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Set up overtime

How to set up up how you track overtime hours worked by employees in Sage HR.

Written by Oliver Cook

You can use Sage HR's Timesheets module to track overtime hours. This works by creating overtime policies that you can assign timesheet groups to. Within these overtime policies, you can create overtime categories to differentiate between the rates at which you pay overtime.

Only employees with administrator or timesheets administrator access can follow the steps below.


Timesheet groups

Before you set up overtime, you need to make sure you've set up your timesheet groups.


Overtime settings

  1. As an administrator or timesheets administrator, click Settings.

  2. On the settings menu, click Timesheets.

  3. Click Overtime.


Overtime Categories

When you create or edit an overtime policy and set overtime tracking to Daily, you can assign an overtime category. This category breaks down the overtime hours your employees have worked. If you want to assign an overtime category, we recommend that you create it in advance before creating more overtime policies.


Overtime policies

By default, there is one overtime policy already available to assign timesheet groups to. You can edit this policy and create more overtime policies for different timesheet groups. This is useful when you have different employees who have different overtime requirements

When you create or edit an overtime policy:

  • You can configure the overtime tracking method

  • You can allow employees to add overtime to a time off policy

  • Depending on the overtime tracking method, you can create overtime categories


Allow employees to move overtime to a time off policy

When you create or edit an overtime policy, you can select to allow employees to move overtime hours to a selected time off policy.


How do I extract the overtime data for my employees?

Use the Overtime report to retrieve the information on Overtime hours reported by your employees, with a breakdown by categories and total per period.


Tracking overtime for part-time employees

To be eligible for overtime payouts, labour codes often require part-time employees to accumulate hours equal to a full-time working day.

To enforce this, you can specify the number of hours to calculate overtime when you set up working patterns.

Create working pattern page showing the Overtime settings section within it.

📎NOTE: Having this parameter set will enable Sage HR to track the overtime for each day only if it reaches this amount of time.

Example

If set to 8 hours, overtime calculations will only take into account time worked after 8 hours. Even if the day duration defined in the working pattern is lower.


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