When employees work overtime, you might want give them "comp time" instead of paying them an hourly wage. For example, they might work 5 hours overtime, so you give them 5 hours of comp time. Or perhaps they worked 40 hours in a workweek, but you might want to give them comp time for any hours they work on the weekend.
To set this up, you need to create a comp time earnings code and an overtime policy, and then tie them together with a comp time accrual policy.
In this article, you will learn:
How to create a comp time earnings code
Log in to your Fingercheck account as an Administrator.
Click the SETUP tab > Payroll > Earnings.
Click Add.
The Add Earning panel that appears.
Click Add Custom to create a new earnings code.
Enter a Code and Short Description (for example, CT and Comp Time).
The Code is an abbreviated name for the status. The Description is a short descriptive name. Together, these fields make up the full name as displayed in other areas of Fingercheck.
Enter a longer Description.
From the Earning Type drop-down list, select GROSS - Taxable Wages (even though the employee will not be paid with money, but with time).
From the Calculation Rule drop-down list, select RatexHoursWorked.
In the Rate Factor field, enter 0.
Leave the other fields as is.
Click Save.
How to create an overtime policy for comp time
In addition to your regular overtime policy, you'll need to create an overtime policy if you want to offer comp time instead of overtime pay. For complete details about the fields in this procedure, see How to Set Up an Overtime Policy.
Log in to your Fingercheck account as an Administrator.
Make sure you have an earning code configured for overtime as described above.
Click the SETUP tab.
Select Policies > Overtime Policies.
The page lists any existing overtime policies for your company.
To add an overtime policy, click Add on the right side of the window.
A list of pre-defined overtime policies appears.
Click Add Custom.
Enter a Code and Description.
The Code is an abbreviated name for the status. The Description is a short descriptive name. Together, these fields make up the full name as displayed in other areas of Fingercheck.
Add an overtime rule.
In this example, we are adding a rule to add comp time for time worked over 40 hours.
In the Overtime Rules section, click Add.
From the Over Time Type drop-down list, select Weekly.
In the Hours Above, enter 40.
In the Hours To field, enter 168 (which is the number of hours in one week).
From the Division Earnings drop-down list, select the comp time earnings code you created.
Select the Is Comp Time checkbox.
Click Apply.
Click Save.
How to create an accrual policy for comp time
Log in to your Fingercheck account as an Administrator.
Click the SETUP tab > Policies > Accrual Policies.
The page lists any existing accrual policies for your company.
Click Add.
A list of pre-defined accrual policies appears.
Click Add Custom.
The Accrual Policy Information panel appears.
This procedure walks you through the fields you need to complete for a comp time accrual policy. For details about each field, see How to Create an Accrual Policy.
Enter a Code and Description.
The Code is an abbreviated name for the status. The Description is a short descriptive name. Together, these fields make up the full name as displayed in other areas of Fingercheck.
From the Calculation Rule drop-down list, select RatexHoursWorked so that the accrual gives one hour for every hour worked.
From the Hourly Process Up To drop-down list, select LastCompletedPayPeriodEnd.
Enter a PTO rate:
In the PTO Rates section, click Add.
The Add PTO Rate pop-up window appears.
From the LOS Type drop-down list, select Month to accrue hours on a monthly rate.
In the LOS Number field, enter a large number such as 9999.
In the Accrual Rate field, enter 1 (to accrue every one month).
Click Apply.
Enter a PTO Earning (which is the comp time):
In the PTO Earnings section, click Add.
The Add PTO Earning pop-up window appears.
From the Division Earnings drop-down list, select the comp time earnings code you created.
Click Apply.
Click Save.
To tie everything together, apply the accrual policy and set a scheduled task for it as described in How to Create an Accrual Policy.
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