Setting overtime based on a worked day or worked period

Payment for overtime can vary by either the number of hours in a worked day or hours in a worked period. We explain the difference below.

Based on a worked day

For example, Lisa has a standard work day of eight hours and is eligible for overtime after eight hours. This means if she works nine hours on Monday, then works only seven hours on Tuesday, she is still eligible for the overtime on Monday.

Based on a worked period

Jose has a standard work day of eight hours, but he is eligible for overtime only after he works 40 hours in the week. This means if he works 10 hours on one day and six the next, he is not eligible for overtime for the 10 hours unless his total for the week exceeds 40 hours.

Hint: To require employees to enter any hours over the regular hours for a day or period as premium hours, you must check the Mandatory Overtime box. When you do this, e-timecard generates a hard error if an employee enters excess hours to the regular earning code.

Here’s another way to think of mandatory overtime. If you check this option, employees charge hours as premium when entering more than the standard hours for the day or for the period. If you do not check this option, then employees charge hours as premium only when entering more than the standard hours for the day and for the period.

Below are separate instructions for setting overtime based on daily hours and period hours.

To set overtime based on daily hours

Use these steps in combination with the more detailed instructions for setting time card profiles for fixed work days.

Regardless of how the hours in the Regular fields are set, enter in the Premium Pay 1 From field, for each work day, up to two decimal places for the number of hours that employees must work before receiving overtime.
In the Premium Pay 2 From field, for each work day, enter up to two decimal places for the number of daily hours that employees must work before receiving premium pay 2. If only premium pay 1 applies, leave 2 and 3 blank.
In the Premium Pay 3 From field, for each work day, enter up to two decimal places for the number of daily hours that employees must work before receiving premium pay 3. If only premium pay 1 and 2 apply, leave premium pay 3 blank.

Hint: If an employee’s time card profile has no Through value defined for any of the three levels of premium pay, and the employee tries to charge time to an earning code for that premium pay level, then the program always generates a profile error. This is true even if the profile has a From value defined for that premium pay level.

To set overtime based on period hours

Use these steps in combination with the more detailed instructions for setting time card profiles for flexible work days.

Regardless of how the hours in the Regular fields are set, enter in the Premium Pay 1 From field, for the period total, up to two decimal places for the number of hours that employees must work before receiving overtime pay.
In the Premium Pay 2 From field, for the period total, enter up to two decimal places for the number of hours that employees must work before receiving premium pay 2. If only premium pay 1 applies, leave 2 and 3 blank.
In the Premium Pay 3 From field, for the period total, enter up to two decimal places for the number of hours that employees must work before receiving premium pay 3. If only premium pay 1 and 2 apply, leave 3 blank.