and efficient integration with payroll systems.
Configuring Overtime Setting
1. Go to Timesheet > Timesheet Settings > Advanced Settings.
2. In the Overtime section, select the "Working hours above..." option under Default Daily Overtime.
3. Then, select the appropriate options under the Count overtime on non-working days section to include Day Off, Rest Day, or Public Holiday.
Overtime will be calculated if these options are enabled; otherwise, it will not be applied. By default, regular working hours are set to 8 hours per day (excluding lunch). Overtime is calculated based on the first 8 hours of work.
For additional details on the calculation process, refer to the example calculations for Default Daily and Weekly Overtime below.
Count Overtime based on Default Daily Overtime
| Fixed Start and End Time | Flexible Work Week | |
| Normal Day | When an employee's total daily hours exceed the Default Daily Overtime setting: Example:
For an employee with a monthly salary:
| When an employee’s total daily hours exceed the Default Daily Overtime setting: Example:
For an employee with a monthly salary:
|
| Rest Day/Off Day/Public Holiday | When time data is recorded on a Rest Day, Day Off, or Public Holiday: Example: For an employee with a monthly salary:
| When an employee's schedule includes a Rest Day, Day Off, or Public Holiday and there is recorded time data: Example: For an employee with a monthly salary:
|
Count Overtime based on Default Weekly Overtime
| Fixed Start and End Time | Flexible Work Week | |
| Normal Day | When an employee's total weekly hours exceed the amount set up in the Default Weekly Overtime.
Default Weekly Overtime: 40 hours Employee is salaried on a monthly basis. Employee time records:
| When an employee's total weekly hours exceed the the amount set up in the Default Weekly Overtime. Example: Default Weekly Overtime: 40 hours Employee is salaried on a monthly basis. Employee time records:
|
| Rest Day/Off Day/Public Holiday | When time data is recorded on a Rest Day, Day Off, or Public Holiday: Example: Default Weekly Overtime: 40 hours Employee is salaried on a monthly basis. Employee time records:
| When an employee's schedule includes a Rest Day, Day Off, or Public Holiday and there is recorded time data: Example: Default Weekly Overtime: 40 hours Employee is salaried on a monthly basis. Employee time records:
|
Important: If a single week spans across two different months, such as Monday to Wednesday in March and Thursday to Sunday in April, the total weekly hours will will still be counted continuously.
Count Overtime based on Default Daily Overtime & Default Weekly Overtime
| Fixed Start and End Time | Flexible Work Week | |
| Normal Day | When an employee's total weekly hours exceed the amount set up in the Default Weekly Overtime. Example: Default Daily Overtime: 8 hours Employee is salaried on a monthly basis. Employee time records:
| When an employee's total weekly hours exceed the amount set up in the Default Daily Overtime. Example: Default Daily Overtime: 8 hours Employee is salaried on a monthly basis. Employee time records:
|
| Rest Day/Off Day/Public Holiday | When there are recorded hours on a Rest Day, Off Day, or Public Holiday.
Default Daily Overtime: 8 hours Employee is salaried on a monthly basis. Employee time records:
| When an employee's schedule includes Rest Days, Off Days, or Public Holidays and there is recorded working time.
Default Daily Overtime: 8 hours Employee is salaried on a monthly basis. Employee time records:
|
Pay Item Recommendations
The overtime pay items will be automatically applied during timesheet submission based on the overtime rules. Nonetheless, these items will be editable, allowing you to select and adjust the appropriate pay item from a drop-down menu. Kindly see the list below for reference.
For Employees with a Daily Basis Salary:
| Hour Type | Description | Pay Item |
| Regular | Working on a NORMAL DAY | - |
| Overtime | Working on a NORMAL DAY | Overtime @ 150% hourly rate |
| Overtime | Working on a REST DAY (first 8 hours based on the initial clock-in) | Overtime @ 200% hourly rate |
| Overtime | Working on a REST DAY (after the first 8 hours based on the initial clock-in) | Overtime @ 300% hourly rate |
| Overtime | Working on a DAY OFF (first 8 hours based on the initial clock-in) | Overtime @ 100% hourly rate |
| Overtime | Working on a DAY OFF (after the first 8 hours based on the initial clock-in) | Overtime @ 300% hourly rate |
| Overtime | Working on a PUBLIC HOLIDAY (first 8 hours based on the initial clock-in) | Overtime @ 100% hourly rate |
| Overtime | Working on a PUBLIC HOLIDAY (after the first 8 hours based on the initial clock-in) | Overtime @ 300% hourly rate |
For Employees with a Monthly Basis Salary:
| Hour Type | Description | Pay Item |
| Regular | Working on a NORMAL DAY | - |
| Overtime | Working on a NORMAL DAY | Overtime @ 150% hourly rate |
| Overtime | Working on a REST DAY (first 8 hours based on the initial clock-in) | Overtime @ 100% hourly rate |
| Overtime | Working on a REST DAY (after the first 8 hours based on the initial clock-in) | Overtime @ 300% hourly rate |
| Overtime | Working on a DAY OFF (first 8 hours based on the initial clock-in) | Overtime @ 100% hourly rate |
| Overtime | Working on a DAY OFF (after the first 8 hours based on the initial clock-in) | Overtime @ 300% hourly rate |
| Overtime | Working on a PUBLIC HOLIDAY (first 8 hours based on the initial clock-in) | Overtime @ 100% hourly rate |
| Overtime | Working on a PUBLIC HOLIDAY (after the first 8 hours based on the initial clock-in) | Overtime @ 300% hourly rate |
Related guidelines:
Managing Timesheet Pay Type List
Creating Overtime Planning for Employees
Viewing Scheduled Overtime as an Employee
Setting Up Lateness and Undertime
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