Setting up Overtime Rates

Set a multiplier value for your overtime to have them reflected in timesheet export calculations.

Collections: Overtime and Timesheets & Reports.

Written by Syasha

Last modified on March 26th, 2023

Employees covered under the Fair Labor Standards Act (FLSA) act are required to have a “time-and-a-half” (1.5X) overtime pay for hours worked exceeding 40 in a workweek.

Similarly, other countries require different multiplier values/scale factor added to their overtime hours to comply with concerned labor law for fair overtime pay.

In Jibble’s time tracking software, this would mean adding a customizable overtime multiplier rate to facilitate the calculation of overtime pay.

This guide will cover:

Setting up Overtime Rate

Before setting up your overtime rate, ensure that you have set a billable rate for your team members by updating their profile details.
Once billable rate is set up, go to Work Schedule Settings.
Set up and manage work schedule preferences then scroll down to the “Overtime Rules” section.
Enable your preferred overtime rule by enabling it’s toggle. Choose whether overtime starts after X time or after X hours (i.e.. Overtime occurs after 8 hours or after 5.00pm).
Set your multiplier value. Value entered will be applied to overtime hours beyond prescribed threshold (as selected in Step 4).
Hit the “Save” button.

Note: Weekly overtime rate will be viewable in timesheet exports in a near release (Coming soon!).

Viewing Overtime Pay in exports

Overtime Rates will contribute to the overall Billable Amount in timesheet exports.

Note: Overtime rate calculations will only apply to raw timesheet exports. We’re adding it to timesheet summary and all timesheet related exports in a near release.

To view Billable Amount with Overtime pay:

Go to Timesheets and click on the Export button.
Select “Timesheets list in single tabs” to export your raw timesheets.
Select your preferred date range, filters, time and duration format for your export.
Hit the Export button.
In your export file, you can view your set overtime rates under the R to U columns.
Your Overtime Pay will be reflected under Billable Amount column.

Billable amount & Overtime rate Calculations

Formulas used for Overtime Pay:

	Formula
Overtime rate	Multiplier ValueBillable Rate*
Billable amount	(Billable Rate)(Regular Hours) + (Paid Time Off)+(DailyOTRateDailyOT)+(DailyDoubleOTRateDailyDoubleOT)+ (PublicHolidayOTRatePublicHolidayOT)+(RestDayOTRateRestDayOT)*

*The same formula is used for billable amount in raw timesheet exports regardless if it’s a public holiday, rest day, or working day.

Example 1

Francis is working on Monday, which is a working day, he has:

8 hours of working time (regular hours).
2 hours of Daily Overtime.
2 hours of Daily Double Overtime.
No hours recorded for Public Holiday OT or Rest Day OT.
2$/hour for Billable rate.
Multiplier value of x1.5 for Daily Overtime and x1.5 for Daily Double Overtime.

Overtime Rate Calculations

Formula for Overtime Rate : (Multiplier Value*Billable Rate)

DailyOT Rate : (1.5*2) = 3
DailyDoubleOT Rate : (1.5*2) = 3

Billable Amount

Formula for Billable amount = (Billable Rate)(Regular Hours + Paid Time Off)+(DailyOT Rate)(DailyOT)+(DailyDoubleOT Rate)(DailyDouble OT)+ (PublicHolidayOT Rate)(PublicHolidayOT)+(RestDayOT Rate)(RestDay OT).

2*(8+0)+(3)(2)+(3)(2)+(0)(0)+(0)(0) = 16+6+6 = 28.
Billable amount = 28$

Example 2

Francis worked for 8 hours on a public holiday. He is working on a Sunday, which is also considered as Rest day, he has:

0 Regular hours, since any time worked on a public holiday is considered as public holiday overtime (Francis has public holiday overtime enabled*).
8 hours of Public Holiday OT.
0 hours of Rest Day OT (when rest day and public holiday falls on the same date, Public Holiday OT takes precedence.
2$/hour for Billable rate
Multiplier value of x1.5 for Public Holiday OT, and x2 for Rest Day OT.
0 paid time off for this date.

Overtime Rate