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Set up overtime

Track overtime hours worked by employees.

Oliver Cook avatar
Written by Oliver Cook
Updated over 2 months ago

You can use Timesheets to track overtime hours. This overtime can be automatically broken down into different categories. It is particularly useful for differentiating between rates at which the overtime is paid.

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

Overtime settings

  1. Click your name in the top right, then click Settings.

  2. On the settings menu click Timesheets, then click Overtime.


Select how overtime is tracked

Select your overtime tracking option

  • Each day individually

  • Hours exceeding default working pattern

  • Don't count overtime


Allow employees to move overtime to a time off policy

If required, you can select what time off policy you would like employees to be able to move overtime hours to. This gives employees the choice of either being paid for their overtime, or increasing their time off allowance, which is the equivalent of time owed in lieu (TOIL).

You can set it so that either:

  • Overtime only goes towards the selected time off policy

  • An employee can choose to split overtime hours to be paid salary and/or the selected time off policy


Create an Overtime Category

Create overtime categories to break down overtime hours worked.

Overtime categories section in Sage HR settings.


Overtime tracking per group

This allows you to assign overtime categories to track overtime hours of your timesheet groups.

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 breakdown by categories and total per period.


Tracking overtime for part-time employees

In order to be eligible for overtime payouts labour codes often require part-time employees to accumulate a number of hours equal to a full-time working day.

In order 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 this amount of time is reached. For 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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