About overtime compensation with time off

Compensate employees' overtime with time off

Activate time off compensation

  1. On your sidebar, go to Settings
  2. In Time, select Time tracking
  3. Select the Time tracking policy
  4. Open the Preferences tab
  5. Scroll down until you find Overtime compensation
  6. Activate Time off compensation


Set up time off compensation

  1. Choose how often you want the hour pool to update:
    • Daily: you get a daily update
    • Monthly: hours are sent to hour pool on the very last day of the month
  2. Choose which overtime to transfer to this pool:
    • All overtime worked
    • Overtime that exceeds limit
  3. Define the capacity of the hour pool: hours or minutes
  4. In case you want it to be unlimited, just enable the unlimited option
  5. Decide if you want to activate the Enable negative balance settlement option: if it is activated, at the end of each cycle, overtime accrued will be automatically applied to settle any negative balance.
  6. Click on Submit

Note that negative transfer is not possible, to make sure to reflect in the most accurate way employees' time-off balances. When the time off pool shows 0 minutes, negative hours will not be transferred.

For example, you have a balance pool with 0h and a time off pool with 2h. If you generate -3h, the balance pool will show -1h and time off pool 0h.




Create a time off allowance

  1. Click on Create a time off allowance
  2. Choose every time off policy where you want to create a overtime compensation allowance
  3. Click on Create

If you need to change or check the overtime compensation allowance, you can find it in the Time off settings:

  1. On your sidebar, go to Settings
  2. In Time, select Time off
  3. Select a Time off policy
  4. In Time off allowances, you will find the overtime allowance
  5. Click on the gear icon to edit or delete the allowance




Check your employees' time off

  1. On your sidebar, head to the Employees
  2. Choose the Employee you want
  3. Click on the Time Off section
  4. A new counter will appear with the Overtime compensation 

Was this article helpful?

Can’t find what you’re looking for?

Our customer care team is here for you.

Contact us

Knowledge Base Software powered by Helpjuice