Overview Video:
Overtime Rules calculate how many Regular, Overtime or second Overtime hours your workers should be paid.
If you don't see settings on the left hand navigation, your dashboard profile will need to be granted access here: Resources - Dashboard Users - select the user - User Access tab - Settings (toggle on).
Set the Week Start Day
First, you'll need to set the starting day of the week. This will be used to inform the weekly overtime rules, and the weekly time exports. This should also align to your company's pay period. For example, if your company pay period is Monday - Sunday, then select Monday as your week's starting day.
Configure Default Rules
We have 2 types of overtime rules, project specific rules and the default rule. A timesheet will run through the default rule if that timesheet rolls into a project that hasn't set project specific rules.
Step 1 - Set Timesheet Codes
Default timesheet codes are set in the 3 time categories: RT, OT1 and OT2. However, you can change these codes to match the codes in your payroll system. You can edit these codes or create new codes on the Timesheet Codes tab.
Note: that the available codes in the dropdown selector for each category only includes codes that have been assigned to that category. The default code RT has been assigned to the Regular Time category on the Timesheet Codes page, so you can only set that code as the Regular Time Code.
Step 2 - Configure Rules
We support several Rules for Overtime. Toggle the various rules on and off to create what you need. Don't forget to select the Apply Changes button when you're done.
| Rule | Description |
| Daily Overtime | Workers start earning Overtime or second Overtime after the number of hours you've set here has been met. |
| Weekly Overtime |
Workers start earning Overtime after they have accrued the set hours of regular time, over the course of the week. Daily/Weekend First Overtime hours and Daily/Weekend Second Overtime hours do not count toward the accrual of hours for Weekly First Overtime. Workers start earning Second Overtime after they have accrued the set hours of Regular Time or first Overtime, over the course of the week. |
| Saturday and Sunday Overtime |
Here you can configure overtime rules that apply on Saturday and Sunday. |
| Time of Day (Night Work) |
Work performed at a specific time of day can be treated differently. Set the start and end time for time of day rules to take effect, then you can choose from 2 options outlined below: |
Time of Day Option 1:
- Code all time within the time of day window as overtime (and provide a specific overtime night code)
- You can use the same OT1 code as you do in the standard rules. Use a different code if the night overtime rate is different from the day overtime rate.
Time of Day Option 2:
- Honor the Daily/Weekly/Weekend rules but apply a different code to time worked within the time of day window.
- This option is common for businesses that commonly perform night work. Workers get paid more during a night shift, but not pure overtime. For example, your payroll system could interpret the code RT-Night as the workers base salary plus $5/hr.
Step 3 - Test Your Rules
To ensure you've set up rules correctly, use the Test Your Overtime Rules feature. This will show you how a workers time will be coded if they submit a timesheet every day for 7 days, each timesheet with 11 hours of work and 1 hour of break. If you're using time of day rules, note that the test timesheets are set from 8am - 8pm.
Note: Break time is not included in any of the overtime calculations
Configure Project Specific Rules
Now that you've setup default rules, you can create project specific rules. This is covered in a separate article: Project Specific Overtime Rules
Running Timesheets Through Overtime Rules
After setting up your overtime rules, you can run timesheets through the rules 1 week at a time. Read about that process here: